Chicago Set to Sell $806 Million in Debt After Downgrade to Junk
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Chicago plans to sell $806 million of bonds in the next four weeks, refinancing floating-rate debt that exposed the city to penalties after its credit rating was cut to junk.
The deals are part of a move to convert about $900 million of variable-rate debt to fixed-rate. Chicago plans to price offerings of $201 million and $182 million on May 19, according to data compiled by Bloomberg. A additional four sales totaling $423 million will follow through early June, according to Kroll Bond Rating Agency.