MELBOURNE (Standard&Poor's) May 1, 2012--Standard&Poor's Ratings Services said today that its 'AAA/Stable/A-1+' ratings on the State of Victoria are not immediately affected by the Victorian government's announcement of its 2012-2013 budget. Standard&Poor's considers that the budget is in line with the current ratings on Victoria. The Victorian government continues to match savings measures with weaker revenues (both own-source and GST transfers from the Commonwealth of Australia (AAA/Stable/A-1+)), ensuring that its budgetary performance remains solid. Standard&Poor's expects the general government to record accrual operating surpluses over the forecast period, while the non-financial public sector will record small operating deficits in fiscals 2012 and 2013. Gross debt is forecast to rise significantly in the
