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Call for Redemption Treasurer of the State of Kansas [CERTIFIED MAIL] Landon State Office Bldg. 900 Southwest Jackson, Suite 201 Topeka, Kansas 66612-1235 George K. Baum& Company • 4801 Main Street., Suite 500 Kansas City, MO 64112 Financial Security Assurance Inc. 31 West 52nd Street New York,New York 10019 RE CALL FOR REDEMPTION CITY OF SALINA, KANSAS WATER AND SEWAGE SYSTEM REVENUE REFUNDING BONDS SERIES 2002-A, DATED AUGUST 15,2002 Notice is hereby given pursuant to K.S.A. 10-129, as amended, and pursuant to the provisions of Section 10 of Resolution No. 02-5864 (the "Bond Resolution") of the City of Salina, Kansas (the "Issuer"), that the above mentioned bonds described in the attached Notice of Call for Redemption (the "Called Bonds"), have been irrevocably called for redemption and payment on April 28, 2011. The Paying Agent is hereby requested to disseminate the attached Notice of Call for Redemption in accordance with K.S.A. 10-129 and the Bond Resolution. After redemption of the Called Bonds the Paying Agent is requested to complete the attached Paying Agent's Certification and forward a copy of same to the undersigned. CITY � Q OF SALINA, KANSAS ,'�/ By ((11 Lieu Ann Elsey, City Clerk MASTER\TRADITIONAL\GOBONDS\ETA(06-11-10) B-3 [The form of this Notice is to be modified or amended to comply with the law and industry standards at the time of its distribution to the Owners of the Series 2002-A Bonds.] NOTICE OF CALL FOR REDEMPTION CITY OF SALINA, KANSAS WATER AND SEWAGE SYSTEM REVENUE REFUNDING BONDS SERIES 2002-A,DATED AUGUST 15, 2002 Notice is hereby given to the registered owners of the above-captioned bonds (the"Bonds") that pursuant to the provisions of Section 10 of Resolution No. 02-5864 (the "Bond Resolution") of the City of Salina, Kansas (the "Issuer"), that the Bonds maturing September 1, 2011 and thereafter (the "Called Bonds"), have been called for redemption and payment on April 28, 2011 (the "Redemption Date"), at the principal office of the Treasurer of the State of Kansas,Topeka, Kansas, (the"Bond Registrar and Paying Agent"). SERIAL BONDS Maturity Principal Redemption Interest Cusip Date (September 1) Amount Price Rate No. 2011 $770,000 100.0% 3.850% 794811 JX8 2012 810,000 100.0 4.250 794811 JY6 On the Redemption Date there shall become due and payable, upon the presentation and surrender of each such Called Bond, the redemption price thereof equal to 100% of the principal amount thereof together with interest accrued to the Redemption Date. Interest shall cease to accrue on the Called Bonds so called for redemption from and after the Redemption Date provided such funds for redemption are on deposit with the Paying Agent. Neither the Issuer nor the Paying Agent shall be responsible for the selection or use of the CUSIP identification numbers shown above or printed on any of the Called Bonds. Said CUSIP identification numbers are included solely for the convenience of the owners of the Bonds. Under the provisions of Section 3406(a)(1) of the Internal Revenue Code of 1986, as amended, paying agents making payments of principal on municipal securities may be obligated to withhold a 28% tax on the payment of principal to registered owners who have failed to provide the paying agent with a valid taxpayer identification number. Registered Owners of the Bonds who wish to avoid the imposition of the tax should provide a certified taxpayer identification number to the Paying Agent when presenting the Bonds for payment. CITY OF SALINA, KANSAS By Treasurer of the State of Kansas, Topeka, Kansas, as Paying Agent *************, ********** M ASTER\TRADITIONAL\GOBONDS\ETA(06-11-10) B-4 This Notice of Redemption shall be mailed by certified mail to the Treasurer of the State of Kansas, Topeka, Kansas, not less than 45 days prior to the Redemption Date and to George K. Baum & Company, the original purchaser of the Series 2002-A Bonds, not less than 30 days prior to the Redemption Date. Notice shall also be given to certain repositories in order to comply with the provisions of Rule 15c2-12 of the Securities and Exchange Commission. Notice may also be given in accordance with guidelines set forth in Securities and Exchange Commission Release No. 34-23856, but such notice is not required by law. The Paying Agent shall notify the registered owners of the Called Bonds as provided in K.S.A. 10-129 as amended, and the Bond Resolution. • MASTER\TRADITIONAL\GOBO NDS\ETA(06-11-10) • B-5 ill PAYING AGENT'S CERTIFICATION CITY OF SALINA, KANSAS WATER AND SEWAGE SYSTEM REVENUE REFUNDING BONDS SERIES 2002-A, DATED AUGUST 15, 2002 The State Treasurer, in its capacity as Paying Agent for the above-captioned Bonds, does hereby certify as follows: 1. Capitalized terms not defined herein, shall have the meanings ascribed thereto in the attached Notice of Call for Redemption or the Bond Resolution defined therein. 2. The Called Bonds have been called for redemption and payment on (the "Redemption Date"). 3. The full redemption price of the Called Bonds as determined pursuant to the Bond Resolution is calculated as follows: Principal Amount of Called Bonds $1,580,000.00 Accrued Interest to Redemption Date on Called Bonds Total $_ 4. There was deposited with the Paying Agent the sum set forth above, which has been irrevocably pledged for the payment of the principal of, redemption premium, if any, and interest on the Called Bonds to the Redemption Date. In addition, sufficient funds have been deposited to provide for additional costs associated with such redemption. 5. The Notice of Call for Redemption, a copy of which is attached hereto, was disseminated in accordance with K.S.A. 10-129, as amended, and the Bond Resolution. DATED as of April , 2011. TREASURER OF THE STATE OF KANSAS, TOPEKA, KANSAS By MASTER\TRADITIONAL\GOBONDS\ETA(06-11-10) B-6 EVENT NOTICE PURSUANT TO SEC RULE 15C2-12(B)(5)(C) TO: The Municipal Securities Rulemaking Board via the Electronic Municipal Market Access system for municipal securities disclosures (www.emma.msrb.org) Issuer/Obligated Person: City of Salina,Kansas (the"Obligated Person") Issue(s)to which this Report Relates and CUSIP Base Numbers for said Issues: Description Series Dated Date Maturities Base CUSIP No. Water and Sewage System 2002-A 08/15/2002 2011 to 2012 794811 Revenue Refunding Bonds Event Reported: Redemption of above-referenced Bonds on April 28, 2011; see attached Exhibit A. The information contained in this Notice has been submitted by the Obligated Person pursuant to contractual undertakings the Obligated Person made in accordance with SEC Rule 15c2-12. Nothing contained in the undertaking or this Notice is, or should be construed as, a representation by the Obligated Person that the information included in this Notice constitutes all of the information that may be material to a decision to invest in, hold or dispose of any of the securities listed above, or any other securities of the Obligated Person. For additional information,contact: City of Salina, Kansas 300 West Ash, Salina, Kansas 67402 Attention: Clerk Phone No. (785) 309-5700;Fax No. (785) 309-5738 CITY OF SALINA, KANSAS Date Submitted: ((t iLI.,Ln_ By: Lieu Ann Elsey, Clerk Enclosure MASTER\TRADITIONAL\GOBONDS\ETA(06-11-10) C-3