The rating on California Health Facilities Finance Authority's bonds, issued for Marshall Hospital, reflects security based on the state of California's Health Facilities Construction Loan Insurance program. In the event of a default, the state can continue to make regularly scheduled debt service payments or issue debentures to the trustee for the benefit of the bond owners, having a total face value of and bearing interest at the rate on the respective bonds they replace. Thus the ultimate backing for this issue is the credit of the state of California, and on that basis the bonds are rated 'A+'. Marshall Hospital is a 103-bed acute-care hospital located in Placerville, Calif. Proceeds will be used to finance a portion of the
