Press Release

BOSTON, MA – State Treasurer Deborah B. Goldberg, Chair of the Massachusetts School  Building Authority (MSBA) and Mary Pichetti, Deputy CEO and Executive Director today  announced that the MSBA issued $500 million of Subordinated Dedicated Sales Tax Bonds,  2025 Series A (Social Bonds). The MSBA concurrently issued $1.49 billion of Subordinated  Dedicated Sales Tax Refunding Bonds, 2025 Series B (Social Bonds) and used approximately  $397.4 million in cash to defease and tender bonds to lower the MSBA’s outstanding debt  service payments. 

Altogether, the bonds contained maturities from 2027 to 2055 with a True Interest Cost of  4.110%, and an average life of 11.768 years. The refunding and cash defeasance results in budgetary savings of more than $591.5 million and net present value savings of 9.14% or  $215.2 million for the MSBA. 

“The success of this bond issuance is great news for the Commonwealth, but the real  beneficiaries are truly our students,” said Treasurer Deborah B. Goldberg, Chair of the  MSBA. “These resources will allow the MSBA to partner with communities in building 21st  century educational environments, where children across the state can learn, grow and  succeed.” 

The bonds are rated AA+ and AA by Fitch Ratings and S&P Global Ratings, respectively. The  MSBA appreciates the significant efforts of the working group, including the deal team and  staff members, that resulted in such a successful transaction. 

“The savings derived from this refunding will assist the MSBA with improving the teaching  and learning environments for students across the Commonwealth and allow the MSBA to  continue to fund school building construction projects in a highly cost-effective way,”  Executive Director Pichetti said. 

The MSBA partners with Massachusetts communities to support the design and  construction of educationally-appropriate, flexible, sustainable, and cost-effective public  school facilities. Since its 2004 inception, the Authority has approved 1,138 projects and has  made over $18.2 billion in reimbursements for school construction projects across the  Commonwealth. 

Legal Disclaimer: Under no circumstances does the information in this press release or on  this website constitute an offer to sell or the solicitation of an offer to buy, nor shall there be  any sale of the Massachusetts School Building Authority, Subordinated Dedicated Sales Tax  Bonds, 2025 Series A (Social Bonds) or the Massachusetts School Building Authority,  Subordinated Dedicated Sales Tax Refunding Bonds, 2025 Series B (Social Bonds) in any 

jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or  qualification under the securities laws of any such jurisdiction. Offers to purchase the Series  A Bonds or Series B Bonds may be made only through a registered broker-dealer and through  an Official Statement.