Chicago Public Schools has sold $725 million in tax-exempt bonds it says will help get the district through the rest of the school year.
Because the district has received a low credit rating, it must pay an 8.5 percent interest rate on most of the bonds sold yesterday.
Officials say the sale raised less than the $875 million the district wanted.
The district is rated three levels below junk status by all three major rating agencies.
Recent financial documents have revealed the district had barely enough cash to make it through the year.