$19,975,000
Clarion County (PA) Hospital Authority
Hospital Revenue Refunding Bonds
October 1997

First River Advisory was appointed Financial Advisor for this refunding bond issue in March 1997.  As the designated "quarterback" of the financing team, First River Advisory was responsible for the overall debt issuance process.  The Hospital achieved a present-value debt service savings of over 12 percent of the outstanding principal balance.  In addition, First River Advisory introduced more flexible terms, conditions and covenants into the financing documents.

First River Advisory conducted a competitive process for the selection of the underwriter of the bonds.  Using a process similar to that used for Central Michigan Community Hospital in 1996, the outcome was largely the same:  satisfactory performance at an underwriting discount of only $6.67 per thousand bonds (not including the fees and expenses of underwriter's counsel).  First River Advisory used a similar process to that employed for Central Michigan to ensure that the bonds were priced aggressively.  At the time the bond purchase agreement was executed, the underwriter had committed to take down over $4 million bonds, more than 20 percent of the issue.  First River Advisory also ensured that the underwriter carried out the directive of the Hospital's governing board to involve other broker-dealers and market energetically to residents of the Hospital's service area.