Featured Municipal Bond Issue, Week of January 8, 2018: Ann & Robert H Lurie Children’s Hospital of Chicago – $219 Million
This week’s featured bond comes from the State of Illinois. The Illinois Finance Authority is issuing $219 million in revenue refunding bonds on behalf of the Ann & Robert H Lurie Children’s Hospital of Chicago the week of January 08, 2018. These revenue refunding bonds are being issued as a single series. The purpose of this debt issuance is to fully advance refund bonds issued in 2008, Series 2008A. Interest earned on the bonds is considered federally taxable as gross income.
Security for the bonds are payments or prepayments by the Obligated Group. The Obligated Group of organizations required to pay principal and interest on the bonds is not the entire Children’s Hospital of Chicago Medical Center. Rather, it is the Ann & Robert H Lurie Children’s Hospital of Chicago, and the Ann & Robert H Lurie Children’s Hospital of Chicago Foundation. The chart below shows the entities encompassing the Children’s Hospital of Chicago Medical Center, and highlights the two members of the Obligated Group.
Details on the purposes, tax-status, security, as well as other matters pertaining to these Ann & Robert H Lurie Children’s Hospital of Chicago bonds ccan be found in the preliminary official statement, available on MuniOS.
The Ann & Robert H Lurie Children’s Hospital primarily serves the city of Chicago and the Chicago-Naperville-Elgin, IL-IN-WI Metropolitan Area. As of October 2017, the Chicago metropolitan area has an unemployment rate of 4.7%, which is 0.6 percent lower than the national rate for October, and 0.5% lower than at the same time in 2016. MuniNet provides this data and more, easily accessible, for all 50 states and each Metropolitan Statistical Area in the country, in our Employment Database.
Provided at left (click to expand) is a quick snapshot of financial characteristics of the Ann & Robert H Lurie Children’s Hospital of Chicago as of 08/31/2016, compared with the medians for other U.S. cities, 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.
by Jeffrey L Garceau