History of very good budgetary performance. High liquid reserves and strong access to liquidity. Very low contingent liabilities. Relatively high budgetary flexibility. Supportive and predictable system support in Switzerland. A likely decline in budgetary performance from 2012 and the need for structural improvements. Increase of currently low debt. Relatively high unfunded pension liabilities. The ratings on the Swiss Canton of Solothurn are supported by the canton's previously very strong budgetary performance, its high liquidity reserves, good access to liquidity, and very low contingent liabilities. Further strengths, in Standard&Poor's Ratings Services' view, are Solothurn's relatively high budgetary flexibility and Switzerland's supportive and predictable framework for its local and regional governments. These strengths are offset by our view that the
