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STIFEL
<br />RECENT POB Experience (Over Past 3 Years) 4-0'?4+cam Case Study: City of Orange
<br />$286,485,000 1 2021 Taxable POBs
<br />Role: Lead Rating: AA Pricing: March 4
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<br />Purpose: Refinance 100% of the current CalPERS UAL.
<br />Ratinf Stifel crafted the S&P presentation, highlighting the
<br />City's history of conservative budgeting, strong reserves, and
<br />AkCADiA prudent management policies. The POBs received a 'AA' rating.
<br />oFGLEI�� 4 ONrE,Qtt' ofPAS� Pricing Results: Stifel organized several efforts to expand
<br />demand, such as producing a 6-minute video introducing
<br />? o investor's to the City and obtaining an aggressive insurance bid
<br />from BAM. The issue was structured with serial bonds through
<br />�AORAVVI °ttrfou�'`P °RarEo�J 2036 and two insured term bonds maturing in 2040 and 2044.
<br />Originally scheduled for a 2-day pricing period, the financing
<br />UPCOMING POB Experience (Q1/2 2021) team decided to shorten to one day to mitigate interest rate
<br />risk. Stifel guided the underwriting team to a successful
<br />outcome (see response to Question 6(f)). The Bonds achieved a
<br />f► _ final borrowing cost of just 2.74%. The POBs received $398
<br />�t million in total investor orders, including international buyers.
<br />POB Payments Relative to UAL Amortization Approval of Preliminary Final Pricing
<br />ATAIV` �4n "'—=^ ..�—µ'= „ sts Event Issuance Pricing (Rate Lock)
<br />Date of Event 14-Jul-20 2-Mar-21 3-10ar-21
<br />10Year UST Yield 0.63% 1.42% 1.47%
<br />n f T;T..vC• �Ly—..
<br />�,ii _ 11 — — s--- _ _— $zo ParAmount $292,500,000 $286,090,000 $286,485,000
<br />Wl1111111n ice■ 1� �`"=�..rm::� ®-'�'m""- St True Interest Cost 3.53% 2.75% 2.74%
<br />—�sWWYa� s5o IIIIIIIIIIIIIIIII I I Combined UAL 290,557,472 284,609, 168 284,609,168
<br />C Huntington Beach POBs to Price 3/15• Total UAL Payments 556,538,011 536,626,163 536,626,163
<br />Total Debt Service 421,690,903 386,811,083 386,399,435
<br />Stifel is Lead Manager of 3-Firm Syndicate ott torn tote rate toad roar ,oa, toae toes ,moo ,o„ ,� UAL Savings $134,947,108 $149,815,081 $150,226,728
<br />$PVof UALSavings 98,286,476 119,671,884 120,110,210
<br />% PV of UAL Savings 33.8% 42.1% 42.2%
<br />iii. Project Managers
<br />Name and contact information of the primary and secondary Project Managers to -be -assigned to the engagement
<br />Stifel's banking team will be led by John Kim (primary) and Tom Jacob (secondary).
<br />John Kim, Managing Director Tom Jacob, Managing Director
<br />Primary Secondary
<br />515 S. Figueroa St. Suite 1800 515 S. Figueroa St. Suite 1800
<br />Los Angeles, CA 90071 Los Angeles, CA 90071
<br />jkim@stifel.com tjacob@stifel.com
<br />P: (213) 443-5023 1 C: (415) 999-4779 P: (213) 443-5010 1 C: (213) 434-3067
<br />iv. Commitment Level of Assigned Personnel
<br />Indicate level of commitment of each of the assigned key personnel and how you wi In ensure the accessibility of key personnel to the City during this engagement.
<br />Please know that we take pride in always being available to our clients; providing thoughtful and engaging customer
<br />service, always delivering a work product that is of the utmost quality in a timely manner. John is a member of Stifel's
<br />Executive Committee and Sara Brown and Erica Gonzalez (providing additional pension expertise and oversight) are the
<br />co -heads of the firm's California Public Finance practice. All three will ensure that all the firm's resources are available to
<br />the City. Tom, with the support of Esthela Carreon and Nick Tracewell, will also be available to field day-to-day questions.
<br />City of Santa Ana I Proposal to Provide Underwriting Services Page 3
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