Standard&Poor's Ratings Services assigned its 'AA' long-term rating, and stable outlook, to New York City's fiscal 2009 series J (subseries J-1 and J-2) general obligation (GO) bonds. We also affirmed the 'AA' long-term rating, with a stable outlook, on the city's parity GO debt. In our opinion, credit factors supporting the rating include: New York City's substantial and diverse economic base. After a period of above-average growth in employment, income, and real estate development, economic trends have declined sharply. The steep decline in the financial services sector is having a negative effect on employment, income, and the overall real estate market. While New York City is facing significant challenges, economic cycles are common for the city and it
