NEW YORK (Standard&Poor's) March 1, 2007—Standard&Poor's Ratings Services assigned its 'A-' rating to Philadelphia, Pa.'s $227.54 million water and sewer revenue bonds series 2007. The outlook is stable. At the same time, Standard&Poor's affirmed its 'A-' rating and underlying rating (SPUR) on the city's parity debt. The 'A-' rating reflects the city's continued reliance on rate stabilization fund support (projected to be depleted by 2010) to meet covenanted coverage levels, along with weak demographic trends, including long-term population decline, that result in overcapacity within the water system. Also reflected in the rating is a sizable capital program, along with weak, but stable, collections resulting in a significant level of receivables, bad debt write-offs, and
