Deliver Your News to the World

JPMorgan Chase Commits an Additional $5 Billion to Health Care Companies, Government Units and Non-Profits


Total Will Exceed $65 Billion
Bank already has increased commitments 33% this year to critically important segments

NEW YORK. - JPMorgan Chase announced today that it plans to lend an additional $5 billion to non-profit and health care companies, higher-education institutions and government units over the next year. That will bring the total commitments to more than $65 billion.

Already this year, JPMorgan Chase has increased its loan commitments 33 percent to the segments from 2007.

“These capital-intensive industries have faced tremendous challenges this year when the auction-rate securities market shut down and then the fixed-rate loan market froze up,” said Todd Maclin, chief executive officer of Commercial Banking at JPMorgan Chase & Co. “We have expanded and will continue to expand our lending to existing clients while beginning new relationships with others. Lending to these organizations helps both them and our communities.”

The firm continues to maintain disciplined lending standards, seeking to provide the right mix and level of financing to meet a business’ needs.

A $900 million children’s hospital
JPMorgan Chase provided the right prescription for a $900 million replacement of Children’s Memorial Hospital in Chicago. The new 288-bed facility will support 1,100 pediatric specialists in more than 70 specialties. By the time ground was broken in April of 2008, Children’s Memorial had completed a $552 million bond issue -- with both fixed and variable debt. Chase’s Commercial Bank provided a $196 million mixed-use credit facility in support of the variable-rate bonds.

“Chase’s bankers helped us get this enormous project out of the ground during a time of financial turmoil,” said Paula Noble, the hospital’s chief financial officer. “We will be able to improve our research, take advantage of new technologies, recruit more staff and, most importantly, help more children.”

The new facility is expected to open in 2012.

A touchdown for new NFL stadium
The new Lucas Oil Stadium for the Indianapolis Colts football team was completed just a few months ago. Earlier in the year, the Indiana Finance Authority decided to replace the auction-rate securities that were issued to fund the project with liquidity-backed, variable-rate demand bonds. Chase led a syndicate of four banks that provided the liquidity required to complete the financing plan - and provided $250 million of the $625 million line itself.

The Authority sees the new stadium as an engine for economic development in Indiana and was very appreciative of Chase’s partnership.

Chase Commercial Banking provides a range of services, including banking and investment services and cash management, to companies with annual sales of roughly $10 million to $2 billion. Meanwhile, J.P. Morgan provides a full range of targeted solutions and global expertise in capital markets, asset management and retirement solutions. Together, the teams of dedicated and experienced specialists identify client objectives to deliver tailored financial solutions designed to help public sector, health care and non-profit clients better serve their constituents.

Through its expanded lending in 2008 and continued growth in 2009, JPMorgan Chase will:

* Extend credit to entities that have or will have a significant banking relationship with the firm
* Seek opportunities to help clients manage through the economic turmoil in ways that will benefit their communities and the economy
* Maintain the current disciplined underwriting standards and hold limits


This news content was configured by WebWire editorial staff. Linking is permitted.

News Release Distribution and Press Release Distribution Services Provided by WebWire.