Fitch Ratings has assigned an 'A/F1' rating to Plex Indoor Sports, LLC's
$6,440,000 variable-rate bonds, series 2008. The rating is based on the
support provided by an irrevocable, direct-pay letter of credit (LOC)
issued by the National Bank of South Carolina, securing the bonds. The
bank is obligated to make payments of principal and interest when due,
as well as the purchase price for tendered bonds. The rating will expire
upon the earliest of: March 1, 2011, the stated expiration date of the
LOC, unless such date is extended; any prior termination of the LOC; and
defeasance of the bonds. The LOC provides the purchase price for
tendered bonds and full coverage of principal plus an amount equal to 42
days' interest at a maximum rate of 12%, based on a 360-day year. The
remarketing agent for the bonds is Synovus Securities, Inc. The bonds
are expected to be delivered on or about March 26, 2008.
The bonds initially bear interest at the variable rate, which is set on
a weekly basis by the remarketing agent, but may be converted to a fixed
interest rate. While bonds bear interest in the variable rate mode,
interest payments will be made on the first business day of each month,
commencing April 1, 2008. During the variable rate mode, bondholders may
tender their bonds on any business day, with seven days' prior notice of
the purchase. The bonds are subject to mandatory tender (1) on
conversion of the interest rate; (2) prior to expiration or termination
of the LOC; and (3) upon substitution of the LOC. Mandatory and optional
redemption provisions also apply to the bonds.
The bond proceeds will be used for acquisition, construction, erecting,
and equipping of sports facilities.
Fitch's rating definitions and the terms of use of such ratings are
available on the agency's public site, www.fitchratings.com.
Published ratings, criteria and methodologies are available from this
site, at all times. Fitch's code of conduct, confidentiality, conflicts
of interest, affiliate firewall, compliance and other relevant policies
and procedures are also available from the 'Code of Conduct' section of
this site.
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