Standard and Poor's Ratings Services removed from CreditWatch and affirmed the 'A-' rating on Redlands Financing Authority, Calif.'s water revenue bonds, issued for the City of Redlands, based on recently approved and implemented rate increases that have increased debt service coverage (DSC) somewhat for fiscal 2003 (unaudited) and have provided the system with increased financial stability. The rating continues to reflect the following credit strengths: Good DSC for fiscal 2003 at 2.23x including connection fee revenue and 1.44x excluding such revenue, up from 1.94x and 1.37x, respectively, in 2002; Strong liquidity at an estimated $15.2 million, or 486 days' cash, as of June 30, 2003; Diverse customer base and low rates resulting from low cost surface and groundwater supplies; Adequate
