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APPENDIX B-1 <br />Notice of Defeasance" <br />City of Everett, Washington <br />Water and Sewer Revenue and Refunding Bonds, 2003 <br />NOTICE IS HEREBY GIVEN to the owners of that portion of the above -captioned <br />bonds with respect to which, pursuant to an Escrow Agreement dated February _, 2013, by and <br />between City of Everett Washington (the "City") and U.S. Bank National Association, Seattle, <br />Washington (the "Escrow Agent"), the City has deposited into an escrow account, held by the <br />Escrow Agent, cash and non -callable direct obligations of the United States of America, the <br />principal of and interest on which, when due, will provide money sufficient to pay each year, to <br />and including the respective maturity or redemption dates of such bonds so provided for, the <br />principal thereof and interest thereon (the "Defeased Bonds"). Such Defeased Bonds are <br />therefore deemed to be no longer outstanding pursuant to the provisions of Ordinance <br />No. 2690-03 of the City, authorizing the issuance of the Defeased Bonds, but will be paid by <br />application of the assets of such escrow account. <br />The Defeased Bonds are described as follows: <br />Water and Sewer Revenue and Refunding Bonds, 2003 (Dated May 15, 2003) <br />Maturity Years <br />Principal <br />'CUSIP <br />Call Date <br />(December 1) <br />Amounts <br />Interest Rates <br />Nos. <br />(at 100%) <br />2013 <br />$ 1,630,000 <br />5.00% <br />3000601-IP8 <br />N/A <br />2014 <br />1,710,000 <br />5.00 <br />300060HQ6 <br />07/01/2013 <br />2015 <br />1,800,000 <br />5.00 <br />300060HR4 <br />07/01/2013 <br />2016 <br />1,890,000 <br />5.00 <br />300060HS2 <br />07/01/2013 <br />2017 <br />1,980,000 <br />5.00 <br />300060HTO <br />07/01/2013 <br />2018 <br />2,080,000 <br />5.00 <br />3000601-IU7 <br />07/01/2013 <br />2019 <br />2,185,000 <br />5.00 <br />300060HV5 <br />07/01/2013 <br />2020 <br />2,295,000 <br />5.00 <br />300060HW3- <br />07/01/2013 <br />2021 <br />2,410,000 <br />5.00 <br />300060HX1 <br />07/01/2013 <br />2022 <br />2,530,000 <br />5.00 <br />300060HY9 <br />07/01/2013 <br />2023 <br />2,655,000 <br />5.00 <br />300060HZ6 <br />07/01/2013 <br />2024 <br />2,790,000 <br />5.00 <br />300060JA9 <br />07/01/2013 <br />2025 <br />2,930,000 <br />5.00 <br />300060JB7 <br />07/01/2013 <br />2026 <br />3,075,000 <br />5.00 <br />300060JC5 <br />07/01/2013 <br />2027 <br />3,230,000 <br />5.00 <br />300060JD3 <br />07/01/2013 <br />* This notice shall be given immediately by first class mail to each registered owner of the Defeased Bonds. In <br />addition notice shall be mailed to The Depository Trust Company of New York, New York; The Bank of New York <br />Mellon, as Fiscal Agent; Standard & Poor's Ratings Services, New York, New York, Banc of America Securities <br />LLC., National Public Finance Guarantee Corp. (formerly MBIA Insurance Corporation) and to the Municipal <br />Securities Rulemaking Board. <br />Appendix B-1 81 PA20287 CMVN20287_9RC 01/02/13 <br />