News and Information from Bond Buyer

Indicator Last Report Forecast Actual Wholesale Inventories Nov.: +0.8% Dec.: +0.2% Dec.: +0.1% Wholesale Sales Nov.: -0.4% Dec.: -0.2% Dec.: -0.4%

Wholesale inventories increased 0.1% in December, the Commerce Department reported Tuesday. Wholesale sales slid 0.4%.

The municipal bond market is gearing up Tuesday to take on the first of the week's big new issues as several large sales are set to come to market.

Small business optimism declined in January, according to the National Federation of Independent Business' monthly Small Business Optimism index, which fell to 97.9 from 100.4 in December.

PREPA is still likely to default this year and the rejection of a law allowing certain public corporations in Puerto Rico to restructure their debt, which the commonwealth said it would appeal, is credit neutral, Moody's Investors Service said in a comment.

Tighter monetary policy earlier in the expansion cycle could head off risks to financial stability, Federal Reserve Bank of Kansas City President Esther George late Monday night.

Feb. 10, 2015 Southwest: Plain/Insured GO Yield Curve* State Ratings One-Year Five-Year 10-Year 30-Year Arizona Aa3/AA+/NR 0.19 1.16 2.25 3.07 Arkansas Aa1/AA/NR 0.14 1.04 2.04 2.84 Colorado Aa1/AA/NR 0.15 1.06 2.11 2.96 Kansas Aa1/AA+/NR 0.14 1.09 2.12 2.93 New Mexico Aaa/AA+/NR 0.14 1.06 2.08 2.9 Oklahoma Aa2/AA+/AA+ 0.15 1.11 2.15 2.97 Texas Aaa/AAA/AAA 0.15 1.06 2.08 2.88 Utah Aaa/AAA/AAA 0.14 1 1.95 2.75

2/9/2015 2/2/2015 State Amount ($000s) Iss Amount ($000s) Chg in Amt ($000s) Arizona 3 $58,765 5 $162,460 -$103,695 Arkansas 2 5,200 2 18,775 -13,575 Colorado 3 83,105 2 273,870 -190,765 Kansas 4 25,475 11 148,525 -123,050 New Mexico 3 157,000 2 24,955 132,045 Oklahoma 14 121,380 12 128,310 -6,930 Texas 30 450,350 23 621,785 -171,435 Utah 4 93,985 6 96,605 -2,620

Tuesday, February 10 Issuer St Description Amount

Tuesday, February 10 Issuer St Description Amount

Week Of February 9 Issuer St Description Amount

Week Of February 9 Issuer St Description Amount

ILLINOIS

ILLINOIS

Government

Berryessa Union School District, located in San Jose, Calif., received a ratings boost to AA-minus from A-plus on its long-term ratings and on the district's upcoming plans to issue $40 million in general obligation bonds.

Fitch Ratings has upgraded the rating on Cedars Sinai Medical Center's outstanding debt to AA-minus from A-plus and revised its outlook to stable from positive affecting $1 billion in debt.

Mayor Bill de Blasio has submitted a $77.7 billion budget to the City Council with public safety enhancements as a theme.

More urgent budget problems, and a partisan divide, mean an uncertain fate for proposals by Illinois Gov. Bruce Rauner to establish a Chapter 9 bankruptcy law for local governments and passage of a constitutional amendment on pensions.

Prices of Puerto Rico general obligation bonds traded lower on Monday after a federal judge last week ruled that the commonwealth’s Recovery Act was unconstitutional. Meanwhile, bonds of the Puerto Rico Electric Power Authority (PREPA) were trading higher.