Standard&Poor's Ratings Services assigned its 'AA-' rating, and stable outlook, to Glendale, Ariz.'s series 2003 subordinate-lien water and sewer revenue obligations. Standard&Poor's also affirmed its 'AA' Standard&Poor's underlying rating (SPUR) on the city's senior-lien water and sewer revenue bond outstanding. The 'AA-' rating reflects the system's: Stable service area and strong economic base; Adequate water sources to meet future growth; Competitive rate structure; and Solid financial performance, with pledged revenues providing 1.9x annual debt service (ADS) on combined junior- and senior-lien revenue debt in fiscal 2004 and a good 1.4x ADS, including system-supported GO debt. The uncertainty surrounding future Central Arizona Project (CAP) water costs, although the city derives its water from various sources,
