The Tobacco Settlement Financing Corporation ("TSFC") is a public benefit corporation of the State of New York (the "State") established as a subsidiary of the State of New York Municipal Bond Bank Agency and created pursuant to the Tobacco Settlement Financing Corporation Act (the "Act"). By the terms of the Act, TSCF is treated and accounted for as a legal entity separate from the State and MBBA with its separate corporate purposes set forth in the Act. The Act authorizes TSFC to issue an aggregate principal amount of bonds not to exceed $4,200,000,000, excluding refunding bonds (plus the financing costs associated therewith) to purchase all or a portion of the State's share of the Tobacco Settlement Revenues available pursuant to the Master Settlement Agreement (the "MSA") entered into by the State, and to pay financing costs. The MSA provides for the states that are party to the MSA to settle all their past, present, and future smoking related claims against certain tobacco companies in exchange for, among other things, an agreement by those certain tobacco companies to make payments to the states that are signatory to the MSA. In June 2003 TSFC issued $2,310,705,000 of bonds and in December 2003 TSFC issued $2,240,415,000 of bonds.
The directors of MBBA serve as members of TSFC. TSFC is governed by a seven member board: The Chairman of MBBA, the Secretary of State, the Director of the Budget of the State, three directors appointed by the Governor of the State and the State Comptroller or his appointee.
For more comprehensive information about these transactions you may download the Official Statements.
Last updated: 11/14/2008 6:13:36 PM