An official statement (OS) is a bond issue’s offering document, containing everything a bond buyer needs to know before investing. The OS is filled with a great deal of legalistic language and is also repetitive, but it does reward close scrutiny.
The cover page includes a brief summary of the issue, the legal opinion, the amount of bonds sold, and the underwriters. Prices and yields are also listed on the cover, and are again detailed inside.
The OS contains the authorization for and purpose of the bond issue, estimated sources and uses of funds, security and sources of payment for the bonds, names of the issuer officials involved, and the names of the professional firms bringing the issue to market. The document also lays ...