MELBOURNE (Standard & Poor's) May 30, 2006--Standard & Poor's Ratings Services said that today's budget for the State of Victoria is consistent with the 'AAA' rating already assigned to the state. The 'AAA' rating is the highest rating assigned by Standard & Poor's. The outlook is stable. "Victoria's balance sheet can comfortably afford the budgeted increase in the level of debt that is driven by its capital program," said credit analyst Danielle Westwater, Sovereign & International Public Finance Ratings. "The state is also in an enviable position of being able to provide tax cuts while maintaining its forecast operating surpluses." Victoria is forecasting an increase in general government capital spending. While this level of capital spending will lead to a
