Finance Minister Stan Struthers announced the interest rates for Manitoba Builder Bonds Series 13, on sale May 22 to June 5 throughout the province.
Rates on 2012 bonds are:
• Five-year floating-rate bonds: 1.75 per cent for the initial year. These bonds will pay interest on an annual basis and will be redeemable annually. The interest rate on the bonds will be reset annually.
• Three-year fixed-rate bonds: 1.85 per cent. These bonds will pay interest on an annual basis and will not be redeemable prior to maturity.
• Five-year fixed-rate bonds: 2.00 per cent. Purchasers can choose either annual or compound interest and the bonds will not be redeemable prior to maturity.
The interest rate for all outstanding Manitoba Builder and Manitoba Hydro floating-rate bonds, which are adjustable and redeemable annually, has been set at 1.75 per cent effective June 15, 2012.
Builder Bonds are on sale from May 22 to June 5 at banks, trust companies, credit unions, caisses populaires and investment dealers throughout Manitoba. The finance minister may terminate the selling period or reduce the maximum individual purchase amount with 24 hours notice. The bonds may only be purchased by residents of Manitoba or Manitoba-based trusts, estates, corporations or other organizations having permanent establishments in Manitoba.
Builder Bonds Series 11 three-year fixed-rate bonds and Manitoba Hydro Series 10 five-year fixed and five-year floating-rate bonds mature on June 15, 2012. All maturities will be deposited by direct deposit.
Builder Bonds Series 10, 11 and 12 floating-rate bonds and Manitoba Hydro Bonds Series 11 floating-rate bonds may be redeemed without penalty for their full principal amount plus interest annually during the redemption periods by providing written notice to the registrar or by contacting the registrar toll-free at 1-855-669-4999 (Valiant Trust Company) on or before June 11.
Further information may be obtained by calling the bond line at 1-800-565-0350 (toll-free) or by logging onto www.gov.mb.ca/finance/treasury/builderbonds.html.
