Standard&Poor's Ratings Services assigned its 'AA+' long-term rating to the California Infrastructure and Economic Development Bank's series 2010 revenue bonds, issued on behalf of the University of Southern California (USC). In addition, Standard&Poor's affirmed its 'AA+' long-term and underlying rating (SPUR) on USC's outstanding debt. The outlook is negative. The 'AA+' rating on the series 2010 revenue bonds reflects our view of: The strong underlying characteristics of USC ('AA+' long-term rating) and our view that this transaction is equivalent to a general obligation of the university; A lease financing structure with lease payments that are not subject to annual appropriation, abatement, or construction risk; and Adequate lease security provisions. We understand that proceeds of the bonds
