Illinois Tollway refinances series 2008B bonds, saves $50.9 million

Updated Feb 24, 2016

Illinois tollway signThe Illinois Tollway has issued $333 million of series 2016A fixed rate refunding bonds that refunded $350 million of its Series 2008B bonds.

These bonds will mature in 16-17 years and will reduce the agency’s bond principal and interest payments during fiscal years 2016 through 2032 by $50.9 million.

“Refinancing these bonds at this time allowed us to use the Tollway’s strong financial position to achieve significant savings that we can reinvest in infrastructure improvement projects to help ensure our customers have a safe, convenient trip every time they use our roadways,” says Illinois Tollway Executive Director Greg Bedalov.

Since August 2013, the Illinois Tollway has issued refunding bonds four times, which refunded most of its outstanding Series 2005A, 2006A and 2008B bonds. This adds up to $1.3 billion refunded under those bonds worth $141.2 million in savings—10.5 percent of the amount of bonds refunded.

“Investors reacted positively to the bonds because they understand the Tollway is successfully managing its expenses while still efficiently carrying out a long-term capital program that is expanding and improving our 286-mile system,” says Illinois Tollway Board Chairman Bob Schillerstrom. “These factors contributed to the savings we achieved today.”