The long awaited $3.9 billion New York State tax and revenue anticipation note offering finally reached the market yesterday and was reoffered to investors at a yield of 4.95% to the March 31, 1992 maturity date.

The sale of the notes was delayed approximately 11 weeks because of the budget impasse in Albany. Final terms of the sale were agreed upon late yesterday at a meeting between the underwriting team and state officials.

Merrill Lynch & Co. was senior manager this time around, and released a tentative pricing first thing yesterday. The preliminary price was 100.337 with a 5.40% interest rate. And it turned out to be the final pricing agreed upon at yesterday's late meeting.

It was "tough sledding," said one member of the account. Some of the dealers in the account were hoping for a higher yield to make for a quick sale of the notes, but it looks like "they'll be around for a while," the member added.

Others pointed out that things were much different this year. There was a "tremendous amount of competing supply," one of the managers noted. Last year, about $11 billion of notes reached the market during this June-July period. This year, about $14 billion will be marketed over the same time frame, he added.

Yesterday's interest came primarily from the money market funds and individuals, traders reported late yesterday, but noted that it will still take a little while for the market to absorb all of the notes. There was only a "minor amount" of corporate business this year, an account member volunteered, but attributed this to corporations' lesser need for tax-exemption.

New York State's Trans are rated MIG-2 by Moody's Investors Service and SP-1 by Standard & Poor's Corp.

Over in the serial bond market, Tennessee awarded $152.3 million full faith and credit general obligation bonds to two bidding groups. A Kidder, Peabody & Co. account won $100 million 1991 series B GOs, while a Goldman, Sachs & Co. account took $52.3 million series A refunding bonds.

Both series are rated Aaa by Moody's Investors Service and AA-plus by Standard & Poor's Corp.

The Kidder, Peabody account scaled its bonds from 4.50% in 1992 to 6.25% in 2001, 6.75% in 2005 and 6,85% in 2011. There was an sold balance of $20.5 million late yesterday.

The Goldman, Sachs account set reoffering yields ranging from 5.10% in 1993 to 6.25% in 2001 and 6.35% in 2002. The unsold balance was down to $8.4 million.

A $57.5 million Utah GO issue showed an unsold balance of $37.8 million late yesterday. The bonds, won at competitive bidding by a First Chicago Capital Markets Inc. group, carry yields of 5% in 1993, 5.75% in 1996 and 5.90% in 1997.

Utah's GOs are rated triple-A by Standard & Poor's and Moody's.

In the negotiated sector, an account led by PaineWebber Inc. marketed $169.4 million Charlotte, N.C., certificates of participation (convention facility project) and reported the account closed.

The offering included current interest bonds yielding from 5.85% in 1996 to 6.65% in 2003, 7.04% in 2011, and 7.071% for the $109.3 million term certificates of 2021 priced at 96 as 6-3/4s.

There were also capital appreciation bonds yielding from 6.89% in 2004 to 7.10% in 2009.

The certificates are backed by AMBAC Indemnity Corp. and are rated triple-A by Standard & Poor's and Moody's.

An account headed by Alex Brown & Sons Inc. priced $137.2 million Maryland Health and Higher Educational Facilities Authority revenue bonds (University of Maryland Medical System).

The offering included: $27.4 million non-callable term bonds of 2022 priced at 99-1/2 as 7s to yield 7.04%; $27 million term bonds of 2021 (callable at par on July 1, 2001) offered at 92-3/4 as 6-1/2s to yield 7.086%; $29 million term bonds of 2017 priced at 98-1/2 as 7s to yield 7.129%; and $21.6 million term bonds of 20111 priced at 99.465 as 7s to yield 7.05%.

There are also serial bonds scaled from 5.25% in 1993 to 6.90% in 2006.

The bonds re backed Financial Guaranty Insurance Co, and rated triple-A by Moody's and Standard & Poor's.

Returning to the competitive arena, a Merrill Lynch & Co. account won $54.8 million Pennsylvania Higher Educational Facilities Authority insured state system of higher education revenue bonds and reported an $8.1 million unsold balance in the serial portion of the loan.

Serial returns ranged from 4.70% in 1992 to 7% in 2006. The term bonds of 2011 were priced at 99-1/4 as 7s to yield 7.07% and the term bonds of 2016 were offered at 99-7/8 as 7.10s to yield 7.11%.

The Pennsylvania HEFA issue is backed by MBIA Corp. and rated triple-A by Standard & Poor's and Moody's.

A Roosevelt & Cross Inc. group had the successful bid for $43.4 million Syracuse, N.Y., unlimited tax public improvement bonds, rated Moody's Aa, and scaled them out to a 6.90% in 2006. The 2007-2011 maturities were not formally reoffered. There was a balance of $1.9 million.

The University of Kentucky awarded $36.4 million community colleges educational buildings revenue bonds to a Goldman, Sachs & Co. group. Rated AA-minus by Standard & Poor's and A by Moody's the issue sold down to an $11.5 million balance at yiels running from 4.70% in 1992 to 7.10% in 2011.

In very light secondary trading, tax-exempt bond prices closed mixed with some dollar bonds up 1/8 point on the day and ohters down 1/8. High-grade serial bonds and prerefunded issues was essentially unchanged on the day, traders said.

Secondary trading activity continued to take a back seat to the new-issue sector, market participants said. Once again, new deals were "priced cheap to secondary levels," one trader said. "There is still plenty of money out there, all it takes is the right price," he added.

In dollar bond trading, Metropolitan Seattle 6-7/8% sewer revenue bonds, due 2031, were quoted 1/8 higher on the day to yield 7.25%. South Carolina Public Service Authority 7.10s of 2021 were off 1/8 at 98 3/4-7/8 to yield 7.19%. And Hawaii Airport AMT 7s of 2020 were 1/8 easier and locked at 96-1/2, where they returned 7.29%.

In the more seasoned dollar bond market, New Jersey Turnpike Authority 7.20s of 2018 were unchanged at 101-1/4-1/2 to yield 6.94% to the 1999 par call. Florida State Board of Education 7-1/4s of 2023 were also even on the day at 100 3/4-101 1/4 to yield 7.10% to their par call in 2004.

An account led by Lehman Brothers is slated to price $450 million New York Local Government Assistance Corporation bonds today. Yesterday, the outstanding 7s, due 2016, were quoted at 94-1/8-1/4 to yield 7.51%.

Traders said yesterday that the new deal could carry a current coupon yielding about 7.60 and a discount coupon returning about 7.50% in the 30-year range.

Netotiated Pricings

Student Loan Finance Corporation (formerly known as South Dakota Student Loan Corp.), $91.7 million student loan revenue bonds, series 1991-A.

Ratings: Standard & Poor's A-plus (expected).

All bonds were priced at par.

Serials yields ran from 6.60% in 1996 to 7.65% in 2005. The $14.2 million term bonds of 2007 will return 7.70%.

The interest on the bonds is subject to the federal alternative minimum tax for individuals.

The bonds were marketed through and underwriting account headed by Smith Barney, Harris Upham & Co. To official award is expected tomorrow.

California Health Facilities Financing Authority, $55.9 million insured hospital revenue refunding bonds (Adventist Health System/West), 1991 series A.

Ratings: Moody's Aaa; Standard & Poor's AAA. MBIA insured.

The $36.5 million term bonds, due 2014, have been tentatively priced at 99 as 7s to yield 7.088%. The serials are being offered at yields ranging from 4.50% in 1992 to 6.65% in 2003.

John Nuveen & Co. is senior manager for the underwriters. The formal award is expected tomorrow.

Michigan State Hospital Finance Authority, $49 million hospital revenue bonds (McLaren Obligated Group) series 1991A.

Ratings: Moody's A; Standard & Poor's A.

The offering is comprised of $37.2 million term bonds of 20021 priced at 98.226 as 7-1/2 to yield 7.65%, $7.3 million term bonds of 2008 offered at 98.50 as 7-3/8s to yield 7.53%, and serials scaled from 6.25% in 1995 to 7.25% in 2001.

The issue is being negotiated by an account headed by Smith Barney, Harris Upham & Co. The verbal award was received yesterday. The written award is expected tomorrow.

New Hampshire, $43 million GO bonds, 1991 series A.

Ratings: Moody's Aal; Standard & Poor's AA; Fitch AA-plus.

The final pricing was comprised of $5.2 million term bonds, due 2011, offered at 99.461 as 6.90s to yield 6.95% and serials scaled from 4.60% in 1992 to 6.90% in 2008.

First Boston Corp. was senior manager for the underwriters. The verbal award was received yesterday. The official award is expected tomorrow.

West Virginia Housing Development Fund, $40.9 million housing finance bonds, series 1991 A&B. The offering is comprised of $25 million series A alternative minimum tax bonds and $15.9 million series B non-AMT bonds.

Ratings: Moody's Aa; Standard & Poor's A-plus.

All bonds are being reoffered at par.

Yields on the AMT bonds tentatively run from 5.25% in 1992 to 7.20% in 2005 and 7.60% in 2022.

Returns on the non-AMT issue are expected to run from 5% in 1992 to 7% in 2005 and 7.30% in 2017.

Wheat, First Securities Inc. is managing the underwriting account. The formal award is expected today.

Montgomery Medical Clinic Board, Ala., $26.6 million health care facility revenue bonds (Jackson Hospital & Clinic), series 1991.

Ratings: Moody's A; Standard & Poor's A.

The final terms were comprised of $17.5 million term bonds of 2015 offered at 93.44 as 7s to yield 7.60%; $5.9 million term bonds of 2006 priced at 98.44 as 7-3/8s to yield 7.55%, and serials priced at par to yield from 5.70% in 1993 to 7.30% in 2001.

The bonds were marketed through an account led by First Boston Corp. The verbal award was received yesterday. The written award is expected today.

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