Standard&Poor's Ratings Services raised its rating to 'A' from 'A-' on the village of Holly, Mich.'s series 2006 water system revenue bonds. The outlook is stable. The raised rating reflects our view of the water system's improved debt service coverage (DSC) and liquidity based on substantial rate increases. The rating reflects our view of the water system's: Access to jobs in the Oakland County, Detroit, and Ann Arbor metropolitan areas; Stable and primarily residential customers, with good incomes; Strong financial metrics, including DSC of nearly 1.6x and unrestricted liquidity equivalent to 236 days of operating expenses for fiscal year 2012; and No additional debt needs. We believe these credit strengths are somewhat offset by the water system's: Small
