...The long-term rating on Rhode Island Health and Education Building Corp.'s certificates of participation, issued on behalf of Moses Brown School, is based on a bond insurance policy from MBIA. The short-term rating is based on a standby bond purchase agreement from Fleet National Bank. The standby bond purchase agreement, which expires on March 1, 2005, provides principal and up to 34 days of interest coverage for tendered bonds that cannot be remarketed. The bonds initially will bear interest at a daily mode but may be converted to a weekly or a monthly mode (all of these modes pay interest on the first business day of each month). Upon mandatory tender, the bonds also may be converted to a fixed-rate mode (during which interest is paid semi-annually). Upon fixed-rate conversion, the liquidity facility, and, therefore, the short-term rating will expire. Bond sale proceeds will be used for various school renovation projects....
