Featured Municipal Bond in the Market, Week of 08/15/2016: University of Southern California
This week’s featured bond comes from the University of Southern California. The home of the Trojans is scheduled to issue $730 million in federally taxable bonds the week of August 15, 2016. These bonds are scheduled to be issued as a single series, Series 2016 . The proceeds are to be used to refund and defease outstanding California Educational Facilities Authority Revenue Bonds. These revenue bonds were originally issued in three series; Series 2007A, Series 2009A, and Series 2009B. The bonds are unsecured general obligations of the University. No assurance is made that income or receipts will be realized in amounts sufficient to pay principle or interest on the bonds. These details and more on purposes, security, and other matters can the found in the official statement, provided by MuniOS.
USC is located in Los Angeles, CA. The Los Angeles Metropolitan Statistical Area currently has an unemployment rate of 5.0% as of June 2016, up 0.9% from May, but down 1.7% from June 2015. California’s unemployment rate is 5.7%, higher than the national rate of 4.9%.
Provided at left is a quick snapshot of financial characteristics of the University of Southern California, along with the medians for private higher-education entities, courtesy of Merritt Research Services, LLC. Merritt has many of the sector medians publicly available and regularly updated on their Benchmark Central page. (Merritt believes the data to be reliable but does not make any representations as to its accuracy or completeness). In addition to the Merritt information related to the featured bond, more information can be found on our municipal bond calendar, city, state, and county pages, and our employment database. These facts and numbers are for informational purposes, and should not be considered an official disclosure for potential investors. Investors should consult the official statement. None of the information provided should be construed as a recommendation by MuniNet Guide, MuniNet LLC, Merritt Research Services LLC, or any of their employees. Information and analysis is for informational purposes only.