NEW YORK (Standard&Poor's) Nov. 12, 2003—Standard&Poor's Ratings Services assigned its 'BBB' rating to Philadelphia, Pa.'s $50 million general obligation (serial) bonds series 2003A and $200 million multi-modal general obligation bonds (auction-rate securities) series 2003B-1 and B-2, reflecting the city's weakened financial condition, as operating deficits and accounting changes have depleted GAAP balances (although budgetary-basis balances at fiscal year-end 2003 totaled $91 million, or 3% of expenditures); a budgeted deficit for fiscal 2004, which, if realized, will reduce both the budgetary-basis and GAAP-basis balances to deficit position (negative $12 million and negative $110 million, respectively); and continued fiscal oversight provided by the Pennsylvania Intergovernmental Cooperation Authority (PICA). The rating also reflects continuing longstanding fiscal problems at the
