Investments

The tradition of extremely low issuance for the week between Christmas and New Year's continues this December as the municipal bond market should see paltry activity next week.

The Illinois Finance Authority board signed off on a $90 million financing package for Clare Oaks continuing care retirement community in suburban Chicago as part of a Chapter 11 reorganization plan submitted by bondholders.

This week, municipal bond funds saw their largest outflows since January 2011 and the fifth largest on record.

Virginia Gov. Bob McDonnell announced final agreement has been reached on a $1.4 billion public-private partnership to finance, design, and build a new 55-mile section of U.S. Route 460 in the southeastern part of the commonwealth.

Municipal bond issuance is expected to increase to $458.0 billion in 2013, a 9% jump from the $420.3 billion of munis issued in 2012 through mid-December, according to the Securities Industry and Financial Markets Association's annual survey of dealer firms.

Chicago is exploring a second try at privatizing its Midway International Airport, Mayor Rahm Emanuel's administration announced Friday.

Dauphin County, Pa., expects to make a $1.5 million bond debt payment for Harrisburg University for the second straight year.

COLORADO

INDIANA

The tax-exempt market struggled throughout most of the week with yields jumping as dealers cleaned out inventory ahead of year-end and buyers were fed up with record-low yields.

On the heels of its downgrade of Puerto Rico's general obligation debt, Moody's Investors Service has cut the ratings for the U.S. territory's electric power authority and university system.

Federal and transit agency officials made their case for federal aid to rebuild in the aftermath of Superstorm Sandy, telling a Senate panel they will need it to help pay debt service on new muni debt.

COLORADO

ARIZONA

As the market prepares to ring in 2013, municipal experts have mostly positive expectations for interest rates, credit quality, investor demand, and the viability of municipals' tax exemption in the New Year, mixed with some lingering apprehensions about the fiscal cliff and overseas turmoil.

Airports, ports, and unregulated power companies are at risk due to the impending fiscal cliff, while toll roads and public power utilities are insulated from the worst danger, according to a Moody's Investors Service report released Wednesday.

A bill that would have authorized the Virginia Public Building Authority to issue an additional $300 million in bonds for wastewater treatment facilities died in committee.

Holders of bankrupt American Airlines' New York City airport debt are weighing a settlement offer that would pave the way for the carrier to assume its lease at John F. Kennedy International Airport.

ALABAMA

FLORIDA