Chicago offering about $597 million of general-obligation debt

Bloomberg News

Chicago, the nation’s third-largest city, is offering about $597 million of general-obligation bonds this week, including a 30-year taxable portion.

On the taxable segment, the preliminary yield is about 2.35 percentage points above similar-maturity U.S. Treasuries, according to a person with knowledge of the sale. Thirty-year federal debt yielded about 2.93 percent today. The city plans to wrap up the sale tomorrow, including the tax-exempt part of the offer.

Moody’s Investors Service rates Chicago Aa3, its fourth- highest grade.