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DISCLOSURE OF INTENT TO SUBMIT A HOLD ORDER BY ISSUER WITH RESPECT TO NASSAU HEALTH CARE CORPORATION BONDS, SERIES 2004A (NASSAU COUNTY GUARANTEED) (TAXABLE AUCTION RATE)
CUSIP: 63167N AA4
Intent: The Nassau Health Care Corporation (the “Issuer”) has purchased $39,900,000 of the bonds referred above (the “Bonds”) in the open market. The Issuer hereby gives notice that it intends to submit a hold order in connection with the auction to be held on May 13, 2008 (the “Next Auction”) of the Bonds that will be conducted by Wells Fargo Bank, National Association, as auction agent (the “Auction Agent”). A copy of the existing bidding procedures and further disclosure concerning the auction process may be obtained from Bear, Stearns & Co. Inc., as broker-dealer for the Bonds (the “Broker-Dealer”), at the following address:
383 Madison Avenue, 14th Floor
New York, New York 10179
Attn: Short-Term Marketing Desk
Effect on ARS Rate: Existing Holders and prospective bidders should take into account in their decision whether to buy, sell, or hold the Bonds that the Issuer will likely affect the ARS Rate by virtue of the Issuer’s proposed hold order in the Next Auction and its involvement in future auctions. The Issuer’s interests will vary from those of other bidders or Holders of the Bonds. In particular, the Issuer would benefit from lower interest rates on the Bonds.
Information Regarding Latest Auction:
The Issuer is providing information on certain characteristics of the most recent auction on the attached Exhibit A. This information has been obtained by the Issuer from sources it believes to be reliable but Issuer does not guaranty the accuracy of such information.
Information Regarding Results of the Next Auction:
Promptly following the Next Auction, the Issuer will provide the following information with respect to the Next Auction: (1) the amount of securities for sale in the Auction; (2) the number and aggregate dollar amount of bids made; (3) the number of bidders other than the Broker-Dealer and Issuer; (4) the number, interest rate(s) and amounts of bids, if any, made by the Broker-Dealer; (5) the number, interest rate(s) and amount(s) of bids, if any, made by the Issuer; (6) the clearing rate; and (7) the high, low, and median bids received. The Issuer will obtain such information as quickly as practicable from sources it believes will be reliable, but it does not guaranty the timeliness or accuracy of such information.
Issuer’s Intention to Hold Bonds
It is the Issuer’s intention to submit “hold” orders in future auctions, until such time as the Issuer chooses to sell any Bonds or until the Issuer gives notice of redemption or mandatory tender for the Bonds.
Disclosure Process: The Issuer will provide future notices regarding information on the results of auctions, by the following methods (which also have been used to disseminate this Notice): (1) filing a copy of the notice with the Nationally Recognized Municipal Securities Information Repositories; (2) issuing a press release to major financial information and press organizations (although there is no assurance that such organizations will publish or disseminate the information); (3) posting the notice on the Issuer’s website hhtp//www.numc.edu (link to "About NHCC", "News & Events", "Press Releases" and (4) providing a copy to the Broker-Dealer, which has agreed to post the notice [or an appropriate link] on its website
Other matters -- The Issuer intends to redeem approximately $33,000,000 of the Bonds on June 11, 2008 and to refund the remaining outstanding Bonds on such date which will result in a mandatory tender.
NASSAU HEALTH CARE CORPORATION BONDS, SERIES 2004A (NASSAU COUNTY GUARANTEED) (TAXABLE AUCTION RATE)
CUSIP: 63167N AA4
Information Concerning Most Recent Auction (Held April 15, 2008)
- The amount of securities for sale in the most recent auction: $52,800,000
- The number and aggregate dollar amount of bids made: $1,300,000
- The number of bidders other than the Broker-Dealer and Issuer: 3
- The number, interest rate(s) and amounts of bids, if any, made by the Broker-Dealer: 0
- The number, interest rate(s) and amount(s) of bids, if any, made by the Issuer: 0
- The clearing rate: 6.79 failed rate
- The high, low, and median bids received: High– 6.70%, low– 6.00%, Median– 6.70%