We expect the Swedish Municipality of Sundsvall to maintain sound budgetary performance despite rising spending at its social services board and increasing municipal investment needs. We expect Sundsvall's management to use its flexibility and enforce strict budget discipline to curtail the budget through 2015. We are affirming our 'AA+/A-1+' and 'K-1' ratings on Sundsvall. The stable outlook reflects our expectation that Sundsvall will successfully navigate budgetary pressures, and retain sound budgetary performance with only a moderate build-up of debt, under our base case through 2015. On Oct. 11, 2013, Standard&Poor's Ratings Services affirmed its 'AA+' long-term and 'A-1+' short-term issuer credit ratings on the Swedish Municipality of Sundsvall. The outlook is stable. At the same time, we affirmed
