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3	Refunding Opportunities Bonds available to be refunded $158.9M of 1994A Fixed Rate Bonds Average coupon 5.9 percent $150.6M of 1995 Fixed Rate Bonds Average Coupon 5.4 percent Present Value Savings estimated at $17M
4	2006A Fixed Rate Refunding Bonds Sources: Bond Proceeds $325,000,000 Uses: Deposit to Escrow Fund 318,000,000 Original Issue Discount 2,000,000 Insurance 1,600,000 Underwriter’s Discount 2,000,000 Costs of Issuance 1,400,000 $325,000,000
5	41^st Supplemental Bond Ordinance Transaction Parameters for Series 2006A Fixed Rate Bonds Same documents as previous fixed rate bond issues Fixed rate bonds will be issued subject to the following parameters: Principal amount not to exceed $325M Interest rate not to exceed 5% coupons Maturities no later than 2015 (same as current bonds) Underwriter fees not to exceed $6.00 per bond Negotiated sales February 2006 MWBE Underwriting participation 30%
6	41^st Supplemental Bond Ordinance Transaction Team Financial Advisors First Southwest Company Estrada Hinojosa & Company (MWBE) Co-Bond Counsel Vinson & Elkins McCall, Parkhurst & Horton Renee Higginbotham-Brooks, Esq., (MWBE) Senior Managers Goldman Sachs (Book Runners) Citigroup Co-Managers Loop Capital (MWBE) Morgan Keegan Ramirez & Company (MWBE) Siebert Brandford Shank (MWBE) UBS Financial Services
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8	Current outstanding Joint Revenue Auction Rate Bonds of $355.2 million or approximately 10% of total outstanding debt. 35^th Supplemental Bond Ordinance $75.0M of Series 2002B 36^th Supplemental Bond Ordinance $50.0M of Series 2002C 38^th Supplemental Bond Ordinance $56.4M of Series 2003C-1 $56.4M of Series 2003C-2 39^th Supplemental Bond Ordinance $58.7M of Series 2004A-1 $58.7M of Series 2004A-2
9	Variable program has been successful. $30.4M in savings through 1^st Qtr of FY2006
10	Auction rates have varied since the initial issue of Auction Rate Bonds. Rate began increasing in August 2004.
11	DFW Board monitors auction rate debt on a monthly basis.
12	Requested Action Approve an ordinance amending the 35^th, 36^th, 38^th, 39^th Auction Rate Bond Ordinances to allow the conversion of any or all bonds without having to obtain additional approval from the City Councils of Dallas and Fort Worth. This action will allow the Airport Board to expeditiously convert to fixed rate mode in the event of rapidly rising short term rates.
13	Go Forward Schedule January 23 City of Dallas Finance Committee Briefing January 24 City of Fort Worth Briefing February 1 City of Dallas Briefing February 7 City of Fort Worth Consideration February 8 City of Dallas Consideration February 23 Pricing