Featured Municipal Bond Issue, Week of March 26th, 2018: Sutter Health – $684 Million
Sutter Health System is issuing $230 million in refunding bonds the week of March 19, 2018. The bonds are being issued as a single series, Series 2018A. Interest on the bonds is considered taxable for federal income tax purposes.
Bond proceeds will be used to refund a portion of the outstanding bonds previously issued in 2011. Security for the bonds includes a grant of security interest in gross revenues of the Obligated Group. The members of the Obligated Group are:
- Sutter Bay Hospitals
- Sutter Bay Medical Foundation
- Sutter Coast Hospitals
- Sutter Health
- Sutter Valley Hospitals
- Sutter Valley Medical Foundation
- Sutter Visiting Nurse Association and Hospice
Details on the purposes, tax-status, security, as well as other matters pertaining to these Sutter Health System bonds can be found in the preliminary official statement, available on MuniOS.
The Sutter Health System serves much of northern California and is headquartered in Sacramento. The San Francisco-Oakland-Hayward, CA Metropolitan Area is the largest concentration of Sutter Health facilities. As of January 2018, the San Francisco metropolitan area has an unemployment rate of 3.0%, which is 1.1% lower than the U.S. rate for January, and 0.7% lower than the same time in 2017. More San Francisco metro data can be found here, and similar information is available on every state and metro area in the U.S. in 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