Example 3 — OID bond purchased above the revised issue price Issue Price: $60 Revised Issue Price: $65 Purchase Price: $70 The purchase price of $70 is greater than the revised issue price of $65, so the entire discount is attributable to the OID and is treated as interest. Increasing yield levels may create complicated tax scenarios for some municipal bonds, but the after-tax yields will often remain attractive to investors. Investors should consider all tax implications when making investment decisions, including additional taxes due on market discounts. Dana Sparkman Senior Vice President/ Municipal Analyst The Baker Group Dana@GoBaker.com Dana Sparkman, CFA, is senior vice president, municipal analyst in The Baker Group’s Financial Strategies Group. She manages a municipal credit database that covers more than 150,000 municipal bonds, providing clients with specific credit metrics essential in assessing municipal credit. The Baker Group is a Preferred Service Provider of the Indiana Bankers Association and an IBA Diamond Associate Member. Associate Members’ CORNER DELUXE CORP. / MINNEAPOLIS The company announced in December it would acquire SNL Banker Cloud, a robust community bank-focused data analytics solution that provides actionable business intelligence. SNL will be incorporated into the company’s existing Banker’s Dashboard platform. ENDEAVOR IT / COOPERSVILLE, MI IT Resource LLC, an IBA associate member, merged with Synergetics DCS, effective Jan. 1, to become Endeavor IT. Both companies were already sister companies under the umbrella of Endeavor Communications but have now merged into a single entity, still under Endeavor Communications. Clients with existing contracts with either company will continue to work with the same team members and managers but now have access to a broader range of solutions offered by the newly combined company. Endeavor IT will have a footprint in the North, Midwest and South. FEDERAL RESERVE BANK OF ST. LOUIS Alberto G. Musalem will assume the role of president and CEO of the St. Louis Fed starting April 2. He has more than 27 years of public and private sector experience in economic policy, finance and markets, including time as executive vice president, senior advisor to the president of the New York Fed. Musalem is an adjunct professor at Georgetown University’s McDonough School of Business and serves on the boards of the Federal Home Loan Mortgage Corporation (Freddie Mac) and Man Group. He will step down from those positions before taking office. Musalem is also a member of the Council on Foreign Relations and the Economic Club of New York. The 55-year-old was born in Colombia and lived in Brazil and DEPARTMENT CON T . 30 HOOSIERBANKER
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