SAN FRANCISCO (Standard&Poor's) Sept. 30, 2015--Standard&Poor's Ratings Services lowered its long-term rating and underlying rating (SPUR) to 'A+' from 'AA-' on Los Angeles' solid waste resources (SWR) and sanitation equipment bonds. The outlook is negative. The rating action reflects our view of the city's fiscal 2015 unaudited results, which indicate that system net revenue in fiscal 2015 (ended June 30) was insufficient to meet debt service requirements, with insufficient debt service coverage (DSC) projected through at least fiscal 2019. The negative outlook reflects our view of the city's estimated inadequate DSC on a net revenue basis for fiscal 2015 and management's forecast that such results will likely continue for several more years. RELATED CRITERIA AND RESEARCH
