Standard&Poor's Ratings Services' 'BBB' underlying rating (SPUR) on the £192.65 million index-linked senior secured bonds (including £30 million of variation bonds) due 2043, issued by U.K.-based special purpose vehicle BY Chelmer PLC (ProjectCo) reflects a composite of credit factors, as detailed below. The bonds retain an unconditional and irrevocable guarantee provided by Ambac Assurance U.K. Ltd. (not rated) of payment of scheduled interest and principal on the bonds. According to our criteria, the rating on a monoline-insured debt issue reflects the higher of the ratings on the monoline insurer and the SPUR. The long-term rating on the bonds reflects the SPUR, because Ambac Assurance U.K. is no longer rated. ProjectCo is using the funds to finance the design,
