Standard&Poor's Ratings Services affirmed its 'AA' rating and 'AA' underlying rating (SPUR) on Huntsville, Ala.'s outstanding electric system revenue warrants, reflecting: Strong and stable financial performance, with very high debt service coverage (DSC) levels; A strong regional economy; and A manageable capital improvement program, with no plans for additional debt in the intermediate term. Offsetting these strengths are Huntsville's all-requirements relationship with a single supplier, Tennessee Valley Authority (TVA), which continues to address its high debt burden. The bonds are secured by a pledge of net revenues of the Huntsville electric system. The business profile of '2' reflects the electric system's proactive and experienced management team, sound operations, and strong competitive position, the latter being a result of
