Standard&Poor's Ratings Services assigned its 'AAA/A-1+' rating to the city of Austin, Texas' hotel occupancy tax subordinate lien variable-rate revenue refunding bonds, series 2008. The rating is based on the application of the low correlation joint criteria where Standard&Poor's underlying rating (SPUR) for Austin's hotel occupancy tax subordinate lien variable-rate revenue bonds is 'A-' and the letter of credit (LOC) provider, Dexia Credit Local is rated 'AA/A-1+'. The LOC provides coverage for payment of principal and interest on the bonds. The LOC provides for a maximum 35 days' of interest coverage at 12% annually and will expire on Aug. 13, 2011, unless extended according to its terms. The bonds will initially bear interest at the weekly
