FOR IMMEDIATE RELEASE

Contact:    Jim Lewin, Lee County Administration
                (941) 335-2336

FORT MYERS, Fla. (June 6, 2001) – Lee County Government has saved $8.2 million on its latest refinancing of county bonds.

The bonds, sold May 31, refinanced $66.14 million of transportation bonds first issued as part of a 1987 bond to build the parallel span of the Cape Coral Bridge, which was later refinanced in 1991. Total savings were 8.784 percent, or $8,234,489. The 1991 bonds carried interest rates of 5-to-6 percent. The 2001 refinancing bonds carry interest rates of 3-to-5.5 percent. The transaction is expected to close on July 10.

Helping with the savings was Moody’s Investors Service’s recent upgrade of the county’s transportation facilities (bridges) debt to A3, which is the agency’s first level of quality rating for "Upper Medium Grade" debt. This helped to broaden the base of potential investors.

The county has a policy of looking into refinancing outstanding bonds if, at current interest rates, it can save at least three percent of the present value of the existing debt. The county and its financial advisors monitor the municipal bond market and if the three-percent criterion is met it proceeds with the refunding and refinancing.

The county also is in the process of refinancing $150 million of Solid Waste System Revenue Bonds first issued in 1991 to build the Waste-to-Energy Facility. The bonds carry interest rates of 6 percent to 7.25 percent.

The county has aggressively sought to complete refinancing of all of its eligible bond issues in the last several years due to favorable interest rates – saving nearly $40 million in future debt service costs.

To learn more about Lee County’s debt, visit www.lee-county.com and view the county’s Debt Manual under "Documents Online."