PARIS (Standard&Poor's CreditWire) Dec. 9, 1999--Standard&Poor's today affirmed its double-'A' long-term issuer credit rating on the City of Milan. The outlook is stable. The rating is based on the City of Milan's strong and diversified economic base, robust financial performance, and increased expenditure flexibility derived from the recent refinancing of expensive loans. The rating also reflects the city's limited revenue flexibility and somewhat heavy debt burden. Milan's financial performance remains sound. In 1998, the operating surplus stood at 6% of operating revenues, primarily reflecting strict control over operating expenditures. The use of proceeds from the sale of 49% of the city's electric utility (more than Italian lira {ITL} 1.4 trillion or US$84 million) enabled Milan almost
