Capital Markets

Capital Markets

Lawson Financial Corporation appreciates the opportunity to discuss its credentials, its role in financing, and its proposed role as underwriter.  Lawson Financial Corporation is:

1. Professionally staffed in the area of municipal finance.

2. A recognized volume distributor of tax-exempt bonds.

3. A company with national distribution as well as regional distribution, we maintain offices in Florida and Arizona.

Background

Lawson Financial Corporation was formed in 1984 as a municipal bond investment banking firm specializing in formulating new issue municipal securities.  Over the years, Lawson Financial Corporation has had a primary orientation in serving individual investors' financial needs.

Serving these needs through its branch office network, Lawson Financial Corporation has become a full service securities firm.  Lawson Financial Corporation has brokerage offices in Arizona and Florida with headquarters in Phoenix.

The founder, Robert Lawson, President, began his career in 1972 in Phoenix, Arizona.  His credentials include licensed Municipal Securities Principal, General Securities Principal, and he is a member of the FINRA Board of Arbitrators.

Lawson Financial Corporation is organized into six divisions:  Sales, Finance, Operations, Staff Services, Branch, and Investment Banking.  A brief description of the six divisions appears below.

Sales Division

The Sales Division markets the firm's many products and services, such as bonds, stock, financial services, original underwriting, mutual funds, and insurance.

Finance Division

The Finance Division monitors how the firm stands with respect to allocation, acquisition and protection of capital.  This covers a wide range of operations including compliance with the firm's policies and institutional borrowings.

Operations Division

The Operations Division includes such departments as customer accounts, corporate control, corporate systems, plus interface with our correspondent to access New York and Chicago exchanges.

Staff Services Division

The Staff Services Division is responsible for providing general services, training and registration, and personnel and employee benefits administration.

Branch Division

The Branch Division is a problem-solving liaison between the corporate office and regional managers.  This Division makes top-level management decisions and also coordinates the opening of all new branch offices.

Investment Banking Division

The Investment Banking Division provides a full range of services including:

a. serving as a financial managing underwriter of public offerings,

b. acting as agents in private placement,

c. serving as financial advisor for competitive offerings, valuations and expert testimony of special studies.

ADVANTAGE OF WORKING WITH LAWSON FINANCIAL CORPORATION

Lawson Financial Corporation is committed to providing you with underwriting services allowing you to achieve you financing goals in the most effective manner.  Given our commitment to the municipal market, we believe that we are will suited to serve you.  We have the personnel in both the public finance area as well as the sales and trading that can provide you with investment banking and marketing strengths unsurpassed in the industry.

We are confident that the advice which we will provide will by appropriate and timely allowing you to meet your needs.

In connection with our underwriting activities, Lawson Financial Corporation will:

• Recommend the various provisions, terms and conditions of the issue in order to make it more attractive to the prospective purchaser.
• Arrange and implement procedural steps for the issue.
• Make recommendations regarding the content of the resolutions and other documents.
• Assist in preparing the Official Statement, which will be fully descriptive of the offering containing complete information, financial structure and condition of you project.
• Assist you in obtaining a rating, if appropriate.
• Advise you in selecting the printer of the Official Statement.
• Review and analyze available data relating to your creditworthiness during the period in which the financing is outstanding.  Respond to inquiries from institutional investors, banks, underwriters, and others concerning your overall status.
• Arrange for a paying agent to receive the transfer of funds for the payment of the principal and interest of each issue on the due date of those payments.

Distribution Strength

Lawson Financial Corporation is a full service firm with outstanding distribution and market knowledge of municipal bonds.

Lawson Financial Corporation has a placement network of institutional buyers consisting of insurance companies, mutual funds, and other broker-dealers.  Lawson Financial Corporation also maintains a retail network of suitable investors for tax-exempt municipal bonds.  An excellent retail capability is important in today's municipal bond market because of the growing demand for tax-exempt securities by individual investors.

SERVICES, EXPERIENCE AND QUALIFICATIONS

Our services will encompass the full scope of services including, but not limited to, the following:

Selection of Financing Mechanisms

Lawson Financial Corporation will work closely with you in determining the optimal financing mechanism for funding.  We will outline the various alternatives available and will, after analysis of each, recommend the alternative we feel most suitable.  This will include:

1. The financing alternatives available to you as determined by a review of financial data in conjunction with anticipated debt service requirement for the financing mechanisms under review,
2. The feasibility of the mechanisms under consideration,
3. The cost of legal underpinnings,
4. The timing and market potential of the various mechanisms.

Such implementation will involve directing you on all financial aspects of the program and assisting bond counsel in the drafting of all legal documentation.

Lawson Financial Corporation will assign staff to work with you to prepare cash flow statements and structure the security mechanisms for the bonds to meet the requirements of rating agencies and any legal constraints.  Additionally, in the event that you require or can benefit from some form of credit enhancement, we will evaluate proposals and negotiate the final terms and conditions to be utilized.

Authorization Process

We will work closely with your Bond Council to draft resolutions for approval by your group to provide a maximum flexibility.  Lawson Financial Corporation will utilize experience, talent, and time to insure a smooth and successful sale.

Official Statements

The Official Statement will by your primary contact with the marketplace.   As such, it must explain fully the nature of the transaction, the security provisions and the operations, in terms clear enough to be easily understood by analysts and investors.  Because of our prior experience, we are familiar with the requirements and the potential problems in this process and we are prepared to work closely with you to produce a timely, complete and cogent document.

Lawson Financial Corporation is uniquely qualified in the areas of tax-exempt financing with a long track record of providing these financing mechanisms to their clients.

We understand you primary objective in seeking services is to be able to successfully and efficiently market the proposed issue at the lowest possible cost with the maximum savings within the parameters of your needs.  The ingredients necessary to attain these objectives are available to you through our Corporation.

The strong local, regional, and national retail branch system and institutional network of our bankers provide you with the most efficient marketing network available.  This network assures you of local and national participation in the purchase of the securities resulting in the lowest cost possible in debt service.

Lawson Financial Corporation is pleased to have the opportunity to serve you and is prepared to begin working immediately toward a successful conclusion in all your financial concerns.