Investors squeezed a more modest penalty out of Chicago on a recent $419 million wastewater revenue bond deal than they have demanded on its general obligation paper, market participants said. The wastewater deal was Chicago's second in two weeks in which it offered revenue-backed bonds that fared dramatically better than its GOs. "The market is differentiating the city from its enterprise systems and there is high confidence that the enterprise systems will pay," said Brian Battle, director of trading at Performance Trust Capital Partners. "Professionals understand the differences."
