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NEW ISSUE Preliminary Official Statement Dated , 2015 RATING: S &P " " <br />BOOK - ENTRY -ONLY See "RATING" herein <br />In the opinion of Frost Brown Todd LLC, Indianapolis, Indiana ( "Bond Counsel'), under existing law, interest on the Bonds, as defined herein, <br />is excludable from gross income under Section 103 of the Internal Revenue Code of 1986, as amended, for federal income tax purposes. Such <br />exclusion is conditioned upon continuing compliance with the Tax Covenants (hereinafter defined). In the opinion of Bond Counsel, under <br />existing law, interest on the Bonds is exempt from taxation in the State of Indiana for all purposes. (See 'TAX MA ITERS" and "APPENDIX F" <br />herein.) <br />$5,580,000 <br />CITY OF SOUTH BEND, INDIANA <br />Economic Development Income Tax Bonds of 2015 <br />Dated: Date of Delivery <br />Anticipated Delivery Date: March 3, 2015 <br />Due: February 1 and August 1, as shown below <br />ANTICIPATED BOND SALE: February 18, 2015 10:00 AM E.S.T. (Local Time) <br />Upon 24 Hours' Notice <br />Electronic and Sealed Bids <br />The City of South Bend, Indiana Economic Development Income Tax Bonds of 2015 (the "Bonds ") are being issued by the City of South <br />Bend (the "City") pursuant to Indiana Code 6- 3.5 -7, as amended and as in effect on the issue date of the Bonds (the "Acts ") and pursuant to <br />Ordinance No. approved by the Common Council of the City on January 26, 2015 (the "Ordinance'. The principal of and premium, <br />if any, on the Bonds shall be payable In lawful money of the United States of America at the designated office of U.S. Bank National Association <br />(the "Registrar' and "Paying Agent'). Interest will be payable on February 1 and August 1 of each year, beginning August 1, 2015. The Bonds <br />are issuable only as fully registered bonds and, when issued, will be registered in the name of Cede & Co., as nominee for The Depository Trust <br />Company, New York, New York (DTC). Purchasers of beneficial interests in the Bonds will be made in book-entry-only form, in the denomination <br />of $5,000 or any integral multiple in excess thereof. Purchasers of beneficial interests in the Bonds (the "Beneficial Ownersy will not receive <br />physical delivery of certificates representing their interests in the Bonds. So long as DTC or its nominee is the registered owner of the Bonds, <br />principal of and interest on the Bonds will be paid directly to DTC by the Paying Agent. The final disbursement of such payments to the Beneficial <br />Owners of the Bonds will be the responsibility of the Direct Participants and Indirect Participants, all as defined and more fully described herein. <br />(See "DESCRIPTION OF THE BONDS" herein.) <br />The Bonds are being issued by the City to (i) fund the cost of various capital improvements to the City's parks, (ii) fund a debt service <br />reserve fund for the Bonds, if necessary, and (iii) pay expenses incidental to the issuance of the Bonds. (See "PURPOSE OF THE BOND <br />ISSUE" herein.) The Bonds are scheduled to' mature on February 1 and August 1 on the dates and amounts as follows: <br />MATURITY SCHEDULE <br />Base CUSIP ( ) <br />Date <br />Principal <br />Date <br />Principal <br />Date <br />Principal <br />Date <br />Principal <br />8/1115 <br />$ 90,000 <br />8/120 <br />$ 110,000 <br />8/125 <br />$ 140,000 <br />8/1/30 <br />$ 165,000 <br />2/1116 <br />90,000 <br />2/121 <br />115,000 <br />2/126 <br />135,000 <br />2/1/31 <br />170,000 <br />8/1/16 <br />100,000 <br />8/121 <br />115,000 <br />8/126 <br />140,000 <br />8/1131 <br />175,000 <br />2/1/17 <br />105,000 <br />21122 <br />120,000 <br />2/127 <br />145,000 <br />2/1/32 <br />175,000 <br />811/17 <br />105,000 <br />81122 <br />125,000 <br />8/127 <br />145,000 <br />8/1132 <br />185,000 <br />2/1/18 <br />105,000 <br />21123 <br />120,000 <br />21128 <br />150,000 <br />2/1133 <br />185,000 <br />8/1/18 <br />110,000 <br />81123 <br />125,000 <br />8/128 <br />155,000 <br />8/1/33 <br />190,000 <br />2/1/19 <br />105,000 <br />2/124 <br />125,000 <br />2/129 <br />155,000 <br />2/1134 <br />195,000 <br />8/1/19 <br />105,000 <br />8/124 <br />130,000 <br />8/129 <br />165,000 <br />8/1/34 <br />205,000 <br />2/120 <br />115,000 <br />2/125 <br />130,000 <br />2/1/30 <br />160,000 <br />2/1135 <br />200,000 <br />The Bonds maturing on or after February 1, 2025 are subject to optional redemption prior to maturity. If tens bonds are issued. they will be <br />subject to mandatory sinking fund redemption in accordance with principal payments shown above. (See "REDEMPTION PROVISIONS" herein.) <br />The Bonds are payable solely from and secured exclusively by a pledge of the City's distributive share of the St. Joseph County Economic <br />Development Income Tax Revenues (the " CEDIT Revenues "). The Bonds shall not constitute a general obligation of the City, and the City shall <br />not be obligated to pay the Bonds, or the interest thereon, except from the CEDIT Revenues. The City has not pledged its full faith and credit nor <br />its property taxing power to the payment of the principal of or the interest on the Bonds. (See "SECURITY AND SOURCES OF PAYMENT FOR <br />THE BONDS" herein.) <br />In connection with any acquisition of the Bonds by financial institutions, the Bonds will not be deemed to be 'qualified tax -exempt <br />obligations" for purposes of Section 265(b)(3) of the internal revenue code of 1966, as amentled. <br />This cover page contains certain information for quick reference only. It is not a summary of the issue. Investors must read the entire <br />Official Statement to obtain information essential to the making of an informed investment decision. <br />The City has authorized the distribution of this Official Statement to prospective purchasers and other interested parties. The City has <br />deemed this Official Statement nearly final" as of the date hereof, subject to including certain additional information available after the sale of the <br />Bonds, all in accordance with the provisions of Rule 15c2 -12 of the United States Securities and Exchange Commission. <br />