Illinois Student Assistance Commission Announces Results of its Tender Offer

CHICAGO, Oct. 21 /PRNewswire/ -- Illinois Student Assistance Commission ("ISAC") today announced the results of its tender offer to purchase its outstanding Taxable Student Loan Revenue Bonds, Senior Series 2002 I-3, Senior Series 2003 IV-1, Senior Series 2003 IV-3, Senior Series 2004 VI-3, Senior Series 2005 VIII-1, Senior Series 2005 VIII-2, Senior Series 2005 VIII-3, Senior Series 2005 VIII-4, Senior Series 2005 VIII-5, Senior Series 2005 VIII-6, Senior Series 2005 VIII-7, Senior Series 2005 VIII-8, Subordinate Series 2002 II, Subordinate Series 2005 IX-1 and Subordinate Series 2005 IX-2.  On September 24, 2010, ISAC distributed an offer to purchase (the "Offer to Purchase") and related documents in connection with its tender offer to purchase certain of its auction rate bonds.  The tender offer expired at 5:00 p.m. New York City time on October 11, 2010 (the "Expiration Time").

As of the Expiration Time, $782,050,000 aggregate principal amount of Senior Series Taxable Student Loan Revenue Bonds and $67,900,000 aggregate principal amount of Subordinate Series Taxable Student Loan Revenue Bonds were tendered. It is expected that tendering holders whose auction rate bonds are accepted will be paid on October 27, 2010.

In accordance with the terms and conditions of the Offer to Purchase, ISAC expects to accept for payment $782,050,000 aggregate principal amount of Senior Series Taxable Student Loan Revenue Bonds and $67,900,000 aggregate principal amount of Subordinate Series Taxable Student Loan Revenue Bonds for the following series of auction rate bonds:

(1) CUSIP is a registered trademark of American Bankers Association.  None of ISAC, the State of Illinois, the Dealer Manager or the Depositary makes any representation as to, or takes responsibility for, the accuracy of such CUSIP numbers.  CUSIP numbers are provided for convenience of reference only.

Morgan Stanley & Co. Incorporated acted as the dealer manager for the tender offer.  

D.F. King & Co., Inc. acted as the depositary for the tender offer.  

This press release is not an offer to purchase, a solicitation of an offer to purchase or a solicitation of an offer to sell any of the auction rate bonds.  The tender offer may only be made pursuant to the terms of the Offer to Purchase.  

Forward-Looking Statements

Forward-looking statements in this press release, such as the scheduled expiration of the tender offer, are based on current expectations.  This press release contains forward-looking statements that involve a variety of business risks and other uncertainties that could cause actual results to differ materially.  Words such as "expects," "intends," "plans," "projects," "believes," "estimates" and similar expressions are used to identify these forward-looking statements.  These statements are not guarantees of future performance and involve risks, uncertainties, and assumptions that are difficult to predict.  Forward-looking statements are based upon assumptions as to future events that may not prove to be accurate.  Actual outcomes and results may differ materially from what is expressed or forecast in these forward-looking statements.  Forward-looking statements speak only as of the date made.  There is no obligation to update any forward-looking statements to reflect the events or circumstances arising after the date as of which they are made.  As a result of these risks and uncertainties, readers are cautioned not to place undue reliance on the forward-looking statements included in this release or that may be made elsewhere from time to time by, or on behalf of, ISAC.

SOURCE Illinois Student Assistance Commission