Fitch Rtes Allina Health System's (Minnesota) $164.5MM VRDBs 2009B & 2009C 'AA-/F1+'

NEW YORK--(Business Wire)--
Fitch Ratings assigns an 'AA-/F1+' rating to the City of Minneapolis and the
Housing and Redevelopment Authority of the City of St. Paul, Minnesota (the
Authority) health care system variable-rate demand revenue bonds (VRDBs) (Allina
Health System), series 2009B, consisting of $57,260,000 series 2009B-1 and
$57,260,000 2009B-2, and $50,000,000 series 2009C. The rating for series 2009B
is based on an irrevocable direct-pay letter of credit (LOC) provided by
JPMorgan Chase Bank, NA (rated 'AA-/F1+' by Fitch). The rating for series 2009C
is based on an irrevocable direct-pay LOC provided by Wells Fargo Bank, NA
(rated 'AA-/F1+').

The banks are obligated to make payments of principal of and interest on the
bonds upon maturity, acceleration and redemption, as well as purchase price for
tendered bonds. The ratings will expire upon the earliest of: (a) Nov. 9, 2012,
the initial stated expiration date of the LOCs, unless such date is extended;
(b) any prior termination of the LOCs; and (c) defeasance of the bonds. The LOCs
provide full and sufficient coverage of principal plus an amount equal to 43
days of interest (Wells Fargo) and 34 days of interest (JPMorgan Chase) at a
maximum rate of 12% based on a year of 365 days and purchase price for tendered
bonds, while in the weekly and daily rate modes. The Remarketing Agent for the
series 2009B-1 bonds is Goldman, Sachs and Co., and J.P. Morgan for the 2009B-2
bonds. The Remarketing Agent for the series 2009C bonds is Wachovia Bank, NA.
The bonds are expected to be delivered on or about Nov. 10, 2009.

The series B bonds initially bear interest at a daily rate, the series C bonds
initially bear interest at a weekly rate, but each series may be converted to a
daily, weekly, long- term, bond interest term, or auction rate. While bonds bear
interest in the daily or weekly rate mode, interest payments are on the first
business day of each month, commencing Dec. 1, 2009. Holders may tender their
bonds on any business day, provided the remarketing agent is given at least
seven calendar days' prior notice of the purchase in the weekly rate mode, and
notice by 10:45 a.m. New York time on the purchase date, in the daily rate mode.
The bonds are subject to mandatory tender: (1) upon conversion of the interest
rate; (2) upon expiration, substitution or termination of the LOC; and (3) on
the second business day following receipt of written notice from the bank of an
event of default under the Reimbursement Agreement, directing such mandatory
tender. Optional and mandatory redemption provisions also apply to the bonds.

Bond proceeds will be used by the Authority to refund a portion of the issuer's
$174,045,000 health care system variable-rate demand revenue bonds (Allina
Health System), series 2007B-1; refund a portion of the issuer's $43,475,000
health care system variable-rate demand revenue bonds (Allina Health System),
series 2007B-2; pay certain fees associated with the issuances of letters of
credit; and pay certain expenses incurred in connection with the issuance of the
bonds.

Additional information is available at 'www.fitchratings.com'.

ALL FITCH CREDIT RATINGS ARE SUBJECT TO CERTAIN LIMITATIONS AND DISCLAIMERS.
PLEASE READ THESE LIMITATIONS AND DISCLAIMERS BY FOLLOWING THIS LINK:
HTTP://FITCHRATINGS.COM/UNDERSTANDINGCREDITRATINGS. IN ADDITION, RATING
DEFINITIONS AND THE TERMS OF USE OF SUCH RATINGS ARE AVAILABLE ON THE AGENCY'S
PUBLIC WEBSITE 'WWW.FITCHRATINGS.COM'. PUBLISHED RATINGS, CRITERIA AND
METHODOLOGIES ARE AVAILABLE FROM THIS SITE AT ALL TIMES. FITCH'S CODE OF
CONDUCT, CONFIDENTIALITY, CONFLICTS OF INTEREST, AFFILIATE FIREWALL, COMPLIANCE
AND OTHER RELEVANT POLICIES AND PROCEDURES ARE ALSO AVAILABLE FROM THE 'CODE OF
CONDUCT' SECTION OF THIS SITE.

Fitch Ratings, New York
Joseph Staffam, +1-212-908-0829
Media Relations:
Cindy Stoller, +1-212-908-0526
cindy.stoller@fitchratings.com

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