Standard&Poor's Ratings Services has raised its rating on Kentucky Asset/Liability Commission?s federal highway trust fund project notes outstanding, issued on behalf of the Kentucky Transportation Cabinet (the state agency), to 'AA' from 'AA-'. At the same time, Standard&Poor's assigned its 'AA' rating to the commission's $89.7 million series 2010 project notes. The outlook is stable. The raised rating reflects our opinion of the credit strengths of a state grant anticipation revenue vehicle (GARVEE) program with consistently high debt service coverage, sound bond provisions, and manageable additional debt plans. More specifically, the rating incorporates what we consider to be the following credit strengths: Strong pro forma maximum annual debt service (MADS) coverage of 13.15x from 2009 federal
