City of Winnipeg issues $60 million of debentures in capital markets

MEDIA RELEASE:

WINNIPEG July 11, 2006 - The City of Winnipeg successfully launched a $60 million 30-year debenture in the Canadian capital markets on Monday, July 10, 2006. The yield on the issue was 5.211 per cent and the debentures mature on July 17, 2036. The proceeds of the issue will be utilized to assist in the construction of the water treatment plant.

The lead underwriters on the issue were CIBC World Markets and Scotia Capital. According to the underwriters, the debentures were favourably received by the markets.

"Interest rates appear to have taken a temporary dip" said Councillor Mike O’Shaughnessy, Chairperson Standing Committee on Fiscal Issues. "Our staff and financial advisors are constantly on top of these things and advised us that this could be a very advantageous time to go to market."