HomeMy WebLinkAboutFY26-27 Public Finance Bond Underwriting - B of A Securitess
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County of Hawaii
Response to Notice to Providers of Professional Services (HRS 103D-304)
Public Finance Bond Underwriting (FY 2026-2027)
June 30, 2026
BofA Securities, Inc.
333 S. Hope Street, Suite 3820
Los Angeles, CA 90071
BofA SECURITIES .
BofA SECURITIES `,"
June 30,2026
Ms. Diane Nakagawa
Director of Finance
County of Hawaii
25 Aupuni Street
Hilo, Hawaii 96720
Dear Ms. Nakagawa:
BofA Securities,Inc.("BofA Securities"or"BofA")is pleased to submit our response to the County of Hawaii's(the"County")
Notice to Providers of Professional Services (HRS 103D-304) for Public Finance Bond Underwriting (FY2026-2027). As
discussed herein,we believe there are many factors that distinguish BofA from our competitors, but specific consideration
should be given to the following important areas:
Municipal Market Leadership- BofA has ranked as the#1 underwriter of municipal securities nationally since 2024
with 1,389 senior managed transactions for over$227.2 billion in par. Our success in this market is made possible in
large part by the strength of our distribution system-both retail and institutional-as well as our ability and willingness
to use capital to support our clients' offerings in both the primary and secondary markets with over$17.8 billion of
excess net capital as of December 31,2025. Importantly, BofA also has been the"Number One"underwriter in Hawaii
since 2024,having senior managed 26 financings for over$4.8 billion.
Experience in Hawaii-Over the past 30 years, our finance team has managed more transactions in Hawaii than any
other. We thoroughly understand Hawaii G.O. financing structures and the challenges presented by State law.
Importantly,our team has worked with virtually every municipality within Hawaii,including the County,State of Hawaii
and its various DOTs,City and County of Honolulu,Honolulu Department of Environmental Services,Honolulu Board of
Water Supply,County of Kauai,County of Maui, University of Hawaii,and the Department of Hawaiian Homelands.
Commitment to the County of Hawaii- BofA and our proposed banking team are committed to the County, havingservedasseniormanagerfortheCounty's$50 million G.O.bonds in 2008,$60 million G.O. bonds in 2010,$99 million
G.O. financing in 2013,$235 million G.O. bonds in 2016,$139 million G.O. bonds in 2017, $77.1 million G.O. bonds in
2020, $99 million G.O. bonds in 2023, and most recently$142.1 million G.O. bonds in 2025. Most recently created a
comprehensive cashflow model to project debt service payments for the County's capital needs—including the Hilo
Wastewater Treatment Plant.
Investor Distribution-BofA's distribution network provides access to a broad range of institutional and retail investors,
both nationally and in Hawaii.BofA maintains a significant presence across the State with 59 registered Merrill financial
advisors in 3 retail offices strategically located throughout Hawaii, including Hilo and Kailua-Kona.
We would like to thank you for providing BofA with the opportunity to submit our qualifications.We greatly value our long-
standing relationship with the County and hope to have the opportunity to work with the County again in the future.Please
feel free to contact us with any questions.
Sincerely,
Frank X. Lauterbur, Managing Director Craig Dussinger, Director
213)345-9575 213)345-9579
frank.lauterbur@bofa.com craig.dussinger@bofa.com
Effective May 13,2019,BofA Securities,Inc.is the new legal entity for all institutional business previously provided by Merrill Lynch,Pierce,Fenner&Smith IncorporatedMerrill"),while the retail brokerage system of Bank of America Corporation("BAC')continues to operate under Merrill.BofA Securities,Inc.and Merrill,which are affiliateswithinBAC,have entered into an exclusive retail distribution arrangement under which BofA Securities,Inc.may(i)distribute municipal securities to Merrill,which in turn maydistributethosesecuritiestoretailinvestorsthroughtheretailbrokeragenetworkofMerrill,and(ii)compensate Merrill for any bonds it sells.
Bank of America"and"BofA Securities"are the marketing names used by the Global Banking and Global Markets divisions of Bank of America Corporation.Lending,othercommercialbankingactivities,and trading in certain financial instruments are performed globally by banking affiliates of Bank of America Corporation,including Bank of America,N.A.,Member FDIC.Trading in securities and financial instruments,strategic advisory,and other investment banking activities,are performed globally by investment bankingaffiliatesofBankofAmericaCorporation,including,in the United States,BofA Securities,Inc.and Merrill Lynch Professional Clearing Corp.,both of which are registered broker-dealers and Members of SIPC,and,in other jurisdictions,by locally registered entities.BofA Securities,Inc.and Merrill Lynch Professional Clearing Corp.are registered as futurescommissionmerchantswiththeCFTCandaremembersoftheNFA.References to BofA Securities,Inc.herein refer to the institutional business of Merrill Lynch,Pierce,FennerSmithIncorporatedpriortoMay13,2019,and as of that date to BofA Securities,Inc.
Table of Contents
Question Page
1.Firm Name and Office Locations 1
2.Firm Age and Average Number of Employees 3
3.Finance Team 3
4.Client References 7
5.Additional Information 8
WE ARE NOT YOUR MUNICIPAL ADVISOR OR FIDUCIARY. BofA Securities, Inc. ("BofA Securities") is providing the
information contained herein for discussion purposes only either as an underwriter or in anticipation of being engaged to
serve as an underwriter. BofA Securities is not acting as your"municipal advisor"within the meaning of Section 15B of the
Securities Exchange Act of 1934,as amended(the"Act"),and does not owe a fiduciary duty to you pursuant to the Act with
respect to the information and material contained in this communication.BofA Securities is either serving as an underwriter
or is seeking to serve as an underwriter on a future transaction and not as a financial advisor or municipal advisor. An
underwriter's primary role is to purchase securities with a view to distribution in an arm's-length commercial transaction
with you and it has financial and other interests that differ from those of yours.BofA Securities is acting for its own interests.
You should discuss any information and material contained in this communication with any and all of your own internal or
external municipal and/or financial, legal,accounting,tax and other advisors and experts,as applicable,to the extent you
deem appropriate before acting on this information or material.
Confidential Notice to Recipient
Thesematerials havebeen prepared by oneormoreaffiliatesof Bank ofAmerica Corporation("BAC"and,togetherwithits affiliates,the'BACGroup)forthe diemorpotential clientto whom these materials aredirectlyaddressedand delivered(the"Company')fordiscussionpurposesonlyinconnectionwithanactualorpotentialmandateorengagementandremainsubjecttoverificationandtoourfurtherreviewandassessmentfrom,interalla,alegal,tax,compliance,accountingpolicyand riskperspective,as appropriate.
These materials were designed for discussion with and consideration by specific persons familiar with the business and affairs ofthe Company and are being furnished and should be considered only when taken together with any otherInformation,oral or written,
providedbyus inconnection herewith.These materials arenot intended toprovidethe sole basis for evaluating,and should not be considered as,andarenotintended toprovide,any advice,recommendationor formalopinion withrespectto,any transaction oranyfinancial,strategic,businessor othermatterand donotconstitute anoffer orsolicitation tosellorpurchaseanysecurities,nordotheyconstitute acommitmentbyBACor anyofits affiliatesto provide,arrange,bookrun,underwriteorsyndicateanyfinancingforany
transaction,to market,offer,place,sell,underwrite or purchase any security orto otherwise enter into any type of business relationship In connection herewith.None of BAC or Its affiliates has provided or will provide legal,tax,compliance,accounting orrisk advice
to the Company orany recipient of these materials.These materials are not intended to provide any such advice or any consulting,rating agency or environmental,social and governance and susainability("ESG")rating agency advice,nor are any materials providedbyusintendedtoidentify,evaluateoradviseyou astoanypotential legal,reputationalorotherrisks.Theinformationand any examplesprovided havenot been evaluatedorverified foreffectiveness,quality,accuracyorrisk and noneofBACorits affiliates Isendorsing
any particular approach to ESG,any particular ESG investment strategy or any particular ESG standards,ratings or metrics.These materials are subject to the Company's own review and assessment from a legal,tax,compliance,accounting policy,financial,strategic,
ESG,and risk perspective,asappropriate,and theCompanyshould consult withitsown legal,tax,compliance,accounting,financial,and ESG advisorsprior toentering anytransaction.Thesematerials are notintended tobelegallybindingorto give rise toany legal
relationship between therecipient orany other person whatsoever and any person or entity within theBAC Group.No person or entity within the BAC Group will be responsible or liable(whether In tort,contract orotherwise)for any losses or damages,consequential
or otherwise,that may be incurred or alleged by any person or entity asa result of these materials,any inaccurate,incomplete or misleading statement,error oromission In these materials,or any transaction(whether entered into or not)relating to or resulting from
these materials,and these materials maynot be used orrelied upon foranypurpose,other than as may be specifically agreed with us in writing.We assume no obligation toverify,update,correct or otherwise revise these materials.These materials have not been
prepared with a view toward public disclosure(whether under any securities laws or otherwise),are intended solely for review and consideration by the Company,and may not be,in whole or in part,reproduced,disseminated,quoted or referred to,or shown,
transmitted,or otherwise given to,any person other than the Company's authorized representatives,without our prior written consent.
These materials arebased on Information provided by or on behalf ofthe Company and/orother potentialtransaction participants,from public sources or otherwise reviewed by us.We assume noresponsibility for independentinvestigation or verification ofthe
information Included in these materials(including without limitation,data from third party suppliers)and have relied on such Information being complete and accurate in all material respects.To the extent such Information includes estimates and forecasts offuture
Mandel performance prepared by orreviewed with the managements ofthe Companyand/orother potential transaction participants orobtained from public sources,we haveassumed thatsuch estimatesand forecasts have been reasonably prepared on bases
reflecting the best currently available estimates and judgments ofsuch management or other parties(or,with respect to estimates and forecasts obtained from public sources,represent reasonable estimates).Any such estimates and forecasts may reflect assumptions
and judgments that prove incorrect;there can be no assurance that any estimates or forecasts will be realized.No representation or warranty,express or Implied,Ismade asto the accuracy or completeness ofany such Information,or of any other information in these
materials,and nothing contained herein Is,or shall be relied upon as,a representation,warranty orundertaking,whether asto thepast,thepresent or thefuture.These materials may not reflect Information known to other professionals in otherbusiness areas of the
BAC Group.Any league tables referenced within these materials have been prepared using data sourced from external third-party providers as outlined in the relevant footnotes where applicable.
The BAC Group comprises a full service securities firm and commercial bank engaged in securities,commodities and derivatives trading,foreign exchange and other brokerage activities,and principal investing as well as providing investment,corporate and private
banking,asset and investment management,financing and strategic advisory services and other commercial services and products to a wide range of corporations,governments and individuals,In the United States and Internationally,from which conflicting interests
or duties,or aperception thereof,may arise.In the ordinary course of these activities,parts ofthe BAC Group at any time may Invest ona prndpal basis ormanage funds that Invest,make orhold tong or short positions,finance positions ortrade orotherwise effect
transactions,for their own accounts orthe accounts ofcustomers,Indebt,equityorother securities orfinancial Instruments(including derivatives,bank loans orother obligations)ofthe Company,potential rounterparties or any other person thatmay be involved in
a transaction.
Bank of America"and"BofA Securities"arethemarketingnamesused bytheGlobal flanking andGlobalMarkets dtsions ofSAC.Lending,leasing,equipmentfinance,derivatives andothercommercialbanking activities,and tradingin certainfinancialinstruments,
are performed globally by banking affiliates or subsidiaries of BAC,including Bank ofAmerica,N.A.,Member FDIC,or of the deposit protection scheme,if available,in the relevant jurisdiction,Equal Housing Lender.Trading In securities and financial instruments,and
strategic advisory,and other Investment banking activities,are performed globally by investment banking affiliates or subsidiaries of BAC('Investment Banking Affiliates"),induding,in the United States,BofA Securities,Inc which isa registered broker-dealer and
Member of SIPC,and,in other jurisdictions,by locally registered entities(including Bank ofAmerica Europe Designated Activity Company,BofA Securities Europe 5A and Merrill Lynch International).BofA Securities,Inc.Is registered as a futures commission merchant
withthe CFTC and a member of the NPA.Bank ofAmerica Europe Designated Activity Company Isa wholly-owned subsidiary of BAC and is regulated by the Central Bank of Ireland.Products and services that may be referenced in these materials may be provided
through one rmore affiliates ofBAC.Bank ofAmerica and BofA Securities entities and branches provide financial services totheclients ofBank of America and BofA Securities and may outsource/delegatethemarketing and/or provision ofcertainservices or aspects
ofservices tootherbranchesormembersofthe BACGroup.Your service providerwillremain the entity/branch specifiedin youronboarding documentation and/orothercontractual ormarketingdocumentation even whereyou communicate with staffthat operate
from adifferent entity or branch which isacting for and on behalf of your contractual service provider in their communications with you.Some or all products and services offered by the BAC Group maybe unavailable In certain jurisdictions,ormaybe available only
on an offshore and/or reverse solkhation basis,and availability Issubject to change without notice.The BACGroup does not perform In any jurisdiction banking activities that are reserved by local law to licensed orapproved banks,except in those jurisdictions where
As banking affiliates or subsidiaries have procured the necessary licenses or approvals.
For those jurisdictions wheretheyare not licensed toperformbanking activities,allservices/productsare conducted onan offshore basisfor Latin Americaand the Caribbean.Some orall ofthe productsmay notbeavailable in certainjurisdictionsand are subject to
change without notice.This document and Its content are for Information purposes and shall not be interpreted as banking or financial intermediation,business solicitation and/or public offering of any kind.
Investment products offered byInvestment Banking Affiliates: Are Not FDIC Insured Are Not Bank Guaranteed May Lose Value
This document isNOT aresearch report and is NOT a product of a research department and the material in this communication Is not Investment research or a research recommendation.This document isnot prepared as or intended to be Investment advice,and the
content Is not and should not be considered as Investment advice under any circumstances.The BAC Group has adopted policies and guidelines designed to preserve the Independence ofour research analysts.These policies prohibit employees from,directly or
indirectly,offering research coverage,afavorable research rating or aspecific price target or offering to change a research rating or price target asconsideration for oran inducement to obtain business or othercompensation and prohibit research analysts from being
directly compensated for Involvement in Investment banking transactions.The views expressed herein are theNews solely of the specific BAC Group line of business providing you with these materials and noinference should be made that the views expressed
represent the view of the firm's research department.
My statements contained herein as to tax matters were neither written nor Intended by us to be used and cannot be used by any taxpayer for the purpose of avoiding tax penalties that maybe imposed on such taxpayer.if any person uses or refers to any such tax
statement In promoting,marketing or recommending a partnership or other entity,investment plan or arrangement toany taxpayer,then the statement expressed herein is being delivered to support the promotion ormarketing ofthe transaction or matter addressed
and the recipient should seekadvice based on its particular circumstances from an independent taxadvisor.Notwithstanding anything that may appear herein or inother materials to thecontrary,the Company shall be permitted to disclose the tax treatment and tax
structure of a transaction—Including any materials,opinions oranalyses relating tosuch taxtreatment or tax structure,but without disclosure ofidentifying information orany non-public commercial or financial information(except to the extent any such information
relates to the tax structure or tax treatment)—on and after the earliest to occur ofthe date of(I)public announcement of discussions relating to such transaction,(ii)public announcement of such transaction or(III)execution of a definitive agreement(with or without
conditions)to enter into such transaction;provided,however,that ifsuch transaction Isnot consummated for any reason,the provisions of this sentence shall cease to apply.
We are required to obtain,verify and record certain information that Identifies the Company,which information Includes the name and address of the Company and other information that will allow us to identify the Company in accordance,as applicable,with the
USA Patriot Act(Title IIIof Pub.L.107-56,as amended,which was signed Into law October 26,2001)and suchother laws,rules and regulations as applicable within and outside the United States.
Formore information,Includingwho yourcontractual service provider isor will be,thetermsand conditionsthat apply to the service(s),and information regardingexternalthird-partydata providers andthecriteriaand methodology used to preparea league table,
please contact your Bank of America or BofA Securities representative orrelationship manager.
Notice regardingBank ofAmerica orSofA Securities entities outsideoftheUnited States:ForBank ofAmerica orBofA Securitiesentities outsidethe United Sates,please seeadditional Information viathe following link:https://www.bofaml.corn/en-us/content/baml-
disclalmenhtml.
Notice regarding Bank of America or BofA Securities entities in the EEA and UK:For Bank ofAmerica or BofA Securities entitles in the European Economic Area and the United Kingdom,please see additional Information via the following link:www.beaml.cam/mlfid2.
Disclosure regarding BofA Securities Europe SA:BofA Securities Europe SA("BofASE SA"),with registered address at 51,tee La Boetie,75008 Paris is registered under n'842 602 690 RCS Paris.In accordance with the provisions of French Code Moneaire et Financier
Monetary and Financial Code),BofASE SA isan eabllssement decredit etd'investissement(credit and Investment institution)thatIs authorised and supervised bythe European Central Bank and theAutorite deContrile Prudential et de Resolution(ACPR)and
regulated by the ACPR and theAutorite des Marches Financiers.SofASE SA'sshare capital can be found atwwx.bofaml.com/BofASEdisdaimer.
Notice for Argentina:"Merrill Lynch"is the trademark that Bank of America Corporation uses in the Republic of Argentina for capital markets,financial advisory and investment businesses,which are conducted by and through Merrill Lynch Argentina S.A.This entity
does not conduct any activities subject to banking license,such as capturing deposits from the public.
Notice for Brazil:Bank of America and BofA Securities'Ombudsman'I Toll Free:0800 886 2000
BofA Securities'is the marketing name of Merrill Lynch S.A.Corretora de Titulos e Valores Mobiliarlos•,which is a broker-dealer registered In Brazil of Bank of America Corporation.
Bank of America Merrill Lynch Banco Meltiplo S.A.(the banking affiliate In Brazil of Bank of America Corporation)and Merrill Lynch S.A.Corretora de Titulos e Valores Mobilldrios(the registered broker dealer in Brazil).
Notice for Chile:Bank of America N.A.,Oficina de Represenadon(Chile),isa representative office in Chile of Bank of America N.A.,supervised by the Comisien para el Mercado Finandero and authorized to promote in Chile select products and services that Bank of
America N.A.provides outside ofChile.Neither Bank of America,N.A.,nor its representative office in Chile,is authorized to carry out in Chile any activities that are reserved by Chilean law to locally licensed banks.
Notice for Colombia:Bank of America N.A.,Oficina de Representation(Colombia),Is a representative office inColombia of Bank ofAmerica N.A.,supervised by the Superintendencla Financiera de Colombia and authorized to promote in Colombia select products and
services that Bank ofAmerica N.A.and BofA Securities,Inc.provides outside of Colombia.Neither Bank of America,N.A.,nor its representative office in Colombia,is authorized to carry out In Colombia any activities that are reserved by Colombian law tolocally licensed
banks.
Notice for Dubai International Flnandal Centre:Merrill Lynch International is authorised and regulated by the Dubai Financial Services Authority.Principal address is ICD Brookfield Place,Level 46,Dubai International Financial Centre,Dubai,United Arab Emirates.
License no.CL0322,P.O.Box 506576,Dubai,United Arab Emirates.This communication is not for distribution to the public or a large number of persons,but Is personal to named recipients;itis directed to professional and market customers and not to retail customers.
The finandal products/financial services to which this marketing material relates isonly made available to customers who in the view of Merrill Lynch international meet the regulatory criteria to be a Client under DFSA Conduct of Business rules(COB 2.3).Please note
that Merrill Lynch International does not deal with retail clients.
Notice for Hong Kong:Bank of America,National Association,Hong Kong Branch,is a branch of a national banking association organized and existing with limited liability under the laws of the United States ofAmerica.
Notice for Kingdom of Saudi Arabia:This marketing communication isIssued and approved by the Merrill Lynch Kingdom of Saudi Arabia Company which Isauthorised and regulated by the Kingdom of Saudi Arabia Capital Market Authority("CMA").Principal address
isKingdom Tower,22 Floor,2239 Al-Orouba Road,Olaya,Unit No:50,Ar Riyadh 12214-9597,Saudi Arabia.This communication Includes information given In compliance with the Regulations of the CMA.This communication may not be distributed in the Kingdom of
Saudi Arabia except to such persons asare permitted under the regulations Issued by the CMA.The CMA does not make any representation as to the accuracy or completeness ofthis communication,and expressly disclaims any liability whatsoever for any loss arising
from,or incurred in reliance upon,any part of this communication.This material isnot to be distributed to,nor to be read by,retail clients.
Notice for Mexico:Bank of America Mexico,S.A.,Instituden de Banca MGRlple Is a banking affiliate in Mexico of Bank ofAmerica Corporation and Merrill Lynch Mexico,S.A.de C.V.,Casa de Eloise is a registered broker dealer affiliate in Mexico of Bank ofAmerica
Corporation.
BankofAmerica,National Assodation,Charlotte,Carolinadel Norte,Estados Unidos deNorteamerica,RepresenacidnenMexico is arepresentative office In Mexico ofBank ofAmerica,N.A.,supervised bytheMexicoNational Commission onBanking andSecurities.
Notice for Peru:Bank of America N.A.,Mina de Representacion(Peru),is arepresentative office In Peru of Bank ofAmerica N.A.,supervised by the Superintendenda de liana,Seguros y Administradoras Privadas de Fondos de Pensiones and authorized topromote
inPeru select productsandservices thatBank ofAmericaN.A.and its Investment banking affiliates provide outsideof Peru.Neither BankofAmerica,N.A.,norIts representative officein Peru,isauthorized tocarryoutInPensanyactivities thatarereservedbyPeruvian
law to locally licensed banks.
Notice for Qatar Financial Centre:Merrill Lynch International)QFC)Branch is licensedbytheQatar Financial CentreRegulatory Authority.Principal addressis Tornado Tower,Level 22,West Bay,Doha,Qatar.QFC License no.00258,P.O.Box 27774,Doha,Qatar.This
communication is not for distribution to the public or a large number of persons,but is personal to named recipients;it Is directed to eligible counterparty or business customers and not to retail customers.The financial products/financial services to which this
marketing material relates isonly made available to customers who In the view of Merrill Lynch International(QFC)Branch meet the regulatory criteria to be a Client under QFCRA Customer and Investor Protection Rules 2019.Please note that Merrill Lynch International
QFC)Branch does not deal with retail customers.
Bank ofAmerica Europe DAC("BofA Europe')is a designated activity company limited by shares.It is registered in Ireland with registered number no.220165 and registered address at Two Park Place,Hatch Street,Dublin 2.BofA Europe is a credit institution and Is
authorised and supervised by the European Central Bank and the Central Bank of Ireland. BofA Europe is regulated by the Central Bank of Ireland. List of branches is at
https://business.bofa.com/content/dam/beamlimages/documents/articles/ID17 1174/boaml entitles list.pdf.
Bank of America,N.A.("BANA")isa national banking association organised and existing under the laws of the USA with charter number 13044 and with its registered address at 100 North Tryon Street,Charlotte,North Carolina 28202,USA.BANA(member of Federal
Deposit Insurance Corporation(FDIC))is authorised and regulated by the Office of the Comptroller of the Currency,and is subject to the supervision and regulation of the Board ofGovernors of the Federal Reserve System and the FDIC,each in the USA.BANA has a
London branch("BANA London Branch')withitsprincipal place ofbusiness inthe United Kingdom at2 King Edward Street,London EC1A 1HQ,which Is authorised bythe Prudential Regulation Authority andsubject to regulation by the Financial Conduct Authority and
limited regulation by the Prudential Regulation Authority.Details about the extent of BANA London Branch's regulation by the Prudential Regulation Authority are available from BANA London Branch on request.
Notice for Indonesia:Bank of America,National Association,Jakarta Branch("BANA Jakarta"),isa branch ofa national banking association organized and existing with limited liability under the laws ofthe United States of America.In Indonesia,BANA Jakarta islicensed
and under the supervision of the Indonesia Financial Services Authority("Otorias lase Keuangan"or"OJK")and Bank Indonesia,and a participant of Deposit Insurance Corporation("Lembaga Penjamin Simpanan"or"LPS").PT Merrill Lynch Sekurkas Indonesia is
licensed and supervised by01K.
Notice for Philippines:Bank ofAmerica,National Assodation,Manila Branch Is regulated by Bangko Sentral rig Pilipinas.https://www.bsp.gov.ph.Deposits are insured by Philippine Deposit Insurance Corporation up to PS00,000 per depositor.For queries or concerns,
please contact Client Service Team at(.632)88155100 orasia.sse-ph@befa.com.
02026 Bank of America Corporation.All rights reserved.1/2026
Response to Notice to Providers of Professional Services(HRS 103D-304)
1. Firm Name and Office Locations
Description of the Firm.
Bank of America Corporation("Bank of America"or"BAC")is one of the world's leading financial institutions offering
a full range of banking,investing,asset management and other financial and risk management products and services.
Bank of America is a global leader in wealth management,corporate and investment banking,and trading across a
broad range of asset classes — serving individuals, small and middle market businesses, large corporations, and
institutions(including our municipal clients)around the world.
BofA Securities is the brand name for the institutional businesses conducted through the broker-dealer BofA
Securities, Inc. ("BofA Securities" or "BofA"). BAC's retail brokerage system operates under Merrill Lynch, Pierce,
Fenner&Smith, Incorporated("Merrill")and BAC's commercial banking services are provided by our affiliate, Bank
of America, N.A. ("BANA"). As of May 2019, BofA is the successor entity for the institutional business of Merrill,
which was incorporated in Delaware in 1958 and was a municipal broker-dealer for approximately 60 years. Any
historical information provided in our response that predates May 2019 relates to Merrill as the predecessor entity.
BofA Securities and Merrill, which are affiliated indirect subsidiaries of BAC, have entered into an exclusive retail
distribution arrangement that enables Merrill to distribute certain new issue municipal securities underwritten by
or allocated to BofA and BofA will share with Merrill a portion of the fee or commission paid to BofA. Merrill
continues to operate our storied retail brokerage system, while BofA is the broker-dealer of record for municipal
banking and underwriting services. On the commercial banking side, BANA has long been an active lender to
municipalities, including financing the Golden Gate Bridge in the 1930s in the midst of the economic depression.
Merrill's wealth management businesses,with over 15,000 wealth advisors, provide tailored solutions to meet our
retail clients'needs through a full set of financial advisory services including investment management,banking,trust
and retirement products via two primary businesses:Merrill and Bank of America Private Bank.
Credit Ratings.
In the table below we provide the ratings of Bank of America Corporation as well as Bank of America, N.A.,the legal
counterparty for all credit products (letters of credit and liquidity facilities) and swap transactions entered into by
our firm. BofA Securities, Inc. ("BofA"), the broker-dealer through which we execute municipal underwritings,
currently carries the same ratings as Bank of America, N.A. (but is not rated by Moody's).
CURRENT CREDIT RATINGS
Bank of America Corporation Bank of America,N.A.
Moody's S&P Fitch Moody's S&P Fitch
Long-Term Al A- AA- Aa2 A+ AA
Short-Term P-1 A-2 Fl+ P-1 A-1 F1+
Outlook Stable Stable Stable Stable Stable Stable
Note:Ratings as of 6/25/26.
Municipal Banking and Markets.
Headquartered in New York City, BofA's Municipal Banking and Markets(MBAM)group is a fully integrated division
that includes Public Finance Investment Banking, Sales, Trading, Underwriting, Municipal Credit Products,
Commercial Bank Credit Products and Client Management for governmental clients. This single, coordinated
business unit provides our municipal clients with a central platform for their capital raising, credit and treasury
needs. Integrated client focus facilitates optimized product solutions, and streamlined coverage is led by public
finance bankers who coordinate the delivery of both capital markets and bank/on-balance sheet products.With all
municipal business reporting to the same leadership, our public finance banking teams are able to provide the
County with broad access to market information, facilitate quick responses to changing market conditions. This
consolidated business model has led to our#1 ranking as underwriter of municipal bonds in each of the last
fourteen years as well as in 2026YTD.
Investment banking coverage will be coordinated and led from BofA's Los Angeles office, supplemented with
additional banking, underwriting, sales and trading professionals in our New York, Honolulu, and San Francisco
offices.The addresses for these offices are provided below.Please note that our team's detailed contact information,
including email addresses,are provided in our response to Question 3.
LOS ANGELES OFFICE I NEW YORK OFFICE I HONOLULU OFFICE I SAN FRANCISCO OFFICE
333 S. Hope St.,Ste.3820 One Bryant Park 1003 Bishop St.Pauahi Tower 555 California Street,Suite 610
Los Angeles,CA 90071 New York,NY 10036 Honolulu,HI 96813 San Francisco,CA 94104
0.) Pagel BofA SECURITIES /
Bank of America has an expansive global footprint, serving clients through operations in over 40 countries. Of
relevance to the County, a complete list of our 2,400+ nationwide Merrill Lynch offices can be accessed via the
following link:https://www.fa.ml.com/find-an-advisor/#byoffice?modal=findbranch.
Our Bank presence in the United States also includes approximately 1,000 retail banking offices and over 16,000
ATMs and can be accessed by the following link:https://locators.bankofamerica.com/.
Through our Bank of America, N.A. affiliate, the legal counterparty for the majority of our credit products and all
swap transactions entered into by BofA,we are a leading credit/liquidity provider. In addition,and depending upon
structure, at times we utilize other Bank of America Corporation affiliates to book credit products; these affiliates
include Banc of America Preferred Lending Corporation and Banc of America Specialized Lending Corporation. Our
credit team has an extensive track record of providing flexible and cost-effective on-balance sheet credit for
government agencies, including liquidity facilities, letters of credit, direct purchases,loans, leases, and a multitude
of other credit related products and services.Examples applicable to the County include:
Provide flexible interim/CP-like solutions without enhancement/remarketing costs
Privately place moderately sized tax-exempt,AMT and taxable transactions with low cost of issuance
Taxable advance refundings and tax-exempt forward refundings well in advance of first call dates/non-callable
debt
In addition to the Bank's long-standing leading role in the provision of traditional credit products,we have developed
a number of innovative on-balance sheet products that can be alternatives or supplements to traditional variable
rate/commercial paper programs and their related bank facilities,including direct purchase index floaters,revolving
credit facilities,and private placement options.
The Bank is also very active in the energy and equipment leasing space through Bank of America Public Capital Corp
BAPCC"),a wholly-owned subsidiary of Bank of America N.A.We have purchased five such leases on behalf of the
State in recent years.
Hawaii Presence.The firm's resource and economic commitment to Hawaii extends back to the 1960's,when Merrill
opened its first Hawaii office in downtown Honolulu.Today, Merrill employs 88 Hawaii residents,including 58 retail
financial advisors and three institutional advisors across our Honolulu, Hilo and Kailua-Kona offices:
HAWAII OFFICES HONOLULU HILO KAILUA—KONA
Location 1003 Bishop Street 1437 Kilauea Ave 78-6831 Alii Dr#7A
Honolulu,Hawaii 96813 Hilo,Hawaii 96720 Kailua Kona,Hawaii 96740
Employees 77 6 5
ML Financial Advisors 52 4 3
Office Opened 1969 1974 1988
Bank of America Corporation with its subsidiaries and local employees has been an active supporter of charities,
charitable events and non-profit organizations in Hawaii.Since 2020,this local support has included:
3,400 volunteer hours in local communities
390,000 donated by local employees to local charitable organizations
366,000 in grants and gift matches via the Bank of America Charitable Foundation
253 million in loans to commercial businesses in Hawaii
82 million of home loans to Hawaii customers
48 million in credit to small businesses in Hawaii
Local charities and civic organizations supported by the firm and our employees include:
Adult Friends for Youth Hawaii Community Foundation PAWS of Hawaii
After-School All-Stars Hawaii Hawaii Symphony Orchestra Inc Pacific Whale Foundation
Ahahui Malama I Ka Lokahi Hawaiian Humane Society Peaches Kokua Hui
American Diabetes Association Hawaiian Mission Children's Society Punahou School
Big Brothers Big Sisters Hawaii Inc Hawaiian Music and Dance Found The Queen's Health Systems
Boy Scouts of America Aloha Council Honolulu Museum of Art Saint Louis School
Boys And Girls Club of Hawaii Honolulu Zoo Society Shriners Hospitals For Children
Brigham Young University-Hawaii Japan America Society of Hawaii Special Olympics Hawaii Inc
The Caregiver Foundation Leukemia&Lymphoma Society Inc Surfrider Spirit Sessions
Chaminade University of Honolulu Make A Wish Hawaii Inc Tri-Isle Resource Cons&Devel Council
Conservation Council for Hawaii Maui Food Bank Inc University of Hawaii Foundation
Diamond Head Theatre Maui Memorial Medical Ctr Waikiki Health Center
Equine 808 Horse Rescue Foundation
Friendship Homes and Schools Mohala Pua School
Page2 BofA SECURITIES S®
Additionally,Bank of America announced in 2023 that the Hawaii State Archives would be the recipient of a Bank of
America Art Conservation Grant to conserve three royal portraits in the Archive's collection (including the famous
William Cogswell portrait created in 1892 depicting Queen Liliuokalani). Also in 2023, Bank of America provided
significant support for the Maui Wildfire recovery effort through multiple organizations including the Hawaii
Community Foundation.
2. Firm Age and Average Number of Employees
Firm Age.The heritage of Bank of America and its legacy institutions can be traced back nearly as far as our nation's
founding.For over 100 years,Bank of America has helped create opportunity and fuel economic growth by investing
in the people, neighborhoods, institutions, and industries that have built and advanced America. As noted above,
our Municipal Banking and Markets group operates under the broker-dealer BofA. BofA is the successor entity for
the institutional business of Merrill Lynch, Pierce, Fenner&Smith Incorporated ("Merrill")which was incorporated
in Delaware in 1958 and was a municipal broker-dealer for approximately 60 years.Merrill continues to operate our
storied retail brokerage system, while BofA is the broker-dealer of record for municipal banking and underwriting
services.On the commercial banking side,BANA has been an active lender to municipalities for more than a century.
Number of Employees. With approximately 213,000 employees worldwide (as of 2025),the Bank ranks as one of
the largest securities firms in the world. Our activities include domestic and international investment banking,
project financing,derivative structuring,institutional marketing,economic forecasting,leasing,money markets,and
sales and trading of corporate, U.S. government, and municipal securities. BAC's historical headcount figures over
the past five years are presented in the following table.
BANK OF AMERICA CORPORATION EMPLOYEES
As of December 31) 2021 2022 2023 2024 2025 Avg.(20-24)
Total Employees 208,000 217,000 218,000 213,000 213,000 213,800
3. Finance Team
BofA's proposed finance team is summarized in the graphic below. The core finance team will participate in all
financings proposed by the County while specialty bankers will contribute on an"as needed"basis.Please note,our
core banking personnel maintain all required and applicable licenses and registration to conduct securities related
business in Hawaii and nationally.Also, provided on the following page, is BofA's deep bench of specialty banking,
underwriting,trading and marketing professionals,as well as our in-house credit team.
Core Finance Team
Frank Lauterbur Craig Dussinger Brad Gewehr
Managing Director(LA) Director(LA) Senior Vice President(NY)
Primary Contact&Lead Banker Co-Lead Banker Lead Credit Specialist
40 years experience) 21 years experience) 43 years experience)
Collin De La Bruere Kirubiel Ayele Katy Liu Justin Kaneko
Senior Vice President(BOS) Director(LA) Director(LA) Vice President(LA)
Credit Specialist Quantitative and Execution Banker Quantitative and Execution Banker Support Banker
13 years experience) 11 years experience) 9 years experience) 6 years experience)
Banking Specialists Underwriting
Jeffrey Bower Brendan Troy Kerri Jobling Miguel Ruiz
Managing Director(LA) Managing Director(NY)Vice President(NY) Vice President(NY)
Western Region Lead Fixed Rate Underwriter Fixed Rate Underwriter Lead Variable Rate Underwriter
Water/Wastewater Specialist 25 years experience) 8 years experience) 5 years experience)
38 years experience)
Tom Liu Retail Marketing&Trading
Managing Director(NY)
National Grace Gaoaen Jeff Harris Chris Rohstedt
Water/Wastewater Specialist Director(SF) Director(LA) Vice President(SF)
36 years experience)
HI Retail Marketing HI Trading Specialist Trading Strategies
41 years experience) 32 years experience) 21 years experience)
The proposed BofA finance team offers the County many years of experience working with Hawaii municipalities.In
fact, for over three decades, our finance team has managed more transactions in Hawaii than any other. Frank
Lauterbur,Managing Director,has over 40 years of experience in public finance and has been covering Hawaii issuers
for his entire career.Mr.Lauterbur will serve as the County's lead banker and primary contact.He is Co-Head of our
ef-84'Page3 BofA SECURITIES
Western Region group and a member of the Public Finance Group's banking management committee.Mr.Lauterbur
will be directly available throughout all aspects of the transaction from kick-off to closing,including conference calls,
rating agency presentations,and investor meetings.Craig Dussinger, Director,will serve as co-lead banker and lead
the execution efforts for the County. Mr. Dussinger has spent his entire career working in Hawaii and will continue
to make the County his top priority.Mr.Dussinger has recent experience senior managing sizable G.O.financings for
the County of Hawaii,City and County of Honolulu and the State of Hawaii.Brad Gewehr,Senior Vice President,will
assist in any credit analysis and rating agency strategy for the County. Mr.Gewehr was a former Managing Director
at Moody's,and he will be available to assist the County with rating presentations and credit strategy. Mr.Gewehr
also is our national pension and OPEB specialist. Brad will be assisted by Collin De La Bruere,a Senior Vice President
base in Boston. Kirubiel Ayele and Katy Liu, both Directors, will provide day-to-day transaction execution and
quantitative support.Additionally,Justin Kaneko,Vice President,will provide further banking support. Mr. Kaneko
was born and raised in Hawaii on the island of Oahu.
Jeffrey Bower and Tom Liu,both Managing Directors will be available to provide any guidance and expertise on any
potential Water/Wastewater financings the County may need.Mr.Bower is the head of our Western Region Water
Wastewater practice and Mr. Liu is the head of our National Water/Wastewater/SRF practice. Additionally, both
Messrs. Bower and Liu are experts on WIFIA and are able to provide guidance,if needed.
Brendan Troy, Managing Director,will serve as lead municipal underwriter, managing the pricing and underwriting
of the County's fixed rate bonds. Mr.Troy was the lead underwriter for the County's 2008, 2010, 2013,2016, 2017,
2020, 2023 and 2025 G.O. financings. Kerri Jobling, Vice President, will provide additional fixed rate underwriting
support. Miguel Ruiz,Vice President, manages BofA's remarketing book and will serve as the lead underwriter for
any short-term variable rate transactions Grace Gaoaen,Director,will provide overall retail marketing guidance from
our San Francisco trading desk.Jeff Harris,Director,will provide retail marketing and trading guidance from our Los
Angeles municipal markets desk. Chris Rohstedt, Vice President, will provide additional guidance on trading
strategies.
Resumes for these professionals are provided below.
CORE FINANCE TEAM
Frank Lauterbur Role: Primary Contact and Lead Banker- Responsible for providing day-to-day banking
Managing Director&Co-head of Western Region coverage and resource management for the State.
T 213.305.9575 Related Experience: Mr. Lauterbur has over 40years of experience workingwith westernrrank.lauterbnrgabora.cum P
Education:M-BA-Dartmouth College too Angeles
region municipalities and especially Hawaii clients (having covered Hawaii for his entire
career).This includes over 30 years at BofA and its predecessor,Merrill Lynch. He serves asFINRA'.Series 7,53 and 63
Hawaii Registered Co-Head of Western Region Public Finance for BofA.His extensive Hawaii experience includes
BofA SECURITIES i senior managed transactions for the State of Hawaii(G.O.,COPs and QSCBs),including the
State's General Obligation Bonds of 2009,2011,2012,2013,2014,2015,2016,2017,2018,
2019, 2020 2021, 2022 (co-senior), 2023 (co-senior), 2024, and 2026, Harbors Division,
Airports Division, Highways Division, University of Hawaii, Department of Hawaiian Home
Lands, Hawaii Housing Finance and Development Corporation, Hawaii Community
Development Authority, Mid-Pacific Institute, Chaminade University, City and County of
Honolulu,Honolulu Board of Water Supply,County of Kauai,County of Hawaii and County of
Maui.For these clients and others,he has executed a wide spectrum of structures and credits
including G.O.s, COPs/lease revenue bonds, pension obligation bonds, transportation
airports,ports and highways),water and sewer and special assessment bonds.Mr.Lauterbur
has also helped facilitate several direct funding solutions with Bank of America for the State,
Airports and Harbors Divisions.He also has served as a lead banker for the states of California,
New Mexico and Washington,the Government of Guam and the Counties of Los Angeles,
Riverside and San Diego.
creig Dussinger Role:Co-Lead Banker-Responsible for leading day-to-day execution of all financings.
Director Related Experience:Mr.Dussinger has 21 years of experience in municipal finance,including
T213.345 9579 14years at BofA.Mr.Dussinger has covered Hawaii for this entire career and will lead the day-crap dussingerebbola.com g
Education:85-Northeastern University to-day deal execution for the State.His Hawaii experience includes financings for the State of
Hawaii,including the State's General Obligation Bonds of 2009,2011,2012,2013,2014,2015,FINRA:Series 7,53and 63
Hawaii Registered 2016,2017,2018,2019,2020,2021,2022(co-senior),2023(co-senior),2024,and 2026 as well
aorA SECURITIES i as financings for Airports Division, Harbors Division, University of Hawaii, Department of
Hawaiian Home Lands, Mid-Pacific Institute, Chaminade University, City and County of
Honolulu,Honolulu Board of Water Supply,County of Kauai,County of Maui and County of
Hawaii. Mr. Dussinger' s work with the State includes quantitative modeling, drafting the
rating agency presentations, reviewing legal and disclosure documents and handling the
logistics of keeping the State's financings on track. Mr. Dussinger also covers high profile
clients such as the Ports of Los Angeles and Long Beach,the State of New Mexico,the New
Mexico DOT,California State University and the University of California.Mr.Dussinger is also
NPF Page4 BofA SECURITIES `
CORE FINANCE TEAM
closely involved with the financial modeling for the Honolulu High Capacity Transit Corridor
Project(Rail System).He assisted with the original model that was submitted and approved by
the FTA.
aradGewehr Role: Lead Credit Specialist — Responsible for assistance with credit analysis, rating
Senior Vice President presentations and investor relations.
T 646.743.1336 Related Experience:Mr.Gewehr joined BofA's Municipal Products Group to provide municipalbradley.gewehrgebofa.com
Education:BA-Amherst University credit expertise to our West Coast clients.Prior tojoining BofA,he was with UBS where he was
MB"-New V """" the head of their municipal credit strategies group and worked closely with Mr.Lauterbur in
NNRA:Series 7,53 and 63
Hawaii Registered Hawaii for over 20 years.He has assisted numerous municipal water utility clients and general
BofA SECURITIES' fund (G.O. and lease revenue) issuers on credit analyses and strategies. Additionally, Mr.
Gewehr spent many years at Moody's as a Managing Director where he supervised a staff of
analysts responsible for assigning and maintaining ratings on municipal tax-backed, utility
revenue,and lease credits in 26 states.
Collin De La Bruere Role: Credit Specialist — Responsible for providing quantitative support and day-to-day
senior Vice President execution.
T617.434.1362 Related Experience: Mr. De La Bruere is a Senior Vice President in our Municipal ProductsmRm.delabmere®bofa.c°m
Education:BA-Harvard University Group,assisting transportation infrastructure clients nationwide with credit risk management.
Collin specializes in developing strategies to maximize credit ratings and investor participation
FINRA:Series 7,52,53,63 and 66 in a constantly evolving transportation sector.In this capacity,Collin has recently worked with
BofA SECURITIES Salt Lake City(SLC),Dallas-Fort Worth(DFW),Seattle(SEA),Portland(PDX),San Diego(SAN),
Reno-Tahoe(RNO),and Hawaii(HNL).Collin has also provided over$17 billion in bank credit
capacity since 2014,including to New Terminal One.
Kirublel Ayele Role:Analytical and Quantitative Analysis—Responsible for providing additional transaction
Director support.
T 213.345.9577 Related Experience:Mr.Ayele joined BofA full time in 2015.Since joining our team,Mr.Ayelekirublel.ayelegebofa.com
Education:BA-University of Southern California has worked in various bond issues for states across the western region including the State's
General Obligation Bonds of 2015,2016,2017,2018,2019 2020,2021,2022(Co-Senior)2023
FINRA:Series 7,52 and 63
Hawaii Registered co-senior)and 2024,as well as financings for Harbors Division,Airports Division,University of
SofA SECURITIES %i Hawaii,County of Kauai and County of Hawaii.He also provided execution support for the City
and County of Honolulu's most recent G.O.and Wastewater Revenue Bond financings as well
as the Honolulu Board of Water Supply's 2020 Bond financing.Prior to joining BofA,he worked
in the investment services industry at Northwestern Mutual specializing in deal execution and
asset management.
Katy Liu Role:Analytical and Quantitative Analysis—Responsible for providing additional transaction
Director support.
T213.345.9583 Related Experience:Ms.Liu joined BofA's Western Region group in the summer of 2016.Ms.katy.IlupDofa.com
Education:BA-University 0f California,Los Angeles Liu's public finance experience includes recent transactions for the State's 2017, 2018 and
2019 General Obligation Bond financings.She also provided execution support for the City and
MIRA:Series 7,52 and 63
Hawaii Registered County of Honolulu's most recent G.O.and Wastewater Revenue Bond financings as well as
Bo(A SECURITIES-'i the Honolulu Board of Water Supply's 2024 Bond financing. In addition, her west coast
experience includes transactions for the Bay Area Toll Authority, Bay Area Rapid Transit
District,the Department of Water and Power of the City and County of Los Angeles,among
other West Coast financings.
Tustin Kaneko Role:Support Banker—Responsible for providing additional transaction support.
Vice President Related Experience:Mr.Kaneko,who was born and raised in Hawaii,joined BofA's Western
T 213.345.9597 Region group in the September of 2020 after being an intern in 2019. Since joining, Mr.justin.kanekogebofa.com
Education:BS-FordhamUniversity Kaneko's public finance experience includes financings for the State of Hawaii(G.O.,Airports,
Education:BS-FordhamUniversity Harbors, and Highways), University of Hawaii, City and County of Honolulu (G.O. andFINRA:SeriHawes 7,52 and 63
allRegistered Wastewater),County of Hawaii,County of Kauai,Honolulu Board of Water Supply,Bay Area
BofA SECURITIES Toll Authority,Guam Power Authority,County of Los Angeles,Orange County Transportation
Authority,City of Manhattan Beach,City of Modesto,and Cucamonga Valley Water District.
BANKING SPECIALISTS
Jeffrey Bower Role:Western Region Water/Wastewater Specialist
Managing Director Experience:Mr.Bower has over 37 years of experience in municipal finance including working
T 213.3459580 for the Orange County Water District earlier in his career.During his public finance career heJeffrey.bowerEebof a.con
Education:BA-Dartmouth College has senior managed over$35 billion for issuers in California, Hawaii,Arizona, Nevada and
MBA-University ofCalifornia,Los Angeles Washington. Mr. Bower has extensive general state and lease financing experience with
FINRA:Series 7,53 and 63
Hawaii Registered multiple issuers in the Western region, including the States of Arizona, California and
BofA SECURITIES %i Washington.He has served as a senior banker on the State's most recent general obligation
financing and the Honolulu Board of Water Supply's most recent financings. He has also
assisted in many of the State of Hawaii's transactions in recent years, including the G.O.,
Airport and Harbors System credits.
Pages BofA SECURITIES ' °
BANKING SPECIALISTS
Tom Liu Role:Head of Water and Wastewater/SRF Group
Managing Director Related Experience: Mr. Liu is a well-recognized expert and industry leader in
T 646.743.1361 water/wastewater financings, specializing in this area his entire 34-year career and havingthomas.liugebofocom
Education:Bs—Universey,ISUr,and senior-managed over $33 billion in such financings. Mr. Liu serves some of the largest
MBA—University of Chicago water/wastewater issuers in the nation including the City of Tampa, the New York City
FINRA:Series/,52,53 and 63 Municipal Water FinanceAuthority,Massachusetts Water Resources Authority,DC Water,CityHawaiiRegisteredP
R,fA SECURITIES of Chicago (wastewater), City of Philadelphia (water), Sewerage and Water Board of New
Orleans,and the Puerto Rico Aqueduct and Sewer Authority,among others.
UNDERWRITING
Brendan hay Role:Lead Fixed Rate Underwriter—Responsible for fixed rate issue pricing,underwriting and
Managing Director syndicate management for the County.
br ridn.5,B1 Related Experience:Mr.Troyhas over 24years of experience in both the underwritingof fixedbrendantroyeabuta.mm P
Education:BA—VanderbilUniversity rate and variable rate securities at BofA.His recent experience for the State of Hawaii includes
MBA—New York University the States General Obligation Bondsof 2011,2012,2013,2014,2015,2016,2017,2018,2019,
FINRA:Series),53 and 63
Hawaii Registered 2020,2021 and 2024,Airports Division's 2017 and 2019 CFC Bonds,Harbors Division's 2010
ROTA SECURITIES i and 2020 Harbor System Revenue Bonds, the State's $32.0 million Qualified School
Construction Bond issue Series DS of 2009,$293.68 million Series DT-DW refunding bonds of
2009 and$41.12 million Series 2009A COPs.Also recently,Mr.Troy senior managed the City
and County of Honolulu's Series 2023 General Obligation Bond and 2023 Wastewater Bond
issues, as well as the County of Hawaii's 2012, 2016, 2017, 2020, 2023 and 2025 General
Obligation bond issues. Mr. Troy's clients throughout the west also include the State of
California, State of New Mexico, State of Washington, Government of Guam, Los Angeles
County and San Diego County Regional Airport Authority.
Kerni Jobling Role: Fixed Rate Underwriter—Responsible for fixed rate issue pricing,underwriting and
Vice President syndicate management for the County.
T 212.449.5081 Related Experience:Ms.Harner began her career working in retail municipal sales,and thenkerrl.loblinggabofa.com
Education:BA—RucknellUniversity transitioned onto the long-term municipal underwriting desk in 2018.She has served as lead
underwriter on deals across various sectors in the tax-exempt and taxable municipal market,
FINNA:Series],52 and 63
Hawaii Registered including multiple western region transactions. She served as the lead underwriter for the
ReEA SECURITIES negotiated sales for the Yucaipa Valley Water District(February 2022), Los Angeles County
Sanitation Districts(2022),Rancho California Water District(2021),Cucamonga Valley Water
District(2021),and Mesa Water District(2020).
Miguel Ruiz Role:Lead Municipal Money Markets Underwriter
Vice President Related Experience Mr.Ruiz has 5 years of experience in the municipal market and is currently
T 212..9.5544 one ofBofA's lead short term underwriters.He hasexperience as a competitive and negotiatedmrula24®bofa.tom P P
Education:BS—New York University underwriter,pricing tax-exempt and taxable transactions across all sectors of the municipal
market.In addition,prior to joining the short-term underwriting desk he worked in sales onFINRA:Series 1,52 and 63
Hawaii Registered the municipal marketing desk.Before Joining BofA,Mr.Ruiz served for 4 years in the United
REFS SECURITIES States Army as an airborne infantryman.
TRADING AND MARKETING
GraceGaoaen Role: Retail Marketing Specialist— Responsible for Hawaii retail marketing from our San
Director Francisco desk.
T 415.627.2137 Related Experience: Grace has over thirtyof municipal bond experience with thegrace.gaoaenEdbora.com years P
Education:BA—Saint Manes College of California following firms:Morgan Stanley&Co.,Thomson McKinnon Securities,A.G.Edwards&Sons,
Piper Jaffray&Company and BofA.Her experience encompasses the trading,underwriting andFINRA:Series 1 and 63
Hawaii Registered marketing of municipal securities primarily for retail sales.She joined the Public Finance Group
REPS SECURITIES-%i at the BofA Merrill Lynch in October 2005 where she utilized her extensive experience working
with retail sales to grow that business. In addition to Hawaii,her territory has expanded to
cover the retail salesforce in the states of Oregon and Nevada.
Jeff Harris Role:Hawaii Trading Specialist—Responsible for California trading from our Los Angeles desk.
Dire,mr Related Experience: Mr. Harris has 30 years of public finance experience. His extensive
T 212.345.43.4 experience includes areas in trading, marketing, and underwriting. Prior to joiningMerrilleff.harrHtabofe.com P ga
Education,B5—Truman State University Lynch',he managed the west coast regional trading desk for A.G.Edwards.Additionally,Mr.
Harris served as underwriter on over 60 negotiated financings in his 3 years tenure atFINRA:Series],53 and 63
Hawaii Registered Southwest Securities.
REPS SECURITIES'//
Page 6 BofA SECURITIES `
Chris Rohstedt Role:Trading Strategies—Responsible for Western Region trading strategies from our San
Vice President Francisco desk.
T 415 627 2137 Related Experience: Mr. Rohstedt joined Merrill Lynch in 2005 after two years of municipalchns.rohstedt@bofa.corn
Education:BA—CornellUnlversrty financial advisory experience at Public Financial Management,where he provided quantitative
WA—Syracuse Unlverslry analysis in support of debt management and transaction execution.Prior to joining the retail
FINM:
HarwaiiReentered marketing desk,Mr.Rohstedt worked as a public finance banker and completed transactions
BofA SECURITIES i for issuers including the State of California, California Department of Water Resources,
California Public Works Board, Alameda County, San Bernardino County Transportation
Authority,Orange County Transportation Authority,City of Pasadena,Sacramento Municipal
Utility District,Alaska Energy Authority,State of Delaware,State of Ohio,Virginia Municipal
League,Southeastern Pennsylvania Transportation Authority,and Indiana Finance Authority.
4. Client References
BofA's strength in the municipal market is not only evident in our firm's strong rankings, but also in the strength of
our relationships with our issuer clients. We have provided below the requested references and encourage the
County to contact any or all of these references for first-hand commentary on the ability of BofA to meet the County's
financing needs as well as our banking team's leadership in managing transactions.We are confident that each will
attest to our commitment and the high level of service that we provide on a continual basis.
HAWAII REFERENCES
Client Information Relevant Financings and Services
General Obligation Bonds
City and County of Honolulu Index Floating Rate BondsMr.Andrew T.Kawano/Mr.Roger Babcock
Water&Wastewater System Revenue Bonds
Director of Budget&Fiscal Services/Director of Environmental Services BABs&R2EDBs
530 South King Street,Room 208
Honolulu,HI 96813 Solid Waste(H-POWER)
Tel:(808)768-3901/(808)768-3486 Private Activity Bonds
E-mail:andy.kawano@honolulu.gov/roger.babcock@honolulu.gov
Tax-Exempt Commercial Paper
Lines of Credit&Treasury Securities Provider
State of Hawaii General Obligation Bonds
Mr.Rod Becker Certificates of Participation
Administrator Qualified School Construction Bonds
250 South Hotel St.,Room 302 Airport System Revenue Bonds
Honolulu,Hawaii 96813 Highways System Revenue Bonds
Phone:808-586-1612 Harbors System Revenue Bonds
E-mail:roderick.k.becker@hawaii.gov Treasury Securities Provider
Honolulu Board of Water Supply
Mr.Ernest Lau/Mr.Kaliko Lum Kee Water System Revenue Bonds
Manager&Chief Engineer/Assistant Waterworks Controller Private Activity Bonds
630 Beretania Street State Revolving Fund Loans
Honolulu,HI 96843 Sustainability Bonds
Tel:808-748-5061/(808)748-5131 Bank Revolving Line of Credit
E-mail:elau@hbws.or/klumkee@hbws.org
County of Los Angeles
Mr.John Patterson Investment Banking Services
Treasurer and Tax Collector Bond Underwriting Services
500 West Temple Street,Room 432 Private Placements
Los Angeles,CA 90012 Letter of Credit Provider
Tel:(213)974-2310 Treasury Services Provider
E-mail:jpatterson@ttc.lacounty.gov
New Mexico Finance Authority
Mr.Chip Pierce Public Project Revolving Fund Revenue Bonds
Chief Financial Strategist State Transportation Revenue Bonds
207 Shelby Street Letters and Lines of Credit
Santa Fe,New Mexico 87501 Direct Purchase Floating Rate Notes
Tel:505-984-1454.
E-mail:(pierce@nmfa.net
1010 Page 7 BofA SECURITIES
5. Additional Information
Commitment to the Hawaii Market
BofA is also the"Number One"senior manager of municipal bonds in
ENIOR MANAGED HAWAII FINANCING EXPERIENCE
Hawaii since 2024, as shown to the right. We have a deep bench of January 1,2024 to 2026 YTD
senior and junior bankers along with a broad range of specialists well
versed in Hawaii credits. Please note that our core personnel 8otA$ECURITIEs ' 4,840
currently maintain all required registrations and licenses to conduct Barclays 6 $965
securities related business in Hawaii.
Raymond James 3 $393
Since the beginning of 2010,BofA has served as senior underwriter
on over$38.2 billion in financings for Hawaii issuers, including the RBC $197
State of Hawaii General Obligation issuance earlier this year. Our
Wells Fargo $88
underwriting desk has consistently supported issuers across the
state, including senior manager for the City and County of Honolulu, 5ource:5ecuritiesoataCompany.
Note:Rankings reflect true economics.Figures within bars denote
County of Hawaii, University of Hawaii, Honolulu Water Supply number ofissues.Par amount in millions.
Board,Hawaii Department of Budget and Finance and County of Kauai.Below we provide detailed deal list for Hawaii
transactions since 2010.
Sale Date Issuer Issue Description Par Amount Tax Status Role
TBD* City and County of Honolulu General Obligation Bonds TBD* TBD*Senior
04/16/26 State of Hawaii Highway Revenue Bonds 438,035,000 TE Senior
04/15/26 State of Hawaii General Obligation Bonds 1,500,000,000 TX Senior
11/19/25 Hawaii Housing FDC Single Family Mtg Revenue Bonds 30,000,000 TE Co-Senior
09/09/25 City and County of Honolulu Wastewater System Revenue Bonds 216,940,000 TE Senior
07/23/25 County of Maui General Obligation Bonds 300,160,000 TE Senior
07/16/25 City and County of Honolulu General Obligation Bonds 734,090,000 TE Senior
05/28/25 The Queen's Health Systems Special Purpose Revenue Bonds 316,945,000 TE Senior
04/14/25 County of Hawaii General Obligation Bonds 142,140,000 TE Senior
02/13/25 State of Hawaii Airport Sys Rev&Ref Bonds 848,535,000 TE/AMT Co-Senior
12/04/24 State of Hawaii General Obligation Bonds 750,000,000 TX Senior
12/03/24 County of Kauai General Obligation Bonds 56,640,000 TE Senior
09/11/24 City and County of Honolulu Wastewater System Revenue Bonds 625,555,000 TE Senior
07/09/24 City and County of Honolulu General Obligation Bonds 169,650,000 TE Senior
06/13/24 Hawaii Pacific University Special Purpose Revenue Bonds 35,730,000 TE Senior
03/12/24 Honolulu Water Supply Board Water System Rev Bonds 72,815,000 TE Senior
12/06/23 Hawaii General Obligation Bonds 750,000,000 TX Co-Senior
09/12/23 Honolulu City&County Wastewater System Revenue Bonds 189,785,000 TE Senior
08/08/23 Honolulu City&County General Obligation Bonds 271,025,000 TE Senior
06/07/23 Hawaii County General Obligation Bonds 99,000,000 TE Senior
03/08/23 Honolulu Water Supply Board Water System Revenue Bonds 17,245,000 TE Senior
10/19/22 Hawaii General Obligation Bonds 800,000,000 TX Co-Senior
07/19/22 Honolulu City&County General Obligation Bonds 97,455,000 TE Senior
05/11/22 Honolulu City&County Wastewater System Rev Bonds 241,355,000 TE Senior
03/08/22 Honolulu Water Supply Board Water System Revenue Bonds 135,260,000 TE/TX Senior
01/20/22 Hawaii Airport System Revenue Bonds 262,315,000 AMT Co-Senior
09/29/21 Hawaii General Obligation Bonds 1,992,505,000 TX Senior
07/21/21 Honolulu City&County General Obligation Bonds 742,675,000 TE/TX Senior
05/26/21 Hawaii Highway Revenue Bonds 137,205,000 TE Co-Senior
03/23/21 Kauai County General Obligation Bonds 28,560,000 TE/TX Senior
03/09/21 Honolulu Water Supply Board Water System Revenue Bonds 93,535,000 TE/TX Senior
12/15/20 Honolulu City&County Wastewater System Rev Bonds 273,670,000 TE/TX Senior
11/19/20 Hawaii Harbor System Revenue Bonds 266,550,000 TE/TX Senior
10/21/20 Hawaii General Obligation Bonds 1,147,555,000 TE/TX Senior
10/15/20 Hawaii County General Obligation Bonds 77,135,000 TE/TX Senior
10/14/20 Univ of Hawaii Board of Regents University Revenue Bonds 217,165,000 TE/TX Senior
10/07/20 Hawaii Airport System Revenue Bonds 582,490,000 TE/TX Co-Senior
08/05/20 Hawaii General Obligation Bonds 995,000,000 TE/TX Senior
07/22/20 Honolulu City&County General Obligation Bonds 346,335,000 TE/TX Senior
03/11/20 Honolulu Water Supply Board Water System Revenue Bonds 106,635,000 TE/TX Senior
02/12/20 Honolulu City&County General Obligation Bonds 295,225,000 TE Senior
10/23/19 Honolulu City&County Wastewater System Revenue Bonds 496,910,000 TE/TX Senior
09/25/19 Hawaii Electric Company Special Purpose Revenue Ref Bonds 80,000,000 AMT Senior
08/14/19 State of Hawaii Airports System CFC Rev Bonds 194,710,000 TX Senior
40), Page 8 BofA SECURITIES -f./
Sale Date Issuer Issue Description Par Amount Tax Status Role
08/07/19 Honolulu City&County General Obligation Bonds 548,945,000 TE/TX Senior
07/10/19 Hawaii Electric Company Special Purpose Revenue Ref Bonds 150,000,000 TE Senior
02/06/19 State of Hawaii General Obligation Bonds 575,000,000 TE Senior
01/23/19 Honolulu City&County General Obligation Bonds 250,025,000 TE Senior
09/18/18 Maui County General Obligation Bonds 106,315,000 TE Senior
08/15/18 Honolulu City&County General Obligation Bonds 468,470,000 TE/TX Senior
08/09/18 State of Hawaii Airport System Revenue Bonds 414,685,000 TE/AMT Co-Senior
03/07/18 Hawaii Pacific University Special Purpose Revenue Ref Bonds 33,915,000 TE Senior
01/30/18 State of Hawaii General Obligation Bonds 775,000,000 TE/TX Senior
01/24/18 Honolulu City&County Wastewater System Revenue Bonds 324,745,000 TE/TX Senior
12/14/17 Univ of Hawaii Board of Regents University Revenue Bonds 110,795,000 TE/TX Senior
10/18/17 Kauai County General Obligation Bonds 24,015,000 TE Senior
09/06/17 Honolulu City&County General Obligation Bonds(FRNs) 350,000,000 TE Senior
08/16/17 Honolulu City&County General Obligation Bonds 416,670,000 TE/TX Senior
07/12/17 State of Hawaii Airports System CFC Rev Bonds 249,805,000 TX Senior
06/20/17 Hawaii County General Obligation Bonds 139,895,000 TE Senior
06/15/17 Hawaii Electric Company Special Purpose Revenue Bonds 265,000,000 AMT Senior
05/10/17 State of Hawaii GO&Refunding Bonds 854,755,000 TE/TX Senior
10/05/16 Honolulu City&County General Obligation Bonds 378,805,000 TE/TX Senior
09/29/16 State of Hawaii GO&Refunding Bonds 782,005,000 TE/TX Senior
08/17/16 Honolulu City&County Wastewater Sys Rev&Ref Bonds 448,155,000 TE/TX Senior
03/31/16 State of Hawaii GO Refunding Bonds 344,720,000 TE/TX Senior
03/15/16 State of Hawaii General Obligation Bonds 500,000,000 TE Senior
02/03/16 Hawaii County General Obligation Bonds 235,765,000 TE/TX Senior
11/24/15 Hawaii Electric Company Special Purpose Rev Ref Bonds 47,000,000 AMT Senior
11/05/15 State of Hawaii Airport System Revenue Bonds 244,260,000 TE/AMT Co-Senior
10/15/15 State of Hawaii General Obligation Bonds 746,395,000 TE/TX Senior
09/10/15 Univ of Hawaii Board of Regents University Revenue Bonds 166,285,000 TE/TX Co-Senior
07/22/15 Honolulu City&County Wastewater System Rev Bonds 698,930,000 TE/TX Senior
I 03/17/15 Honolulu City&County General Obligation Bonds 888,635,000 TE/TX Senior
01/22/15 Queens Health Systems Special Purpose Revenue Bonds 263,695,000 TE Senior
11/20/14 Honolulu Water Supply Board Water System Revenue Bonds 144,985,000 TE/TX Senior
11/13/14 State of Hawaii GO&Refunding Bonds 1,008,775,000 TE/TX Senior
12/11/13 State of Hawaii Lease Revenue COPs 167,740,000 AMT Senior
11/05/13 State of Hawaii GO Refunding Bonds 860,855,000 TE/TX Senior
01/30/13 Hawaii County General Obligation Bonds 98,825,000 TE Senior
11/15/12 State of Hawaii GO&Refunding Bonds 866,990,000 TE/TX Senior
10/25/12 Honolulu City&County General Obligation Bonds 912,480,000 TE/TX Senior
09/20/12 Honolulu City&County Wastewater System Revenue Bonds 265,610,000 TE Senior
06/13/12 Kauai County General Obligation Bonds 34,375,000 TE/AMT Senior
03/14/12 Honolulu Water Supply Board Water System Revenue Bonds 85,195,000 TE Senior
02/09/12 Univ of Hawaii Board of Regents University Revenue Bonds 8,575,000 TE Senior
11/17/11 State of Hawaii GO&Refunding Bonds 1,286,230,000 TE Senior
10/13/11 Honolulu City&County Wastewater System Rev Bonds 169,190,000 TE Senior
09/14/11 State of Hawaii Airport System Rev Ref Bonds 300,885,000 AMT Senior
07/13/11 Honolulu City&County General Obligation Bonds 304,345,000 TE Senior
06/21/11 Kauai County General Obligation Bonds 26,110,000 TE Senior
12/02/10 Honolulu City&County General Obligation Bonds 347,770,000 TE/TX Senior
11/17/10 State of Hawaii Harbor System Revenue Bonds 201,390,000 TE/AMT Senior
10/26/10 Honolulu City&County Wastewater Sys Revenue Bonds 305,190,000 TE/TX Senior
09/21/10 Univ of Hawaii Board of Regents University Revenue Bonds 292,730,000 TE/TX Senior
07/13/10 Hawaii County General Obligation Bonds 60,000,000 TE/TX Senior
Sub Total 96 Senior Managed Financings 36,791,145,000
03/24/10 State of Hawaii Airports System Rev Ref Bonds 644,980,000 TE/AMT Co-Mgr
02/09/10 State of Hawaii General Obligation Bonds 721,625,000 TE/TX Co-Mgr
Sub Total 2 Co-Managed Financings 1,366,605,000
Total 98 Senior Managed Financings 38,157,750,000
Pending.
Our services to our Hawaii clients extend beyond just selling bonds.In fact,each client receives individual attention
specific to their situation. We provide Hawaii issuers with updates on the market environment, refunding
11 opportunities,education on new financial products and municipal market developments,development of inaugural
framework for borrowing programs,suggestions on ways to improve relations with the rating agencies and investors,
Page9 BofA SECURITIES '' "
and assistance with complex cashflow modeling.To provide details of our recent involvement in financings for our
Hawaii clients,as well as our ongoing value-added services,we offer the summary table below.
ISSUER HIGHLIGHTS FROM RECENT SENIOR MANAGED FINANCINGS
County of Hawaii Issue:$142,140,000 General Obligation Bonds,Series 2025
On April 14,BofA Securities served as sole manager on the County of Hawaii's("the County")
General Obligation Bonds,Series 2025
The proceeds will be used to fund various County projects,including the Hilo Wastewater
Treatment Plant Project
s The bonds were structured on a level debt service basis with a 25-year final maturity and no
principal delay
BofA worked with the County to develop a comprehensive credit update for the rating agencies
The County's ratings were affirmed by both S&P and Fitch at"AA+"with Stable Outlooks
A comprehensive marketing campaign was conducted ahead of the bond sale,which included
digital advertisements in local newspaper publications and an online investor roadshow
The week prior to pricing was extremely volatile due to the Liberation Day Trump tariffs,with
the MMD index swinging as much as 30-50 basis point on each day
Many deals were put on hold given the market volatility
The team decided to accelerate the financing into the following Monday,April 14,given the
positive tone coming off the weekend
This allowed the County to get ahead of the supply overhang from the prior week and shortened
holiday week due to Good Friday
The County's financing generated over$1.2 billion in orders,leaving the transaction 8.6x over
subscribed
BofA was able to reduce yields by 3 to 15 basis points at final pricing
The County secured an All-in True Interest Cost of 4.53%
State of Hawaii Issue:$1,500,000,000 General Obligation Bonds of 2026,Series GO,GP&GQ
r,;E` :`'.w BofA Securities served as Bookrunning Senior Manager on the State of Hawaii's General1959 =
Obligation Bonds of 2026,Series GO,GP,and GQ
The bonds were issued to fund various capital projects throughout the State and were sold on a
taxable basis to maximize flexibility in the use of proceeds
Multiple series were utilized to accelerate principal in the earlier years and take advantage of
current yield curve while meeting the State's constitutional debt structure requirements
Series GO amortizes from 2026-2029,Series GP amortizes in 2031,and Series GQ amortizes from
2030-2045
BofA assisted in crafting the rating presentation which led to confirmed ratings of"Aa2"by
Moody's,"AA+"by S&P,and"AA"by Fitch
Notably,Fitch adjusted their outlook from"Stable"to"Positive"
A voluntary notice of sale was posted to the State's investor relations website and EMMA on
March 17 to commence marketing efforts
The finance team assembled an investor presentation that was posted alongside the Preliminary
Official Statement
The State also hosted a zoom investor meeting on April 13 that was attended by over 35
investors representing 30 unique firms
During Indications of Interest on April 14,the State received over$8.2 billion in orders from 122
unique accounts
Due to significant demand,the syndicate was able to reduce spreads in every maturity by 3-25
basis points during the final pricing on April 15
The State secured an All-in TIC of 4.96%
State of Hawaii— Issue:$194,710,000 Airports System Customer Facility Charge Revenue Bonds,Series 2019A
Department of Taxable)
Transportation The bonds were issued to finance the completion of the consolidated rent-a-car(CONRAC)
Airports) facility at Daniel K.Inouye International Airport(HNL)in Honolulu,to refund the outstanding$76
million EB-5 Loan,to fund the Rolling Coverage Fund Requirement and the Debt Service Reserve
Fund Requirement and to pay certain costs of issuance.
The Airports Division conducted on-site rating agency tour of the completed CONRAC facility on
Maui as well as a general tour of the airport in Honolulu and ratings were affirmed by Moody's,
01 1+. S&P and Fitch at A2,A+and A,respectively—all with Stable Outlooks.These are amongst the
highest ratings that each respective rating agency has given to any rental car facility in the
d Page 10 BofA SECURITIES /'
ISSUER HIGHLIGHTS FROM RECENT SENIOR MANAGED FINANCINGS
nation.Moody's also placed the Airports Division's GARBs on Positive Outlook,citing progress in
executing the capital plan.
The Series 2019A Bonds were structured with a 28-year level debt service to match the final
maturity of the 2017A Bonds.
The interest on the 2019A Bonds are federally taxable and State of Hawaii tax-exempt.All bonds
maturing after 10 years have a 10-year optional redemption at par;a make-whole call provision
was included for bonds maturing within 10 years.
The delivery date of the transaction was aligned with the maturity date of the EB-5 loan.It is
estimated that the Airports Division saved over$17 million in interest payments by utilizing the
EB-5 loan.
An investor presentation was disseminated with the POS which was viewed by 36 investors.
Additionally,the Airports Division held one-on-one meetings in Honolulu with Bank of Hawaii
and First Hawaiian Bank as well as an investor luncheon was held in New York,which was
attended by John Hancock,MetLife Investment Management and Schroders.
The Airports Division initially received over$1.2 billion of institutional orders,leaving the
transaction 6x oversubscribed.Due to strong investor demand,the Airports Division was able to
reprice the bonds at significantly lower credit spreads.After repricing,$768.3 million of orders
from 38 investors remained and BofA underwrote approximately$10.2 million at the verbal
award.
The Airports Division secured an all-in interest rate of only 2.987%,which translates into$37.5
million in debt service savings as compared to the Series 2017A CFC Bonds that had an all-in
interest rate of 3.986%.
Nearly$8.5 million of this debt service savings was generated by lowering the initial pre-pricing
all-in rate of 3.214%to the final pricing all-in rate of 2.987%.
State of Hawaii— Issue:$848,535,000 Airports System Revenue Bonds,Series 2025
Department of BofA served as Co-Senior Manager on the State of Hawaii's 2025 Airports System Revenue Bond
Transportation sale,which priced on February 13,2025
Airports) The proceeds were used to fund new money projects as well as refund outstanding Airports
Yr System Revenue Bonds for economic savingsrkas.
The State's Airports System Revenue Bond ratings were affirmed by S&P and Fitch at AA-,and it
was upgraded by Moody's to a Aa3 from Al
BofA remained an active participant in the financing,which included leading the efforts in
crafting an investor presentation as well as hosting a live zoom investor luncheon
Over 30 accounts viewed the investor presentation
28 individuals representing 26 investment firms logged into watch the live zoom presentation
The investor interest translated in over$5.0 billion in orders leaving the transaction 5.9x
oversubscribed
BofA generated over$3.0 million in individual retail orders,and placed$546 million in Stock
orders in support of the deal
The underwriting syndicate was able to reduce spreads by as much as 10 basis points
The State secured an All-In TIC of 5.01%on its AMT New Money and 4.42%on its Non-AMT New
Money as well as achieved$12.4 million of PV savings(5.3%of refunded par)
State of Hawaii— Issue:$266,550,000 Harbor System Revenue Bonds,Series 2020
Department of Series 2020A(AMT)was issued for both new money and to current refund Series 2010B,Series
Transportation(Harbors) 2020B(Taxable)was issued for both new money and to current refund Series 2010A,and Series
c,2020C(Non-AMT)was issued to current refund Series 2010A.
The team drafted a detailed credit presentation and spent weeks preparing for the rating agency
calls.As a result,the Harbors Division's ratings were affirmed by Moody's at Aa3 and Fitch at AA-
both with Stable Outlooks.
Of 10. The finance team completed a thorough review of the legal documents and incorporated a
number of modernizations to the Certificate.Key amendments include allowing for individual
reserve funds and modifying O&A and revenue definitions to net out statutory remittances to
The Office of Hawaiian Affairs for Ceded lands payments.The holders of the 2013 and 2016
bonds(Capital One and Bank of America,N.A.)consented to the amendments prior to the bond
pricing,which allowed the Harbors Division to size a lower reserve amount.
AMT and Non-AMT refunding bonds were structured with positive annual savings for tax law
compliance and tax-exempt new money bonds were structured with a 20-year final maturity and
fill solution"to minimize the Harbors Division's interest cost.
Page 11 BofA SECURITIES
ISSUER HIGHLIGHTS FROM RECENT SENIOR MANAGED FINANCINGS
The taxable new money bonds were structured short,to maximize block sizes and lower interest
costs,and the refunding was structured with up-front savings to reduce the maximum annual
debt service.
Print and digital advertisements were placed in the Honolulu Star Advertiser,Pacific Business
News,West Hawaii Today,and several neighbor island papers—the digital ad also ran in The
Wall Street Journal.
An investor presentation was viewed by over 30 investors,20 of whom placed orders for the
bonds.The Harbors Division also held one-on-one calls with Bank of Hawaii and First Hawaiian
Bank.
A retail order period was held on November 18th,during which the Harbors Division secured
more than$300 million of orders from individual and professional retail investors.
The Harbors Division received more than$3.5 billion of total orders,leaving the transaction 13x
over-subscribed—this allowed BofA to reduce yields by up to 20 basis points in select maturities.
The Harbors Division will realize$46.7 million of present value savings(32.2%of the refunded
par)and All-In TIC for the combined new money issuance was only 2.24%.All of the bonds
maturing after 10 years included a 10-year par call feature.
State of Hawaii— Issue:$438,035,000 Highway Revenue Bonds,Series 2026A&B
Department of BofA Securities served as Bookrunning Senior Manager on the State of Hawaii's Highway
Transportation Revenue Bonds,Series 2026A and 2026E
Highways) The Series 2026A Bonds were issued for new money purposes while the Series 2026E Bonds
were issued to current refund the State's outstanding 2014A and 2016A&B Highway Revenue
Bonds
The 2026A Bonds were issued on a level debt service basis with a principal delay until 2030
The 2026B Bonds were issued on a matched maturity uniform savings basis
s* All bonds were sold as tax-exempt
BofA assisted the State in crafting the rating presentation,and the bonds were affirmed at"Aa2"
by Moody's and upgraded to"AAA"by S&P
The finance team assembled an investor presentation that posted alongside the Preliminary
Official Statement
The State also ran digital ads in several local news publications within Hawaii
The State ran a Retail Order Period on April 15,and during that period received over$668
million in orders from 27 unique accounts
By the end of the institutional order period on April 16,the bond sale had generated over$1.3
billion in orders
Due to the strength of the order book,BofA was able to reduce spreads by 2-10 basis points
across the curve
BofA also underwrote approximately$41 million of unsold balances in the earlier maturities
The State secured an All-in TIC of 3.81%on the new money and captured$11.1 million in PV
savings(6.54%of refunded par)
University of Hawaii Issue:$217,165,000 University Revenue Bonds,Series 2020A-E
BofA served as senior manager on$217,165,000 Board of Regents of the University of Hawai'i's
Revenue Bonds.
The$10,045,000 taxable Series 2020A Bonds were issued to finance a portion of a parking
garage on campus.The$44,555,000 tax-exempt Series 2020E and$54,300,000 taxable Series
2020C Bonds were issued to current refund the Series 2010A-1(Cancer Center)Bonds.The
77,135,000 tax-exempt Series 2020D and$31,130,000 taxable Series 2020E Bonds were issued
to current refund the Series 2010B-1 Bonds.
The finance team and President Lassner met with the rating agencies via video conference from
Honolulu.
Moody's assigned a Aa3 rating and Fitch assigned a AA rating-both with Stable Outlooks.
BofA performed various analyses to find a tax-exempt/taxable ratio of the refunding bonds that
takes into consideration the University's need for private activity relief as well as the yield curve
in order to minimize overall borrowing cost.
BofA actively worked with bond counsel in order to make sure this is compliant with state and
federal tax laws.
The Series 2020A Bonds were sold with a 20-year final maturity.The refunding bonds were
structured to amortize tax-exempt bonds first followed by taxable bonds.All bonds were sold
Page 12 BofA SECURITIES '
ISSUER HIGHLIGHTS FROM RECENT SENIOR MANAGED FINANCINGS
with a 10-year par call option.The taxable bonds were also sold with a make-whole call through
the first 10 years.
A Notice of Potential Sale was posted on the University's Investor Relations website and on
EMMA.Print and digital advertisements were placed in the Honolulu Star Advertiser and
neighbor island newspapers.An electronic investor presentation was disseminated in
conjunction with the POS and was viewed by 20 investors.The University held one-on-one
conference calls with Bank of Hawaii and First Hawaiian Bank.
The public market weakened on the day of the retail order period.However,BofA maintained
appropriated levels throughout the pricing process.The sale generated$177 million of orders
and BofA Securities agreed to underwrite over$70 million of bonds as of verbal award.Despite a
challenging market,the University secured a 2.42%all-in cost of funds and generated$38.7
million in present value savings.
Hawaii Housing Finance Issue:$30,000,000 Hale Kama'aina Single Family Mortgage Purchase Revenue Bonds,2025 Series
and Development A
Corporation On November 19, 2025, BofA served as co-senior manager for the Corporation's 2025 Series A
Bonds under the Hale Kama'aina Single Family Mortgage Purchase Revenue Bonds Program
1989
the"Program").
1 , )- The Program Bonds are issued to finance first-lien Mortgage Loans on single family residences in
the State of Hawaii being purchased by qualifying persons and families to finance their purchase
of single family residences.
Mortgage Loans will be pooled into mortgage-backed securities (the "MBS") guaranteed as to
timely payment of principal and interest by GNMA,Fannie Mae or Freddie Mac.
The MBS will be held under the Trust Indenture as security for all Bonds outstanding.
The Bonds also financed second-lien mortgage loans that provide down payment costs of the
Eligible Borrowers related to such single-family residence purchases("DPA Mortgage Loans").
The bonds were structured in semi-annual maturities in 2027 to 2037,term bonds in 2040,2045,
2050,2055 and a 5-year average life Premium PAC Bonds("Planned Amortization Class").
The bonds were rated"Aaa/AA+"by Moody's and S&P,respectively.
BofA assisted the Corporation and its working group in structure feedback, marketing plan,
documents review and distribution of bonds.
The transaction received a total of$85.860 million of orders(2.9x)with$25.7 million of individual
retail orders and additional$60 million institutional orders.BofA secured$4.3 million in orders
including$1.685 million in retail orders from Hawaiian residents.
The Corporation achieved a successful pricing to re-enter the single-family mortgage revenue
bonds market providing Hawaiian residents an affordable first-time homebuyer program.
Department of Hawaiian Issue:$42,500,000 Revenue Bonds,Series 2009
Home Lands BofA assisted DHHL in assembling a comprehensive credit presentation aimed at conveying
DHHL's revenue bond structure and its strong financial position.
Ultimately,DHHL decided to confirm ratings with Moody's(A2)and Fitch(A-).
Despite a deterioration in the market that began on the day of the retail order period,DHHL's
Revenue Bonds attracted retail orders totaling more than 50%(or$22 million)of the entire
transaction.
To help DHHL achieve the lowest possible cost of funds,BofA underwrote 15%of the
transaction.
Additional Value Added Services
Provide market updates to keep the DHHL apprised of current conditions.
Ongoing work with DHHL to analyze future financing options and capacity constraints.
State of Hawaii Special Issue:$80,000,000 Special Purpose Revenue Bonds,Series 2019(AMT)
Purpose Revenue In September 2019,BofA served as Senior Manager for$80.000 million of tax-exempt bond for
Refunding Bonds(HECO) Hawaiian Electric Company,Inc.(the"Company"or"HECO")
Proceeds will be used to provide all or a portion of the funds for the acquisition,purchase,
r construction,reconstruction,improvement,betterment,extension and equipping(or anyl '" y combination thereof)of certain facilities for the local furnishing of electric energy(the
r Af' Facilities")owned by the Companies and to pay other allowed expenses,including the costs of
issuing the Bonds
The Bonds were issued in a Fixed Rate and priced to final maturity of 10/1/2049
Structured with a 5-Year Par Call feature,giving the Company increased flexibility to refinance in
a decreasing interest rate environment
opt Page 13 BofA SECURITIES '0/
ISSUER HIGHLIGHTS FROM RECENT SENIOR MANAGED FINANCINGS
The transaction generated orders of '$150 Million(1.9x subscription)from 9 investors,including
retail
The bonds were issued with Senior Unsecured ratings of Baa2/A-from Moody's and Fitch
The transaction priced in a strong overall bond market,with treasury rates near all-time lows
Hawaii Pacific University Issue:$35,730,000 Special Purpose Refunding Revenue Bonds,Series 2024
a HAWA1 9 • $35,730,000 Special Purpose Refunding Revenue Series 2024 Bonds("Bonds"),which were
Pw`2 PACIFIC issued as tax-exempt fixed rate via a negotiated sale through the Department of Budget and
ii Finance of the State of Hawai'i.The Bonds were rated BB(stable)by S&P.
The Bonds were issued to refund all of HPU's Series 2013 Bonds,fund a Debt Service Reserve
Fund,and pay expenses in connection with the issuance of the Bonds.
The Bonds were structured with deferred principal amortization to produce upfront savings with
term bonds in 2034,2039,and 2043.Principal amortization began in FY2030.In addition,the
Bonds restructured and modernized the University's current covenants,by introducing springing
covenants to take effect once the University's Series 2018 Bonds are no longer outstanding.
In the lead up to pricing,BofA worked with the University to field institutional investor calls and
inquiries from 8 different institutional investors.
Ultimately,through significant marketing efforts the transaction generated over$143 million in
total orders(4x oversubscription)across 5 different investors,allowing BofA to tighten spreads
by 5 basis points across all maturities.
At the conclusion of pricing,the University was able to realize'$6.9 million in upfront cashflow
savings in FY2025—2030 to support near-term strategic goals and achieve 13.8%NPV savings on
the Series 2013 Bonds.
This marks the second consecutive transaction BofA has led for Hawai'i Pacific University.
City and County of Issue:$734,090,000 General Obligation Bonds,Series 2025ABCDEF&G
Honolulu On July 16,2025,BofA served as senior manager for the City and County of Honolulu's("City")
0411OFy General Obligation Bonds,Series 2025ABCDE&F("Bonds"):
Proceeds from Series 2025ABC Bonds will be used for various long-term capital projects,4equipment purchases and the City's general fund contribution for the rail transit project.
Series 2025DEF economically current refunded outstanding bonds for$40.9 million of NPV4rfOFHPY Savings.
On July 28,2025,Series 2025G Bonds refunded Series 2010A BABs:
Priced separately from the other series to meet a legal requirement that the call price must be
calculated no more than 3-business days prior to the redemption date.
Eliminated=$2.7 million of subsidy loss risk while generating$405,000 in expected present value
savings.
BofA worked with the City to develop a comprehensive credit update for the rating agencies,
which included HART's Segment 2 stations and City-operated zoo which is expected to receive
funding from the proceeds of the Bonds.
The Bonds were rated"AA+"with a Stable Outlook from both S&P and Fitch.
A comprehensive marketing campaign was conducted ahead of the Bond sale,including a
voluntary posting on EMMA,digital advertisements,an on-line investor presentation as well as
in-person meetings with local Hawaii banks.
Bank of Hawaii and First Hawaiian Bank placed$100.1 and$3.3 millions of orders,respectively.
The City received orders from over 50 institutional investors.
During the pricing of 2025ABCDE&F Bonds,the City had a strong reception of$525 million in
retail and$229 million of institutional orders,but the market was unsettled due to President
Trump's remarks regarding firing Fed Chair Jerome Powell.
BofA committed to underwrite$184 million of unsold balances at the time of the final pricing.
During the pricing of 2025G Bonds,the City received$90 million of orders,leaving the
transaction 2.3x oversubscribed.
This strong demand allowed repricing to lower yields by 1-2 basis points in all maturities.
The City secured an All-In True Interest Cost of 4.58%on its tax-exempt 25-year new money
borrowing.
City and County of Issue:$216,940,000 Wastewater System Revenue Bonds,Series 2025E(Green Bonds)
Honolulu, The Series 2025E bonds were used to fund$229 Million of CIP
Department of The bonds were structured to begin amortizing in 2040,utilizing ENV's back-end capacity in its
Environmental Services overall debt service profile
Wastewater) In-person rating agency meetings were held in San Francisco
iCi Page 14 BofA SECURITIES -3."
ISSUER HIGHLIGHTS FROM RECENT SENIOR MANAGED FINANCINGS
posTY OP S&P affirmed the AA+Senior Lien rating with a Stable Outlook
4 Zo Fitch affirmed the AA Senior Lien and upgraded the Junior Lien to AA given the minimal amount
cl ,c E of debt outstanding on the Lien-both Liens have Stable Outlooks
1,,,',. The City published a Voluntary Notice of Potential Financing on EMMA
r42:i'o Digital Banner Advertisements ran in the Honolulu Star Advertiser and neighbor island papers
The City held on-on-one meetings with the Bank of Hawaii and First Hawaiian Bank
35 firms downloaded the POS and 19 firms viewed the investor presentation
The City held a one-on-one Zoom with GW&K—one of its largest investors
MMD decreased by approximately 20 basis points during the week prior to pricing
During the Retail Order Period,the City received over$244 Million in orders
Due to this early success,the finance team decided to accelerate the institutional pricing
BofA was able to add serial bonds from 2046 to 2048 due to the strong retail demand
The City received$1.5 Billion in in total orders from 50 investors(7.1x over subscription)
BofA was able to reduce yields by as much as 9 basis points throughout the pricing process
The City secured an all-in true interest cost of 4.79%
The bonds were sold with a 10-year par call
Honolulu Board of Issue:$72,815,000 Water System Revenue Bonds,Series 2024A(Sustainability Bonds)
Water Supply The tax-exempt bond proceeds will be used for new projects and repair and maintenance of the
9
water system as well as to execute a current refunding of the Board's 2014A&B bonds.
BofA Securities assisted in drafting a credit presentation and helped the team prepare for the
rating agency meetings.
Both S&P and Fitch affirmed the Board's"AAA"(Stable)rating.
The new money portion of the bonds were structured to wrap around the Board's existing debt
service with principal maturing from 2037 to 2053.
The refunding bonds were structured on a matched maturity basis to produced level savings.
The refunding of the 2014A&B bonds also allowed the Board to release approximately$5.9
million in funds related to the common reserve requirement.
The Bonds were self-designated as"Sustainability Bonds"—the first of its kind in Hawaii.
A Voluntary Notice of Sale was posted to the Board's investor relations website and EMMA.
The City held one-on-one in person meetings with First Hawaiian Bank and Bank of Hawaii.
The finance team ran a retail order period on March 12th,and due to its success decided to
accelerate the final pricing.
The transaction ultimately received$154 million of total orders as of the verbal award,including
25 unique institutional investors—an oversubscription of 2.1x.
Due to the strength of the order book,BofA was able to reduce yields by 2 basis points in most
of the longer-dated maturities.
Certain shorter maturities remained undersubscribed,so BofA underwrote$17.6 million of
bonds(24.2%)in order to maintain the integrity of the pricing.
The Board was able to secure a new money borrowing rate of 4.21%and generate PV savings of
503K(1.9%of refunded par).
County of Kauai Issue:$56,640,000 General Obligation Bonds,Series 2024
The Bonds were issued to refund the outstanding Build America Bond portion of the County's
f — 'Series 2010A Bonds utilizing the special extraordinary redemption provision
The Recovery Zone&Economic Development Bonds were left outstanding due to their 45%
j subsidy
BofA assisted the County in drafting a detailed credit presentation including sample Q&A
In person rating agency meetings and a Fern River tour were held on island
The County's bonds were affirmed at AA(Stable Outlook)by both S&P and Fitch
The Bonds were structured with level debt service,with principal maturities ranging from August
1,2025 to August 1,2033(matching the maturities of the refunded bonds)
BofA Securities worked closely with the County and bond counsel to utilize a 45 day look back
language to optimize the treasury selection date for the extraordinary redemption
The finance team remained nimble and also monitored market conditions daily to capture the
lowest possible borrowing rates for the refunding bonds
A Voluntary Notice of Potential Financing and Bond Call Notices were posted on EMMA
The Preliminary Official Statement was posted on October 2,2024
Page 15 BofA SECURITIES 7
ISSUER HIGHLIGHTS FROM RECENT SENIOR MANAGED FINANCINGS
A conditional call notice was disseminated on September 19th,which was rescinded and re-
disseminated on December 3rd
The County decided to enter the market just prior to the State's GO bond sale
The County received more than$224.1 million of orders throughout the order period,leaving
the transaction 3.9x over subscribed
The demand allowed BofA to lower yields between 2 and 6 basis points across the yield curve
The County realized$304,500 of net present value savings or 0.5%of refunded par with the
refunding(assuming the current federal subsidy would remain in place until maturity)
The refunding of the BABs reduced the County's risk of future loss of subsidy
County of Maui Issue:$39,500,000 G.O.Bonds,2008 Series A
The Banking Team led the efforts in guiding the County to upgrades by all three rating agencies
to the highest level ever achieved by the County("Aa2/AA/AA").
11 Performed insurance breakeven analyses to determine which maturities were most economic to
insure.
The County ultimately locked-in a TIC of only 4.1%,which was their lowest cost of borrowing
over the past decade.
Additional Value Added Services
Continuously monitor the County's debt profile for refunding opportunities.
Provide frequent updates to market conditions and any recent developments in the municipal
market.
BofA also won the County's$300 million competitive bid G.O.bond offering in 2025.
Marketing and Distribution Capabilities
Retail Distribution Capabilities.Effective May 13,2019,BofA National Retail Network Hawaii Retail Network
Securities, Inc. is the new legal entity for all institutional 550+Offices Nationwide 3 Retail Offices
business including our municipal securities group. Our retail 15,000+Financial Advisors 59 Wealth Advisors
wealth management system continues to operate under
MLPF&S. As such, BofA and MLPF&S, which are affiliates
within Bank of America Corporation, have entered into an
Mono u
exclusive retail distribution arrangement under which BofA
may (i) distribute municipal securities to MLPF&S, which in
turn may distribute those securities to retail investors Kaua Kona• •"°
through the retail wealth management network of MLPF&S,
and(ii)compensate MLPF&S for any bonds it sells.
Our Merrill retail network has 550+ branch offices in the United States supported by over 15,000 wealth advisors
managing over $3.0 trillion in retail assets. To coordinate our retail sales marketing effort, we maintain a staff of
professional municipal marketing specialists located in offices across the nation. These professionals serve as the
link between our municipal underwriting and trading operations and the retail FAs. With the significant rise in yields
over the past year, we expect the retail segment to be of much greater importance going forward than it had been
in recent years—especially for any tax-exempt bond offerings.
The Bank's distribution network in Hawaii includes 3 retail offices housing 59 financial advisors.As illustrated below,
retail investors have been active participants in many of the Hawaii transactions senior managed by BofA since 2010.
BofA RETAIL ORDERS FOR SENIOR/CO-SENIOR MANAGED TRANSACTIONS SINCE 2010
Sale Date Issuer Credit Par Retail Orders* %of Par
04/16/26 State of Hawaii Highway Revenue Bonds 438,035,000 $640,140,000 146.14%
04/15/26 State of Hawaii G.O. 1,500,000,000 82,000,000 5.47%
09/09/25 City and County of Honolulu Wastewater 216,940,000 240,350,000 110.79%
07/16/25 City and County of Honolulu G.O. 734,090,000 539,605,000 73.51%
04/14/25 County of Hawaii G.O. 142,140,000 178,700,000 125.72%
02/13/25 State of Hawaii Airport System Rev Bonds 848,535,000 3,000,000 0.35%
12/04/24 State of Hawaii G.O. 750,000,000 45,590,000 6.08%
12/03/24 County of Kauai G.O.56,640,000 191,035,000 337.28%
09/11/24 City and County of Honolulu Wastewater 625,555,000 131,390,000 21.00%
07/09/24 City and County of Honolulu G.O. 169,650,000 174,175,000 102.67%
03/12/24 Honolulu BWS Water 72,815,000 92,850,000 127.51%
Page 16 BofA SECURITIES '®
BofA RETAIL ORDERS FOR SENIOR/CO-SENIOR MANAGED TRANSACTIONS SINCE 2010
Sale Date Issuer Credit Par Retail Orders* %of Par
12/06/23 State of Hawaii G.O. 750,000,000 125,000 0.02%
09/12/23 City and County of Honolulu Wastewater 189,785,000 277,210,000 146.07%
08/08/23 City and County of Honolulu G.O. 271,025,000 175,070,000 64.60%
06/06/23 County of Hawaii G.O.99,000,000 134,245,000 135.60%
03/08/23 Honolulu BWS Water 17,425,000 21,980,000 126.14%
10/19/22 State of Hawaii G.O. 800,000,000 485,000 0.06%
07/19/22 City and County of Honolulu G.O.97,455,000 121,435,000 124.61%
05/11/22 City and County of Honolulu Wastewater 241,355,000 210,380,000 87.17%
03/08/22 Honolulu BWS Water 135,260,000 71,325,000 52.73%
01/20/22 DOT-Airports Airport System Rev Bonds 262,315,000
09/29/21 State of Hawaii G.O. 1,992,505,000 4,575,000 0.23%
07/21/21 City and County of Honolulu G.O. 742,675,000 374,245,000 50.39%
05/26/21 DOT-Highways Highway Revenue Bonds 137,205,000 25,000 0.02%
03/23/21 County of Kauai G.O.28,560,000 27,700,000 96.99%
03/09/21 Honolulu BWS Water 93,535,000 106,475,000 113.83%
12/15/20 City and County of Honolulu Wastewater 273,670,000 3,255,000 1.19%
11/19/20 DOT-Harbors Harbor Sys.Revenue Bonds 266,550,000 326,275,000 122.41%
10/21/20 State of Hawaii G.O. 1,147,555,000 81,615,000 7.11%
10/15/20 County of Hawaii G.O.77,135,000 66,370,000 86.04%
10/14/20 University of Hawaii University 217,165,000 16,780,000 7.73%
10/07/20 DOT-Airports Airport System Rev Bonds 582,490,000 550,000 0.09%
08/05/20 State of Hawaii G.O. 995,000,000 10,530,000 1.06%
07/22/20 City and County of Honolulu G.O. 346,335,000 270,380,000 78.07%
03/11/20 Honolulu BWS Water 106,635,000 29,870,000 28.01%
02/12/20 City and County of Honolulu G.O. 295,225,000 176,455,000 59.77%
10/23/19 City and County of Honolulu Wastewater 496,910,000 181,075,000 36.44%
08/14/19 DOT-Airports CFC 194,710,000 3,220,000 1.65%
08/07/19 Honolulu G.O. 548,945,000 328,765,000 59.89%
02/06/19 State of Hawaii G.O. 575,000,000 122,615,000 21.32%
01/23/19 City and County of Honolulu G.O. 250,025,000 210,500,000 84.19%
08/15/18 City and County of Honolulu G.O. 468,470,000 172,855,000 36.90%
01/30/18 State of Hawaii G.O. 775,000,000 64,825,000 8.36%
01/24/18 City and County of Honolulu Wastewater 304,840,000 202,255,000 66.35%
10/18/17 County of Kauai G.O.24,015,000 890,000 3.71%
09/06/17 City and County of Honolulu G.O.(HART) 350,000,000
08/16/17 City and County of Honolulu G.O. 416,670,000 216,300,000 51.91%
07/12/17 DOT-Airports CFC 249,805,000 2,600,000 1.04%
06/20/17 County of Hawaii G.O. 139,895,000 165,790,000 118.51%
05/10/17 State of Hawaii G.O. 854,755,000 293,745,000 34.37%
10/05/16 City and County of Honolulu G.O. 378,805,000 99,475,000 26.26%
08/17/16 City and County of Honolulu Wastewater 448,155,000 241,910,000 53.98%
03/31/16 State of Hawaii G.O. 344,720,000 120,050,000 34.83%
02/03/16 County of Hawaii G.O. 235,765,000 121,405,000 51.49%
10/15/15 State of Hawaii G.O. 746,395,000 129,275,000 17.32%
09/10/15 University of Hawaii University 166,285,000 59,680,000 35.89%
07/22/15 City and County of Honolulu Wastewater 698,930,000 290,200,000 41.52%
03/17/15 City and County of Honolulu G.O. 888,630,000 270,740,000 30.47%
11/20/14 Honolulu BWS Water 144,985,000 85,500,000 58.97%
11/05/13 State of Hawaii G.O. 860,850,000 120,010,000 13.94%
01/30/13 County of Hawaii G.O.98,825,000 71,305,000 72.15%
10/25/12 City and County of Honolulu G.O. 912,480,000 177,715,000 19.48%
09/20/12 City and County of Honolulu Wastewater 265,610,000 409,480,000 154.17%
06/13/12 County of Kauai G.O.34,375,000 11,750,000 34.18%
03/14/12 Honolulu BWS Water 85,195,000 75,725,000 88.88%
02/09/12 University of Hawaii University 8,575,000 3,210,000 37.43%
11/17/11 State of Hawaii G.O. 1,286,230,000 239,710,000 18.64%
AN Page 17 BofA SECURITIES -'•I.
BofA RETAIL ORDERS FOR SENIOR/CO-SENIOR MANAGED TRANSACTIONS SINCE 2010
Sale Date Issuer Credit Par Retail Orders* %of Par
10/13/11 City and County of Honolulu Wastewater 169,190,000 29,335,000 17.34%
09/14/11 DOT-Airports Airport System Rev Bonds 300,885,000 29,585,000 9.83%
07/13/11 City and County of Honolulu G.O. 304,345,000 127,010,000 41.73%
06/21/11 County of Kauai G.O.26,110,000 28,555,000 109.36%
12/02/10 City and County of Honolulu G.O. 191,450,000 159,915,000 83.53%
11/17/10 DOT-Harbors Harbor Sys.Revenue Bonds 164,275,000 111,765,000 68.04%
10/26/10 City and County of Honolulu Wastewater 126,550,000 67,415,000 53.27%
09/21/10 University of Hawaii University 53,930,000 115,670,000 214.48%
07/13/10 County of Hawaii G.O.35,325,000 7,940,000 22.48%
76 Issues Totaling: $30,346,170,000 $9,995,955,000 32.94%
Includes Professional Retail.
Institutional Distribution Capabilities. BofA has over 275 Institutional Sales
Associates,20 of whom sell only municipal bonds and cover more than 395,000 small Institutional Network
and large institutional accounts.These institutional sales professionals are located in 275+institutional sales reps
20+mum sales repsNewYorkand13regionalofficesthroughoutthenation.Our sales personnel maintain 14 offices nationwidecontactwithfirst- and second-tier institutional investors, including open-end and
closed-end bond funds, fire and casualty insurance companies, commercial banks and trust companies. BofA also
focuses on medium and small-sized institutions which expands our buyer base.
Technology and BofA Municipal Markets. Like BofA as a whole,our Municipal Banking and Markets(MBAM)group
develops and uses leading-edge technology for the benefit of clients as well as for operational efficiency.
Technological innovation has long been a core competency of our department as well as of our affiliate broker Merrill
that provides BofA Securities access to retail investors. More than two decades ago, Merrill Lynch developed an
internal electronic syndicate management system that is the predecessor to the system used across the entire
municipal market today. We similarly developed a platform that allows institutional investors to transact
electronically on municipal money market securities that has been copied widely across the industry.
Our municipal group includes a technology strategy team that partners up with Global Markets Quantitative
Strategies and Data Group, the firm's overall technology group and the firm's Merrill brokerage division's Global
Wealth & Investment Management team to develop and enhance our municipal underwriting, trading, and sales
efforts.
Connecting with Investors.Today's investors demand sophisticated online and automated capabilities.BofA is at the
forefront of providing systems and services to make transactions more efficient and more effective for both
institutional and Merrill retail investors,for example,to view offerings,execute buy/sell transactions,and search for
matching CUSIPs,among other activities.By increasing the ease of access to information and providing more efficient
trade execution,we aim to broaden the universe of investor types and number of investors. Moreover, increased
information flow and efficient trade execution provide for improved secondary market liquidity in the market which
can translate to improved pricing. For the firm's institutional customer accounts we provide direct access through
our award-winning CashPro portal and Mercury API,where through a single portal accounts can see offerings in real-
time and access other products such as Bank of America Research.Merrill financial advisors,on behalf of their retail
clients, have similar access through Global Wealth & Investment Management's proprietary Merrill Lynch Markets
platform. Our MerrillEdge self-directed investing portal provides access for our retail clients to directly execute
electronically in BofA secondary market offerings.
Investor Interest Indicator.Our proprietary investor targeting process brings together automated data analysis tools
with traditional market intelligence gained as the#1 competitive and negotiated senior manager in the municipal
market. BofA's technology enables us to extract information from the vast amounts of proprietary data we collect,
and unlike other firms who rely solely on computer algorithms,we combine it with human judgement and experience
to more efficiently identify investors in order to build robust and diverse order books that allow us to strive for best
market pricing.
Page 18 BofA SECURITIES ''i
Specifically, BofA has developed proprietary technology 1 Competitive and Negotiated Senior Manager&
tool (the Investor Interest Indicator) to identify likely Leading Secondary Market-Maker of Municipal Bonds
buyers of municipal new issues.This technology seeks to
help our underwriters,salespeople,and bankers to target
those investors most likely to participate in an offering
whether they are new or existing investors.The Investor
Interest Indicator uses BofA's massive internal database DataAnalytics
of investor purchasing activity,secondary market trading Using data for intelligent institutional investor targeting
data, holder data and the specific characteristics of the Clients that participated in Issuer's most recent dealPROPRIETARYNEW
State's proposed bond issue to produce a scored ranking ISSUE DATA Clients that participated in recent deal(s)that have
similar characteristics of proposed deal
of institutional investors reflecting the perceived
likelihood of their purchasingparticipation. One of the PROPRIETARY 90das,hatghte purchased similaranucparainunttPP90days,weighted by purchase date and par amountSECONDARYMARKET
unique aspects of the Investor Interest Indicator is that it DATA Clients that have purchased same sector in past 90
alone, accesses information from BofA's proprietary
days,weighted by purchase date and par amount
municipal new issue purchase history database. BofA has Top holders ofissuer/obligor'sbonds
HOLDER DATA Top holders of issuers/obligors in the same sectorrankedasthe #1 overall senior manager of municipal and similar structure
bond issues every year for over a decade. This access to
data along with our electronic distribution capabilities scoring
benefits our clients as it allows our sales force to more
effectively identify likely buyers and distribute bonds.
Having marketed and sold a greater volume of new issue The Investor Interest Indicator creates a score that provides an
indication of a particular investor's activity and participation across the
municipal bonds than any other firm for more than a various data categories
decade, by a significant margin, means that BofA has far
more information on new issue purchases than any other municipal underwriter.
The Investor Interest Indicator tracks the relevant purchasing behavior data of a broad range of the top institutional
investors, then quickly synthesize that data into an actionable score and ranking for our underwriters and
salespeople.The Investor Interest Indicator quickly compiles and evaluates a massive quantity of recent, relevant
purchasing and trading data and produce usable investor behavior metrics. We can therefore potentially eliminate
blind spots";for example,a situation where an investor may not be a current holder of the County's bonds but has
actively traded similar credits within in the last 90 days and/or recently purchased similar credits or structures in the
primary market.
All of these tools,and our firm's commitment to constant technological advancement to adapt to market trends
and better meet our clients'needs, has helped our firm achieve its leadership in the municipal market and our#1
annual ranking for over a decade.
Marketing Strategies
In conjunction with the any of the County's upcoming financings,the County may choose to utilize an extensive retail
outreach campaign,comprised of one or more of the advertising methods listed below:
Countv's Website: The County can improve investor relations well in advance of a bond sale by enhancing its
website. Adding an "Investor Relations" links to the County's homepage provides easy access to financial
statements, budget documents and other relevant financial documents and is extremely helpful for investors
looking for financial information.In addition,the County could post upcoming bond sales on its website,essentially
a free form of advertising.
Banner Advertising:With more investors going online to read the Tribune 9,IIeral.a a°`"><„o„ E,,•^,, <=otir „,
news and collect information, we propose also utilizing digital
advertising.This includes the online investor presentation as well m 71:..
as banner advertisements that the County successfully used in
2023 in various newspaper publications.
Investor Presentation:For larger financings,the County may wish pp,.,,x4M fmMpMICU Pam+
to utilize an internet based pre-recorded investor presentation
through the NetRoadshow website. We would also recommend
holding one-on-one follow-up meetings to answer any questions W W
that key institutional investors may have.The County should focus
covirlifit Page 19 BofA SECURITIES /
on the top holders of its debt. Existing holders,who are already familiar with the County's credit,can help form a
foundation of buyers for the County's financing.
Retail Only Order Period: The County historically has had success with an order period specifically for retail
investors for tax-exempt bond issues. This gives retail buyers an opportunity to submit their orders before the
large institutions.Going into the institutional period with a solid book of retail orders can provide critical leverage
for the County. Additionally,the retail order period provides a valuable opportunity for helpful communication
with institutional buyers prior to the formal order period the following day.
Live Zoom Investor Presentation/Luncheon:The County could also host live Zoom presentation for institutional
investors. Investors would be allowed to submit question in advance and answers would be given at the end of
the presentation.If the County is traveling to New York,a hybrid of in-person and virtual option could make sense.
One-On-One Investor Meetinqs/Calls: Investors will be interested in speaking directly with management prior to
making an investment decision.The County should offer to have meetings or calls with Bank of Hawaii and First
Hawaiian Bank, and set aside time to be available for one-on-one calls with any interested investors on the
Mainland. We also recently engaged Central Pacific Bank to gauge their interest in buying Hawaii bonds due to
the fact that Hawaii bonds now fit into CPB's investment criteria with the pension system's funded ratio going
above 60%.
Credit Analysis and Disclosure Experience
Our in-house credit team, led by Mr. Brad Gewehr, is unmatched by any other firm. Mr. Gewehr has significant
experience working in Hawaii. He also is an industry leading expert in pension and other postemployment benefits
programs, and is very familiar with the State of Hawaii Employees' Retirement System ("ERS") and the Hawaii
Employer-Union Health Benefits Trust Fund ("EUTF"). Mr. Gewehr was formerly a Managing Director at Moody's,
and he always will be available to assist the County with rating presentations,credit strategy and investor relations.
Joining Mr.Gewehr on our County coverage team is Collin De La Bruere. Collin was closely involved with the County's
2025 G.O.financing.
Our Hawaii efforts also extend to educating local investors about the County's credit and overall the State of Hawaii's
available investments opportunities. We also recommend holding calls with mainland investors who may have
follow-up questions.
As one of the largest securities firms in the world, BofA offers the County a comprehensive package of investment
banking services and qualifications as well as a wide range of traditional bank products. Our team is staffed with
professionals who have proven skills in structuring and executing all types of financings. Below we provide
credentials for each financing category that is important to the County.
National Financing Experience
Since 2024, BofA is the "Number One" ranked senior manager NATIONAL MUNICIPAL BOND FINANCINGS
nationally for all municipal bond financings, as summarized to the January 1,2024 to 2026 YTD
right. This includes a diverse mix of transactions across all credit
Bo(ASECURITIES% s227,264
sectors that are important to the County (such as G.O. and
transportation revenue bonds) as well as different tax status. Our JP Morgan 925 $130,253
1 ranking as senior manager extends for more than a decade and RBC 1,160 $112,060
has continued through the recent market volatility.Our top rankings
underscore the creativity, consistency, and high level of resource Morgan Stanley 534 $101,735
commitment in support of our issuer clients that help to distinguish Jefferies 684 $92,599BofAfromotherWallStreetfirms.
Source:Securities Data Company.
Note:Rankings reflect true economics.Figures within bars
denote number of issues.Par amount in millions.
Page 20 BofA SECURITIES
General Obligation Bonds
BofA also is the "Number One"underwriter of General Obligation NATIONAL GENERAL OBLIGATION FINANCINGS
bonds since 2024, having senior managed 378 financings totaling January 1,2024to2026YrD
70.2 billion in par. BofA has senior managed General Obligation BofA SECURITIES'%/70,258
bond financings for many issuers in Hawaii including the State, City
and County of Honolulu and Counties of Hawaii, Maui and Kauai. P Morgan 314 $34,766
BofA served as lead manager on the State's 2009,2011,2013,2015,
2016, 2017, 2018, 2019, 2020, 2021, 2024 and 2026 General Ric 389 $30,750
Obligation Bonds. We also served as co-senior manager on the Piper Sandler 852 $29,828
State's G.O. Bonds of 2012, 2014, 2016, 2022, and 2023. We also
most recently senior managed the County's $142.1 million 2025 STitei 1,081 $29,826
G.O. bonds. We are also currently senior manager for the City and Source:Securities Data Company.
County of Honolulu's 2026 G.O.offering.Note:Rankings reflect true economics.Figures within bars denote
number of issues.Par amount in millions.
Below we provide a case study for three recent general obligation
financings we senior managed for the County of Hawaii,City and County of Honolulu and the State of Hawaii.
County of Hawaii
Issue:$142,140,000 General Obligation Bonds,Series 2025
Sale Date:April 14,2025
On April 14,BofA Securities served as sole manager on the County of Hawaii's("the County")General Obligation Bonds,Series 2025
The proceeds will be used to fund various County projects,including the Hilo Wastewater Treatment Plant Project
The bonds were structured on a level debt service basis with a 25-year final maturity and no principal delay
BofA worked with the County to develop a comprehensive credit update for the rating agencies
The County's ratings were affirmed by both S&P and Fitch at"AA+"with Stable Outlooks
A comprehensive marketing campaign was conducted ahead of the bond sale,which included digital advertisements in local newspaper
publications and an online investor roadshow
The week prior to pricing was extremely volatile due to the Liberation Day Trump tariffs,with the MMD index swinging as much as 30-50
basis point on each day
Many deals were put on hold given the market volatility
The team decided to accelerate the financing into the following Monday,April 14,given the positive tone coming off the weekend
This allowed the County to get ahead of the supply overhang from the prior week and shortened holiday week due to Good Friday
The County's financing generated over$1.2 billion in orders,leaving the transaction 8.6x over subscribed
BofA was able to reduce yields by 3 to 15 basis points at final pricing
The County secured an All-in True Interest Cost of 4.53%
City and County of Honolulu
734,090,000 General Obligation Bonds,Series 2025ABCDEF&G
Sale Date(Series A-F):July 16,2025
Sale Date(Series G):July 28,2025
On July 16,2025,BofA served as senior manager for the City and County of Honolulu's("City")General Obligation Bonds,Series
2025ABCDE&F("Bonds"):
Proceeds from Series 2025ABC Bonds will be used for various long-term capital projects,equipment purchases and the City's general
fund contribution for the rail transit project.
Series 2025DEF economically current refunded outstanding bonds for$40.9 million of NPV Savings.
On July 28,2025,Series 2025G Bonds refunded Series 2010A BABs:
Priced separately from the other series to meet a legal requirement that the call price must be calculated no more than 3-business
days prior to the redemption date.
Eliminated U$2.7 million of subsidy loss risk while generating$405,000 in expected present value savings.
BofA worked with the City to develop a comprehensive credit update for the rating agencies,which included HART's Segment 2
stations and City-operated zoo which is expected to receive funding from the proceeds of the Bonds.
The Bonds were rated"AA+"with a Stable Outlook from both S&P and Fitch.
A comprehensive marketing campaign was conducted ahead of the Bond sale,including a voluntary posting on EMMA,digital
advertisements,an on-line investor presentation as well as in-person meetings with local Hawaii banks.
Bank of Hawaii and First Hawaiian Bank placed$100.1 and$3.3 millions of orders,respectively.
The City received orders from over 50 institutional investors.
During the pricing of 2025ABCDE&F Bonds,the City had a strong reception of$525 million in retail and$229 million of institutional
orders,but the market was unsettled due to President Trump's remarks regarding firing Fed Chair Jerome Powell.
BofA committed to underwrite$184 million of unsold balances at the time of the final pricing.
During the pricing of 2025G Bonds,the City received$90 million of orders,leaving the transaction 2.3x oversubscribed.
This strong demand allowed repricing to lower yields by 1-2 basis points in all maturities.
The City secured an All-In True Interest Cost of 4.58%on its tax-exempt 25-year new money borrowing.
Or) Page21 BofA SECURITIES /
State of Hawaii
1,500,000,000 General Obligation Bonds of 2026,Series GO,GP&GQ
Sale Date:April 15,2026
BofA Securities served as Bookrunning Senior Manager on the State of Hawaii's General Obligation Bonds of 2026,Series GO,GP,and GQ
The bonds were issued to fund various capital projects throughout the State and were sold on a taxable basis to maximize flexibility in
the use of proceeds
Multiple series were utilized to accelerate principal in the earlier years and take advantage of current yield curve while meeting the
State's constitutional debt structure requirements
Series GO amortizes from 2026-2029,Series GP amortizes in 2031,and Series GQ amortizes from 2030-2045
BofA assisted in crafting the rating presentation which led to confirmed ratings of"Aa2"by Moody's,"AA+"by S&P,and"AA"by Fitch
Notably,Fitch adjusted their outlook from"Stable"to"Positive"
A voluntary notice ofsale was posted to the State's investor relations website and EMMA on March 17 to commence marketing efforts
The finance team assembled an investor presentation that was posted alongside the Preliminary Official Statement
The State also hosted a zoom investor meeting on April 13 that was attended by over 35 investors representing 30 unique firms
During Indications of Interest on April 14,the State received over$8.2 billion in orders from 122 unique accounts
Due to significant demand,the syndicate was able to reduce spreads in every maturity by 3-25 basis points during the final pricing onApril15
The State secured an All-inTIC of4.96%
COP/Lease Revenue Financing Experience
BofA also is a leading underwriter of lease revenue bonds and NATIONALCOP/LEASEREVENUEFINANCINGS
certificates of participation ("COP") since 2024, having senior January 1,2024 to 2026 TM
managed 49 financings totaling over$9.5 billion.Of particular note,8o/A SECURITIES';/ 9,563
Mr. Lauterbur has senior managed COP financings for the State of
Hawaii(No. 1 Capitol District State Office Building and Kapolei State Morgan Stanley 13 $2,548
Office Building)and for the Department of Hawaiian Homelands.We
also served as co-senior manager on the Airports Division's ESCO
Piper Sandler 63 $2,404
COPs in 2013.This makes BofA a market leader of COPs in Hawaii,5tifel 101 $2,375
as there have only been five such issues sold by the State to date.
Additional) , we were a Ramirez 16 $2,334yppointedtoserveasaseniormanagerthe
State's COPs to fund the construction of Ala Wai Canal. While the Source:Securities Data Company.
financing and construction were placed on indefinite hold, we Note:Rankings reflect true economics.Figures within bars
denotenumberofissues.Paramountin millions.worked with the State and its financing team to put the financing
framework in place.
BofA also is a leading underwriter of lease revenue bonds and COPs for municipal issuers throughout the West Coast.
This includes financings for the Oregon State Department of Administrative Service, the State of California Public
Works Board,the State of Arizona,the State of Colorado and the County of Los Angeles. Most recently, BofA senior
managed COP/Lease Revenue Bonds for the City of Los Angeles, City of Long Beach, County of Riverside, City of
Sacramento and the State of California Public Works Board. Below we provide case studies for the State of Hawaii's
2009 and 2013 COPs as well as transactions for Pismo Beach and the County of Los Angeles.
State of Hawaii
41,120,000 Certificates of Participation(State Office Buildings)2009 Series A
Sale Date:October 15,2009
BofA served as the sole manager for the State's refunding Certificates of Participation COPs 2009 Series A.
Proceeds of the 2009 Series A Certificates were used to refund the State's$31,305,000 Certificates of Participation(Kapolei State Office
Building),Series 1998A and$15,880,000 Certificates of Participation(No.1 Capitol District State Office Building),Series 2000A.
BofA and bond counsel modernized the COPs lease provisions,eliminating the debt service reserve fund.
BofA worked with the State and secured ratings of"Aa3/AA-/AA-"—only one notch below each of the State's respective General
Obligation Bond ratings.
The retail order period on October 14t^generated over$39 million of retail orders(95%of the bonds available),despite a volatile
municipal market.
The retail order period was so successful that BofA was able to accelerate the institutional order period and price all of the bonds on
October 14'.
The COPs refunding generated over$2.6 million of PV savings(5.6%)and over$3.6 million of cashflow savings in FY2010&11.
Hawaii Airports
167,740,000 Series 2013 Lease Revenue Certificates of Participation("COPs")
Sale Date:December 10,2013
BofA served as a co-senior manager for Hawaii Airport Series 2013 Lease Revenue Certificates of Participation("COPs")
The COPs were sold to pay for$150 million in energy conservation projects at 12 of the State's 15 airports.
The projects are part of a 20-year energy performance contract with Johnson Controls International anticipated to result in a 49%
reduction of energy usage.
Page22 BofA SECURITIES .
Changing airport lighting systems to LED,replacing heating and air conditioning systems,electric transformers and installing solar panels
over parking garages are the largest projects in the contract.
The debt is structured as lease revenue certificates of participation payable from all net revenues of the Airports Division after payments
are made on the$877 million outstanding Airport System Revenue Bonds.
The COPs were sold with an increasing debt service profile structured to match the increase in annual energy savings guaranteed from
Johnson Controls under the energy performance contract.
Interest on the COPs will be subject to the alternative minimum tax.
The COPs received an A3 rating from Moody's and A-minus ratings from both Standard and Poor's and Fitch.Those ratings are one notch
lower than the airport division's outstanding lease revenue bond debt.
75 million of professional retail orders were received and pricing was accelerated by one day due to strong market reception.The
financing received almost$1.2 billion of total orders,leaving it 6x oversubscribed.
The all-in cost ofthe financing was 4.65%.
City and County of San Francisco
270,910,000 Refunding Certificates of Participation,Series 2025-R1
Sale Date:November 6,2025
On November 6,2025,BofA served as senior manager on the City and County of San Francisco's("City")$270,910,000 Refunding
Certificates of Participation,Series 2025-R1(Multiple Capital Improvement Projects)("Certificates")
Proceeds were used to(i)prepay the Series 2017B Certificates and(ii)pay costs of issuance
Prepayment of the Series 2017E Certificates enabled the City to add Moscone North as a component to the City's master lease
The Certificates obtained a credit rating of'Aa2'(Stable Outlook)from Moody's,'AA'(Negative Outlook)from S&P,and'AA+'(Negative
Outlook)from Fitch
Maturities ranged from April 1,2026 to April 1,2041 with an optional call date on April 1,2035 at 100%
The City received more than$660 million in orders from 26 unique institutional and a handful individual retail investors,resulting in an
overall subscription of 2.4x as of the verbal award
The strong order book allowed BofA to reduce spreads to AAA MMD yields by up to 5 basis points compared to pre-marketing levels
The Certificates resulted in a true interest cost of 3.21%(8.8-year average life)and$18.5 million in net present value savings or 5.6%of
refunded par
Los Angeles County Public Works Financing Authority
824,480,000 Lease Revenue Bonds,2025 Series J
Sale Date:August 20,2025
BofA served as book-running joint senior manager on the$842.48 million Los Angeles County Public Works Financing Authority's Lease
Revenue Bonds,2025 Series J(the"Bonds")
Proceeds from the bond sale included an$873.4 million project fund deposit to be used for completion of a new Inpatient Tower at the
County's Harbor-UCLA Medical Center
The Bonds were issued pursuant to a Master Lease structure secured by eleven(11)unique County assets with a combined value of
greater than$2.5 billion
The Harbor-UCLA Medical Center was not included as security in the Master Lease and no capitalized interest was necessary on the
financing
The ratings on the Bonds were affirmed at"AA+"by both S&P and Fitch—each with a Stable outlook
As part of the marketing plan,the County posted an online investor presentation that was viewed by more than 25 unique institutional
investors
The County entered the market during the week of August 18th in a period of renewed market volatility and following two consecutive
days of rising MMD rates:
The County had a strong reception during an all-day Retail Order Period on August 19,leveraging demand from Separately Managed
Accounts("SMAs")and generating$1.225 billion in total orders
By the end of the Institutional Order Period on August 20,total orders were$3.6 billion
In total,the transaction was 4.35x oversubscribed,allowing BofA to reduce yields on 25 of the 28 bond maturities
11 maturities saw yield reductions of 5 basis points or more
The success of the financing was demonstrated by an All-in TIC of 4.64%and participation from more than 70 unique institutional and
professional retail investors—in addition to 41 orders from individual retail buyers
Page 23 BofA SECURITIES .
Wastewater/Water Revenue Expertise.
BofA offers unique and competitive capabilities that best qualify our firm National Water/Wastewater Financings
to serve as underwriter for any County wastewater/water financings that January 1,2024 to 2026 YTD
they may consider persuing.Ourfirm is the onlyfirm on Wall Street with
eu,A SECURITIES.'% 15,388
a dedicated Water/Wastewater/State Revolving Fund("SRF")Group.
As a key specialty focus for BofA, we are the "Number One" ranked rean 8,155
underwriter of water/wastewater bonds. Since 2024, we have senior Raymond lames 189 $7,965
managed 141 transactions totaling$25.4 billion, as shown to the right. Wells Fargo 70 $7,850
Our water/wastewater specialists are active in the sector and have
lefferles 39 $7,661servedasboardmembersand/or advisors to the US EPA's Environmental
Financial Advisory Board (interim chairman), American Water Works Source:Securities Data Company.
Note:Rankings reflect true economics.Figures within barsAssociation,and the Council of Infrastructure Financing Authorities.They denote number ofissues.Par amount in millions.
also have presented at the White House, the Federal Reserve Bank, US
EPA and at numerous national, regional and bank-sponsored conferences on water financing matters.Our work for
our water/wastewater clients includes modeling rates and charges for a range of financing structures; helping to
craft inaugural senior and subordinate lien indentures; preparing credit rating presentations; and focused investor
outreach to maximize competition among potential investors.
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We include below case studies for our most recent City and County of Honolulu Wastewater and Honolulu Board of
Water Supply financings as well as a case study for the City of San Diego.
City and County of Honolulu,Department of Environmental Services(ENV)
216,940,000 Wastewater System Revenue Bonds Series 2025B(Green Bonds)
Sale Date:September 9,2025
The Series 2025E bonds were used to fund$229 Million of CIP
The bonds were structured to begin amortizing in 2040,utilizing ENV's back-end capacity in its overall debt service profile
In-person rating agency meetings were held in San Francisco
S&P affirmed the AA+Senior Lien rating with a Stable Outlook
Fitch affirmed the AA Senior Lien and upgraded the Junior Lien to AA given the minimal amount of debt outstanding on the Lien-both
Liens have Stable Outlooks
The City published a Voluntary Notice of Potential Financing on EMMA
Digital Banner Advertisements ran in the Honolulu Star Advertiser and neighbor island papers
The City held on-on-one meetings with the Bank of Hawaii and First Hawaiian Bank
35 firms downloaded the POS and 19 firms viewed the investor presentation
Page 24 BofA SECURITIES '-"./
The City held a one-on-one Zoom with GW&K—one of its largest investors
MMD decreased by approximately 20 basis points during the week prior to pricing
During the Retail Order Period,the City received over$244 Million in orders
Due to this early success,the finance team decided to accelerate the institutional pricing
BofA was able to add serial bonds from 2046 to 2048 due to the strong retail demand
The City received$1.5 Billion in in total orders from 50 investors(7.1x over subscription)
BofA was able to reduce yields by as much as 9 basis points throughout the pricing process
The City secured an all-in true interest cost of 4.79%
The bonds were sold with a 10-year par call
City and County of Honolulu,Board of Water Supply(BWS)
72,815,000 Water System Revenue Bonds,Series 2024
Sale Date:March 12,2024
The tax-exempt bond proceeds will be used for new projects and repair and maintenance of the water system as well as to execute a
current refunding of the Board's 2014A&B bonds.
BofA Securities assisted in drafting a credit presentation and helped the team prepare for the rating agency meetings.
The Board met with both S&P and Fitch in Honolulu,the rating analysts also participated in a tour of the Waihee water tunnel on the
Windward side of the Island.
Both S&P and Fitch affirmed the Board's"AAA"(Stable)rating.
The new money portion of the bonds were structured to wrap around the Board's existing debt service with principal maturing from
2037 to 2053.The refunding bonds were structured on a matched maturity basis to produced level savings.
The refunding of the 2014A&B bonds also allowed the Board to release approximately$5.9 million in funds related to the common
reserve requirement.
The finance team looked at potential taxable refunding options but decided not to include in the plan of finance.
The bonds are not secured by a debt service reserve fund,included a 10-year par call and were self-designated as"Sustainability
Bonds"—the first of its kind in Hawaii.
A Voluntary Notice of Sale was posted to the Board's investor relations website and EMMA.
The City held one-on-one in person meetings with First Hawaiian Bank and Bank of Hawaii,who put in$6.8 million and$18.1 million in
orders,respectively.
The finance team ran a retail order period on March 12th,and due to its success decided to accelerate the final pricing.
The transaction ultimately received$154 million of total orders as of the verbal award,including 25 unique institutional investors—an
oversubscription of 2.1x.
Due to the strength of the order book,BofA was able to reduce yields by 2 basis points in most of the longer-dated maturities.
Certain shorter maturities remained undersubscribed,so BofA underwrote$17.6 million of bonds(24.2%)in order to maintain the
integrity of the pricing.
The Board was able to secure a new money borrowing rate of 4.21%and generate PV savings of$503K(1.9%of refunded par).
City of San Diego
495,280,000 Subordinated Sewer Revenue Bonds,Series 2026A&B
Sale Date:May 6,2026
BofA served as senior manager on the City of San Diego's(the"City")2026 Sewer Revenue Bonds
The Bonds were sold(i)to provide long-term financing for the design,acquisition,construction and installation of improvements to
the City's Wastewater System,(ii)to provide interim funding for capital projects,and(iii)to current refund the City's Outstanding
Senior Bonds,Series 2015 and 2016A
The new money component of the Series 2026A Bonds was sold with a 30-year final maturity,while the refunding component was
structured for uniform savings
The City structured the Series 2026E Bonds with a three-year final maturity to provide an attractive known cost of interim funding for
near-term capital projects
S&P affirmed the"AA"rating on the subordinate lien with a Stable Outlook
Fitch also affirmed the"AA"subordinate lien rating,while assigning a Negative Outlook
308 million of orders were generated during a one-day retail order period on Tuesday,May 5th,including$8.19 million of Individual
Retail orders
On Wednesday,May 6th,the City received an additional$960 million of institutional orders
The City received an aggregate$1.2 billion of orders from 59 institutional accounts and individual retail
The transaction was oversubscribed in most maturities,allowing BofA to reduce yields anywhere from 1 to 5 basis points in several
maturities
BofA underwrote unsold balances of$84.725 million in several under-subscribed maturities
The All-in TIC for the new money Series 2026A is 4.27%and the shorter Series 2026B is 2.48%
Refunding Series 2015 and 2016A Bonds generated$31.3 million of PV savings(11%of refunded par)
The Series 2026A Bonds were sold with a 10-year par call feature,while 2026E was non-callable
Qualified Energy Conservation Bonds("QECBs")and Energy Efficiency Leasing
The Stimulus Act of 2009 also created Qualified Energy Conservation Bonds("QECBs")to finance facilities that reduce
energy consumption.Similar to QSCBs,these bonds can be sold either as tax credit or as federally subsidized bonds.
QECBs are designed to provide the issuer with an interest subsidy of up to 70%. It is our understanding that the
State's allocation of$13.63 million has yet to be utilized.
Page25 BofA SECURITIES ' "
BofA is one of only a handful of firms that have sold QECBs.Our experience includes transactions for the Los Angeles
Department of Water and Power, King County Washington and Rancho California Water District. A case study for
the City of San Diego financing is provided below.
City of San Diego
13,100,000 2011 Taxable Qualified Energy Conservation Bond("QECB")Financing
Sale Date:April 15,2011
The City of San Diego selected BofA to provide$13.1 million in Taxable Qualified Energy Conservation Bond("QECB")financing for a
Broad Spectrum Street Lighting program.
BofA helped the City secure its allocation with the California Debt Limit Allocation Committee("CDLAC").
The entire$17.8 million project will fund 36,000 energy-saving replacement street lights,with$13.1 million in QECB funds(for 28,700
street lights)and the balance in grant funding.
Savings from the QECB funding are anticipated to be$1.6 million annually,with a one-time incentive of$614,000 from San Diego Gas&
Electric.In addition,the program cost savings are expected to cover debt service.
The transaction closed on April 15,2011.
The City of San Diego is a significant client of BofA—past services have included treasury accounts,credit facilities and public finance
investment banking.
Banc of America Public Capital Corp (BAPCC), a wholly-owned subsidiary of Bank of America N.A., is an active
participant in the energy efficiency financing space. Financing vehicles include tax-exempt lease-purchase
agreements, tax-advantaged structures, non-tax and tax structured financing (energy/utility service agreements,
shared savings agreements). The types of projects financed includes energy efficiency projects such as renewable
solar, wind and geothermal heating and cooling), lighting upgrades, HVAC, water conservation efforts, boilers,
chillers,etc. Below we provide list of the lease financings we purchased for the State of Hawaii.
Closing Date Department Par Amount
8/1/2013 Department of Accounting and General Services 18,834,612.90
4/13/2016 DOT-Airports Division 8,056,521.00
3/31/2017 DOT-Airports Division 51,473,426.71
7/8/2015 DOT-Highways Division 60,286,091.00
9/17/2015 DOT-Harbors Division 26,245,564.00
11/17/2017 University of Hawaii 6,301,662.00
11/17/2017 University of Hawaii 24,183,428.00
Total: $195,381,305.61
Short-Term Products: BofA's municipal variable rate portfolio is of manageable size, which allows us to focus on
individual programs.Our Municipal Money Markets("MMM")desk currently manages over 700 municipal variable
rate debt programs with an outstanding par amount of $33.3 billion. To ensure sufficient capital is available to
support our issuers'programs on an ongoing basis, including periods of market volatility,our MMM desk routinely
evaluates and adjusts our underwriting limit. The MMM desk is currently staffed by two underwriters/traders/
remarketing agents.The desk exclusively underwrites and markets short-term and variable rate municipal products
and is supported by a team of four institutional short-term sales professionals and two sales assistants that cover
the largest money market funds, trust funds, investment advisors, insurance companies, hedge funds and
corporations.These professionals work jointly with our Institutional Financial Consultants and local retail offices to
sell and remarket short-term paper at the lowest possible yields. Of note, most of BofA's"seasoned"variable rate
programs have broad distribution networks,including high net worth retail investors.
Below we have provided a case study for the City and County of Honolulu's tax-exempt commercial paper program
for which BofA serves as dealer. The City has benefited greatly from this program over the past decade as it has
provided not only flexible interim financing but also an extremely low all-in cost of funds. We believe that through
recent discussions with the State,a commercial paper program or variable rate bonds could have similar benefits to
the G.O. debt portfolio. For example, the State could initially sell such a variable rate component as taxable and
potentially refund the bonds or CP to tax-exempt—should eligible projects be identified.The State could also current
refund tax-exempt fixed rate bonds to taxable variable to alleviate private activity concerns.BofA is well experienced
in serving as commercial paper dealer and remarketing agent for variable rate bonds both nationally in Hawaii. In
addition,we would very likely be able to offer a bank support facility through Bank of America, N.A. Below we also
provide a case study for the various variable rate programs that we support for the State of California.This includes
serving as remarketing agent on VRDOs, dealer on commercial paper, underwriter on index floating rate bonds,
providing bank LOC facility support and a$500 million revolving credit facility.
Page26 BofA SECURITIES I
City and County of Honolulu
450,000,000 General Obligation Tax-Exempt Commercial Paper
Closing Date:December,15 2015
BofA currently serves as dealer for the City and County of Honolulu's(the"City")entire Commercial Paper programs.
The banking team has assisted the City with the pricing and administration of its commercial paper program since its inception in
2001,including the facilitation and negotiation of its bank facility support in 2004,2010,2012,2015,2018,2023 and 2026.
The City most recently replaced its expired RBC facility with Bank of America,N.A.
The City also expanded the program by$350 million to fund the rail system.
The City's commercial paper program has proven a critical finance tool,not only for its extremely low cost as an interim financing
vehicle,but also as an alternative form of borrowing.In 2008,during the height of the financial crisis,the City was able to borrow with
its commercial paper program.This was at a time when both the variable rate(VRDOs and ARCs)and fixed rate markets were
essentially closed.
The City also has used the commercial paper program to provide interim financing for the H-Power waste to energy facility and
Honolulu Authority for Rapid Transportation(HART).The City was able to borrow on the commercial paper program in 2010,as the H-
Power private activity project qualified for tax exemption under the American Recovery and Reinvestment Act of 2009.
State of California
Various Variable Rate General Obligations
BofA Serves as Remarketing Agent
49,100,000 Variable Rate General Obligation Bonds,2005 Series B-3**
150,000,000 Variable Rate General Obligation Bonds,2024 Series C-1**
BofA Serves as Commercial Paper Dealer
500,000,000*General Obligation Commercial Paper Notes,Series Al/B1**
500,000,000*General Obligation Commercial Paper Notes,Series A2/B2**
50,000,000 General Obligation Commercial Paper Notes,Series A6/B6**
500,000,000 General Obligation Commercial Paper Notes.Series C1/D1
Bank of America,N.A.as Letter of Credit Provider
150,000,000 Variable Rate General Obligation Bonds,2024 Series C-1
75,000,000 Variable Rate General Obligation Bonds,2024 Series C-2
75,000,000 Variable Rate General Obligation Bonds,2024 Series C-3
350,000,000 General Obligation Commercial Paper,Series A-6/B-6**
Index Floating Rate Bonds
100,000,000 General Obligation Bonds,Series 2013D(Index Floating Rate Bonds)
Shared with other dealers,BofA isallocated rollsfrom the State as needed.
Currently outstanding.
Municipal Credit Products.
At BofA, our public finance and municipal credit professionals work together to seamlessly provide products and
services to best meet our clients' needs. Our value-added alternatives include municipal credit products, capital
markets solutions, derivative enhancement and/or restructuring or a combination thereof to balance the State's
overarching financing objectives,risk profile and ultimate cost of funds.
We are a leading bank credit/liquidity provider through Bank of America,N.A.(the"Bank"or"BANA")and BANA is
active in both the traditional bank facility and direct purchase markets. As one of the largest bank lenders in the
world, the Bank's current portfolio includes more than $47 billion of municipal credit exposure nationally. Our
municipal credit team has an extensive track record of providing flexible and cost-effective "on- and off-balance
sheet"credit solutions to a wide range of municipal issuers,including states,cities,counties,airports/ports,utilities,
and other revenue bond issuers.
BANA's experience with the State includes executing direct purchase transactions for the State's General Obligation
Program (2017 Refunding GOs and 2020 GO BANs), Airports System (2018) and Harbors System (2016), and since
2019 the Bank has provided the State with a purchasing card program that has cards in the hands of more than 3,500
State employees. In addition to this experience,the Bank's wholly-owned subsidiary Banc of America Public Capital
Corp has executed multiple direct purchase financings with the State,Airports and Highways Divisions,and General
Services and Energy Departments.
Below please find several case studies for the Bank,highlighting some of BANA's Hawaii experience.
Page 27 BofA SECURITIES
State of Hawaii
600,000,000 Taxable General Obligation Bond Anticipation Notes of 2020(Direct Purchase)
Closed Date:April 14,2020
The Notes provided interim funding for$600 million of general governmental projects,as a form of fiscal stimulus.
The State initially had planned a public sale, but decided to pursue a direct purchase given market volatility and
uncertainty around the impacts of COVID-19 on the State's credit;the State ultimately determined that drafting disclosure
for a public sale prior to its May 2020 Council on Revenues meeting was not feasible given the impact of COVID-19 on the
State's budget;the municipal market was essentially shut down in the weeks leading up to the transaction.
BANA offered the State$600 million as interim financing,to be refunded with long-term G.O.bonds in 2020 or 2021,and
was able to close the transaction within two weeks compared to a public offering which typically takes 2-3 months.
Although ratings were not required,the finance team assisted the State with the development of a comprehensive credit
update for the rating agencies in light of the potential impacts of COVID-19.
The BANs were structured on a taxable basis to avoid any private activity issues,with par coupons which helped avoid
the State's premium limitation.The transaction included two tranches:$300 million maturing in 12 months(non-callable)
and$300 million maturing in 18 months(callable in 12 months).
Public market new issuance during the week of pricing was only$4 billion(down from the typical$10-12 billion weekly
in normal markets).Over the two days leading up to pricing,1-year US Treasury rates increased by 5 bps.
In October 2020,the State and BANA agreed to a negotiated partial prepayment of$400 million of BANs which provided
significant debt service savings to the State.
Most recently, in August 2024 the Bank provided indicative pricing for a potential $300-500 million taxable direct
purchase GO BAN,as a bridge to the next State GO sale.While the State ultimately did not accept this offer,the strength
of BANA's overall relationship with the State allowed the Bank to expeditiously present a direct purchase option for
consideration.
City and County of Honolulu
100,000,000 General Obligation Commercial Paper Program
Closed Date:May 28,2026
The City and County of Honolulu has long maintained a General Obligation Commercial Paper Program to provide interim
funding for its projects,previously supported by two separate bank liquidity facilities.
In fall 2018,with the expiration date for one of the liquidity facilities approaching,the City and County requested that the
incumbent bank provide an extension,which such bank declined to provide.
Based on the strength of BofA's overall relationship with the City and County,BANA was able to quickly approve providing
a substitute liquidity facility to replace the expiring facility.
The Bank has executed multiple extensions of this facility,including annual extensions in 2018 and 2019 and three-year
extensions in 2020 and 2023.
In 2023, after a rating agency downgrade triggered a pricing increase under this facility, BANA offered an early
extension to extend tenor and lower pricing.
This facility was most recently extended on a negotiated basis in May 2026,for an additional two-year period.
State of California
350,000,000 General Obligation Commercial Paper Program;Closed Date:May 5,2026
300,000,000 General Obligation Variable Rate Program;Closed Date:October 10,2024
The State of California has long maintained multi-billion General Obligation VRDO and General Obligation Commercial
Paper Programs to provide variable rate and interim funding,respectively,for a range of GO projects on behalf of various
State departments and bond acts.
The Bank has served as one of the State's leading credit providers for many years,providing LOCs to support both the GO
VRDO and GO CP Programs over the past several decades.The State does competitive credit RFPs every two years,as it
manages and optimizes its short-term GO programs.
In 2024,the State issued its first new GO VRDO in many years and after a competitive RFP process,BANA was selected as
the largest bank provider on the transaction,providing a new$300 MM LOC to support the Series 2024 GO VRDOs.
Most recently,in May 2023 BANA's$350 million CP LOC was extended for an additional three years,after a competitive
RFP process.
State of California Department of Water Resources
300,000,000 Water Revenue Commercial Paper Program
Closed Date:April 10,2026
BANA has been one of the State of California Department of Water Resources' (DWR) leading bank liquidity providers
since 2017, having been selected competitively via RFP. DWR has long maintained a Water Revenue Commercial Paper
Notes Program (Program)to provide interim funding for its various State Water Project facilities on a subordinate lien
basis.In 2018,the Program was significantly upsized after a historically wet winter led to a significant infrastructure failure
at DWR's Oroville Dam,one of the largest reservoirs in the State.
Page28 BofA SECURITIES /
BANA initially provided $300 million of liquidity support for the Program,which was subsequently doubled in 2018 to
600 million at DWR's request,as the Program expanded significantly to provide increased interim financing flexibility in
the wake of the Oroville Dam spillway failure.
Based on the strength of BofA's overall relationship with DWR,the Bank subsequently executed a negotiated extensions
in 2021.
In 2024, BANA did a negotiated amendment to extend the tenor once again,as well as downsize the facility back to its
original size of$300 million, as DWR downsized the CP Program as appropriate to meet its ongoing interim financing
needs.
Most recently,BANA once again worked with DWR on a negotiated basis to amend the facility,extending it for another
3 years.
City and County of Honolulu
252,520,000 Wastewater System Revenue Bonds,Series 2017(Direct Purchase)
Closed Date:December 20,2017
Series 2017 FQ,FR,and FS Bonds(tax-exempt)advance refunded Series 2011 DZ,2012 EE,2013 EH and 2014 for economic
savings.
The transaction initially kicked-off as a public bond sale scheduled to price in January 2018.As a result of the Tax Jobs
and Cuts Act of 2017,which proposed to eliminate tax-exempt advance refundings by December 31st, 2017,the State
decided to also explore a direct purchase with BANA.
The refunding was expedited as the Bank does not require a disclosure document or direct credit ratings for direct
purchases.
The refunding was structured with three series,which will allow the City and County to realize uniform cashflow savings
over the life of the financing.
The final maturity of the direct purchase was 16 years,well beyond Bank of America's standard 10 year tenor restriction.
BofA worked with Tax Counsel to confirm the multi-purpose allocations.
The public municipal market weakened in the weeks leading up to the transaction due to the heavy supply of advance
refundings attempting to price and close before December
The interest rate set for the direct purchase was very comparable to where a public market rate would have been,if sold
on the same day as the rate lock.The refunding generated over$19.3 million present value or 7.50%of refunded par.
The 2017 Bonds maturing after 10 years have a 10-year par call.
Environmental,Social and Governance Bonds.
BofA is a leading underwriter in the"ESG"bond space,having senior
1•sr .
managed 103 financings for over $15.6 billion since 2024. This January 1,2024 to 2026 YrD
includes a number of high-profile corporate clients such as Toyota. Morgan Stanley 84$18,8
We served as senior manager on the first green bond transaction to
be sold by a municipal entity — the Commonwealth of Bo(A SECURITIES "/ 15,662
Massachusetts. We also played a leadership role in the Goldman Sachs 25 $15,253
development of the Green Bond Principles(Principles)which were
based on a white paper, "Framework for Green Bonds,"published RBC 135 $14,333
in 2013 and co-authored by BofA.The white paper was republished
in January 2014 as the Green Bond Principles with the help of two efferies 65 $9,555
additional drafting banks and the backing of nine other banks. Source:Securities Data Company.
Recently, BofA won Environmental Finance's Lead Manager of the Note:Rankings reflect true economics.Figures within barsdenotenumberofissues.Par amount in millions.
Year in Sustainability Bonds for our green bond issuances in 2024.
This has helped catalyze the flow of funding to support Green projects globally.BofA remains the only global financial
institution to issue securities with the Equality Progress label that is designed to advance racial and gender equality
and economic opportunity.As a leader in the Green space and as an ESG Bond issuer itself, BofA understands the
internal processes and requirements of administering an ESG Bond program as well as the benefits of offering ESG
Bonds and we are well positioned to share this expertise with the State. Most importantly,we senior managed the
State of Hawaii's green bond transaction in 2015—proceeds of which used to make the Turtle Bay land acquisition.
Case studies for this transaction, a case study for the Honolulu Board of Water Supply, which were the first
Sustainability Bonds" in the State, as well as two case studies for the City and County of Honolulu (General
Obligation and Wastewater)are provided below.
Page29 BofA SECURITIES -4/
State of,Hawaii ,
35,000,000 General Obligation Bonds of 2015,Series EU
Sale Date:October 15,2015
The Series EU Bonds were designated as Green Bonds and sold for par amount of$35,000,000 of proceeds will be used to
acquire land for conservation purposes.
The land acquisition is located on the North shore of Oahu,near the Turtle Bay Resort.
The acquisition was part of an agreement reached with the Turtle Bay developers,who in turn for selling the land into
conservation,would be allowed to develop a portion of their property for residential homes,two small hotels and
timeshare units.
The conservation land includes 617 acres which will go to the State and 48 acres to the City and County of Honolulu(from
Kawela Bay to Kahuku Point).
Protects in perpetuity 4%of Oahu's coastline,and provides public access of four miles of coastline,eight miles of trails.
Turtle Bay Resort is solely responsible for maintenance,security and liability.
Due to the par-ish coupon structure,the all-in True Interest Cost for the Series EU(Green Bonds)was only 2.96%.
The Series EU Green Bonds were also sold with a pari-sh structure to minimize total premium and hence limit the State's
requirement to track these proceeds going forward.
The Green Bonds priced at a slight pricing advantage in select maturities versus the comparable non-green issue.
The bonds maturing after 10 years will have a par call feature.
72,815,000 Water System Revenue Bonds,Series 2024(Sustainability Bonds)
Sale Date:March 12,2024
The tax-exempt bond proceeds will be used for new projects and repair and maintenance of the water system as well as
to execute a current refunding of the Board's 2014A&B bonds.
BofA Securities assisted in drafting a credit presentation and helped the team prepare for the rating agency meetings.
The Board met with both S&P and Fitch in Honolulu.
The rating analysts also participated in a tour of the Waihee water tunnel on the Windward side of the Island.
Both S&P and Fitch affirmed the Board's"AAA"(Stable)rating.
The new money portion of the bonds were structured to wrap around the Board's existing debt service with principal
maturing from 2037 to 2053.
The refunding bonds were structured on a matched maturity basis to produced level savings.
The refunding of the 2014A&B bonds also allowed the Board to release approximately$5.9 million in funds related to
the common reserve requirement.
The finance team also looked at potential taxable refunding options but decided not to include in the plan of finance.
The bonds are not secured by a debt service reserve fund.
The bonds included a 10-year par call.
The Bonds were self-designated as"Sustainability Bonds"—the first of its kind in Hawaii.
A Voluntary Notice of Sale was posted to the Board's investor relations website and EMMA.
The City held one-on-one in person meetings with First Hawaiian Bank and Bank of Hawaii,who put in$6.8 million and
18.1 million in orders,respectively.
The finance team ran a retail order period on March 12th,and due to its success decided to accelerate the final pricing.
The transaction ultimately received$154 million of total orders as of the verbal award,including 25 unique institutional
investors—an oversubscription of 2.1x.
Due to the strength of the order book,BofA was able to reduce yields by 2 basis points in most of the longer-dated
maturities.
Certain shorter maturities remained undersubscribed,so BofA underwrote$17.6 million of bonds(24.2%)in order to
maintain the integrity of the pricing.
The Board was able to secure a new money borrowing rate of 4.21%and generate PV savings of$503K(1.9%of
refunded par).
City and County of Honolulu
216,940,000 Wastewater System Revenue Bonds,Series 2025B(Green Bonds)
Sale Date:September 9,2025
The Series 2025E bonds were used to fund$229 Million of CIP
The bonds were structured to begin amortizing in 2040,utilizing ENV's back-end capacity in its overall debt service
profile
In-person rating agency meetings were held in San Francisco
S&P affirmed the AA+Senior Lien rating with a Stable Outlook
Fitch affirmed the AA Senior Lien and upgraded the Junior Lien to AA given the minimal amount of debt outstanding on
the Lien-both Liens have Stable Outlooks
06114) Page30 BofA SECURITIES .*/
The City published a Voluntary Notice of Potential Financing on EMMA
Digital Banner Advertisements ran in the Honolulu Star Advertiser and neighbor island papers
The City held on-on-one meetings with the Bank of Hawaii and First Hawaiian Bank
35 firms downloaded the POS and 19 firms viewed the investor presentation
The City held a one-on-one Zoom with GW&K—one of its largest investors
MMD decreased by approximately 20 basis points during the week prior to pricing
During the Retail Order Period,the City received over$244 Million in orders
Due to this early success,the finance team decided to accelerate the institutional pricing
BofA was able to add serial bonds from 2046 to 2048 due to the strong retail demand
The City received$1.5 Billion in in total orders from 50 investors(7.1x over subscription)
BofA was able to reduce yields by as much as 9 basis points throughout the pricing process
The City secured an all-in true interest cost of 4.79%
The bonds were sold with a 10-year par call
20,060,000 General Obligation Bonds,Series 2017G
Sale Date:August 16,2017
The Series 2017G Green Bonds(taxable)were designated as Green Bonds and sold for par amount of$20 million of capital
improvements at the H-Power facility.
The City's ratings were affirmed by Moody's and Fitch at Aa1 and AA+,respectively—both with Stable Outlooks.
The facility was originally built in 1990 and underwent a major expansion project which was completed in 2012.
There was no requirement for the City to provide further project updates since the facility have been fully expended.
We also provide below a case study for a financings we led for the Sacramento Municipal Utility District.
377,450,000 Electric Revenue Refunding Bonds,2024 Series N-1(Green Bonds)
22,160,000 Electric Revenue Refunding Bonds,2024 Series N-2
250,000,000 Electric Revenue Bonds,2024 Series M(Green Bonds)
Sale Date:April 9,2024
On April 9,2024,BofA served as senior manager on SMUD's$400 million tax-exempt Series N refunding bonds
Proceeds of the Series N bonds were used to refund SMUD's outstanding 2009 Series V and 2010 Series W Build America
Bonds("BABs")using their respective Extraordinary Optional Redemption Provisions
In connection with the Series N transaction,BofA also served as co-manager on the$250 million Series M new money
financing for SMUD,which priced on the same day
Proceeds of the Series M bonds were used to refinance commercial paper notes and reimburse other capital
expenditures for improvements to SMUD's electric system
The bonds were rated Aa2(stable)by Moody's and AA(stable)by Fitch
627 million of the 2024 bonds were verified as"Green Bonds"by Kestrel as the financed improvements supported
SMUD's goal of a carbon-free electric system by 2030
SMUD took advantage of favorable market conditions to refund its outstanding BABs,achieving PV savings of over$20
million(representing nearly 5%of refunded par)
The 2024 Series N bonds were structured as 5%fixed rate serials from 2029 to 2036
The Series N offering received over$700 million in orders from 35 unique investors,representing a subscription of 1.8x
Separately managed accounts were the main participants in the offering,representing nearly 75%of the orders
submitted
A one-day retail order period was utilized on the Monday prior to institutional pricing
A strong order book allowed BofA to reduce yields on the Series N bonds from 3 to 10 basis points across the curve
At the end of the order period,BofA committed to underwrite$12.325 million of the unsold Series N-2 bonds
Community Facility District/Special Assessment District Bonds
BofA has significant experience in underwriting and distributing land-secured financings such as Assessment District
Bonds ("AD") and Community Facility District ("CFD") financings.This experience dates back to the 1980's, when
Merrill developed many innovative structures for land secured transactions in California and Hawaii.Such structure
involved issuing variable debt in the development stages of the project, and subsequently refunding to fixed rate
bonds once the improvements are completed and ready for sale by the developers.
BofA's lead banker for the County, Frank Lauterbur,has extensive land secured financing experience. In fact,during
his 30-year career, Mr. Lauterbur has worked on both residential and commercial land development projects.Over
this timeframe,he has senior managed transactions for municipalities including the Hawaii Community Development
Authority(3 separate non-rated improvement district issues in 1986, 1988,and 1990),the Department of Hawaiian
Page31 BofA SECURITIES /
Homelands ($18 million non-rated revenue bond financing), Los Angeles County (5 senior managed CFD
transactions),City of Irvine(5 senior managed issues),Orange County($165 million variable rate assessment district
for the Newport Coast project),City of Long Beach(a taxable assessment district issue to fund seismic retrofitting in
1990 and a special tax transaction for the City's commercial project in 2002), City of Tustin (4 assessment district
issues), City of Manhattan Beach (underground utility assessment district financings in 2004 & 2006), City of
Huntington Beach (Bella Terra Project), and the Rancho California Water District (CFD#89-5 issued in conjunction
with the County of Riverside in 1998). Throughout Mr. Lauterbur's career he has worked with major real estate
developers including The Irvine Company, Lennar Homes, Developers Diversified Realty,The Walt Disney Company
and Howard Hughes Land Development(General Growth).
Since 2017, BofA has senior managed greater than $260 million in assessment-backed land-secured financings
nationally. Over the past decade, our experience includes financings for California issuers such as the City of
Manhattan Beach,where BofA senior managed separate Underground Utility Assessment District financings in 2018,
2019 and 2020.Prior to those transactions,BofA also publicly offered an$8.1 million Special Tax Revenue Refunding
Bond transaction and a privately placed $1.4 million Reassessment District financing for Rancho California Water
District. Finally, BofA has senior-managed 25 assessment district and special tax transactions for the City of Irvine
Irvine Company-related projects) since 2005, totaling $961.8 million. Currently, BofA remarkets six variable rate
series for the City of Irvine and the Irvine Company totaling more than$196 million. Importantly, members of our
banking team have relevant senior managed experience with these structures going back many years.While at her
prior firm, Holly Vocal has served as lead banker on senior-managed land-secured financings for the counties of Los
Angeles, Riverside,San Diego and Orange. Below are case studies for recent land-secured financings that BofA led
for the Cities of Sacramento and Seattle.
North Natomas Community Facilities District No.4
City of Sacramento,County of Sacramento,State of California
25,125,000 Special Tax Refunding Bonds,Series G(2023)
Sale Date:September 24,2023
On September 14,2023,the City of Sacramento("City")sold$25,125,000 North Natomas Community Facilities District No.4,Special TaxRefundingBonds,Series G(2023)("Bonds")
Bond proceeds were used to(i)refinance all outstanding$28,845,000 Special Tax Refunding Bonds,Series E(2013)and(ii)pay costs ofissuance
Credit highlights include:
AV growth over 25%since FY 2018-19
Very high VTL of 57-to-1(including direct and overlapping debt)based on FY 2022-23 AV
Nearly 100%of the FY 2022-23 Special Tax paid from developed parcels
Diverse property ownership;top nine responsible for 10%of FY 2022-23 Special Tax
Excess amounts above the reserve requirement were released from the DSRF to pay down the refunded bonds'2033 principal and a
portion of the 2032 principal
The Bonds obtained an'A-'underlying rating from Standard&Poor's and utilized bond insurance from Assured Guaranty Municipal formaturities2027—2032
The Bonds were structured as non-callable with 5.00%coupons
The City entered a challenging market with inflation and FOMC headline news driving market volatility.After adjustments,$10 million
representing approximately 40%of total par remained unsubscribed at the time of the verbal award which BofA underwrote to ensure a
successful transaction
The Bonds resulted in a true interest cost of 3.43%for a 5-year average life
Total savings per tax zone ranged from approximately$935,000 to$2.2 million
City of Seattle,WA
97,360,685 Local Improvement District No.6751(Taxable),Series 2021
Sale Date:October 19,2021
In October 2021,BofA Securities served as senior manager on the City of Seattle's("City")$97.4 million Local Improvement District No.
6751 Bonds,2021(Taxable)("Waterfront LID")
Proceeds from the bonds will be used to finance part of the City's Waterfront Program,which is a multi-year effort to plan,design,and
build a new central waterfront for the City
The Waterfront LID is comprised of 6,624 individual tax parcels with a mix of residential/commercial condo units,high-rise office towers,
other office properties,hotels,retail spaces,historic structures,and special purpose properties including sports stadiums,an art
museum,a performance hall,a convention center,and a ferry terminal
The Bonds are primarily backed by special assessments collected on 2,393 tax parcels within the Waterfront LID that have not prepaidtheirassessments
BofA helped the City obtain an inaugural credit rating of'Aa1'from Moody's
The Bonds were structured with a 20-year final maturity and extraordinary redemption features based on estimated future LID
assessment prepayments
Experience with Tenders and Exchanges.
BofA houses the leading Liability Management franchise globally and in the Americas since 2022, specializing in
complex, multifaceted negotiations for public and private debt transactions, including tenders, exchanges and
consent solicitations.Specific to public finance transactions,our Municipal Liability Management("MLM")team has
C Page 32 BofA SECURITIES '
served as Dealer-Manager on 52 public finance tender/exchange transactions since 2022 soliciting over$44 billion
in par amount.Our most recent transactions in 2026 include tenders for the States of Wisconsin and Florida.
Our experience with tender/exchange transactions encompasses a variety of structures, approaches, and tender
premium strategies,including:(i)taxable and tax-exempt tender offers,(ii)bond funded and/or cash funded offers,(iii)
partial or any and all tenders,(iv)optimization of sinker selection for term bonds,and(v)allocation priority and retail
incentives among other innovations to our growing municipal liability management practice.Below,we provide a case
study of a tax-exempt/taxable tender transaction completed for Los Angeles Community College District in May
2024.
State of Wisconsin
43,900,000 Transportation Revenue Refunding Bonds,2026 Series 1
Pricing Date:May 6,2026
In April 2026,the State of Wisconsin(the"State")launched a fixed spread tender offer for over$296.1 million in bonds,including
both tax-exempt bonds and taxable bonds.
The solicitation resulted in$44.9 million of tendered bonds(15.2%of solicited par)comprised of$23.0 million of tax-exempt bonds
13.3%of solicited tax-exempt par)and$22.0 million of taxable bonds(17.8%of solicited taxable par).
This was the second,third or fourth transaction for certain candidate bonds but the transaction still generated reasonable
participation and savings for the State,despite lower expectations given the multiple previous tenders.
The transaction utilized allocation priority on the refunding transaction and an"any and all"acceptance structure to further incentivize
bondholder participation.
The tender offer complemented a new money and current refunding transaction.
The tender transaction generated$1.5 million in present value savings for the State.
Page 33 BofA SECURITIES /
N,