Rhode Island is set to issue $618 million of tobacco bonds next week, which would end a seven-month delay caused by a legal challenge from OppenheimerFunds Inc.
The Tobacco Settlement Financing Corp. will offer the debt March 10, data compiled by Bloomberg show. Proceeds will retire a portion of previously issued tobacco securities. The deal also calls for siphoning some proceeds for the state's general fund, changing the order in which money is distributed. The result is that bond investors would get paid after the state.