Summary: Los Angeles; Letter Of Credit

S&P Global Ratings raised its short-term rating on Los Angeles' tax-exempt series A-2 and taxable series B-2 wastewater system commercial paper (CP) revenue notes to 'A-1+' from 'A-1.' The rating action reflects our view of the new enhancement for the CP in the form of an irrevocable direct-pay letter of credit (LOC) from Toronto-Dominion Bank, replacing a prior LOC from Sumitomo Mitsui Banking Corp. The rating reflects our opinion of the credit and liquidity support the Toronto-Dominion Bank LOC provides for the CP. The LOC fully supports all CP note payment obligations. The issuer can issue up to $150 million of series A-2 and B-2 CP notes. The aggregate amount of the CP cannot exceed the LOC's stated amount, and

...S&P Global Ratings raised its short-term rating on Los Angeles' tax-exempt series A-2 and taxable series B-2 wastewater system commercial paper (CP) revenue notes to 'A-1+' from 'A-1.' The rating action reflects our view of the new enhancement for the CP in the form of an irrevocable direct-pay letter of credit (LOC) from Toronto-Dominion Bank, replacing a prior LOC from Sumitomo Mitsui Banking Corp. The rating reflects our opinion of the credit and liquidity support the Toronto-Dominion Bank LOC provides for the CP. The LOC fully supports all CP note payment obligations. The issuer can issue up to $150 million of series A-2 and B-2 CP notes. The aggregate amount of the CP cannot exceed the LOC's stated amount, and amounts due on the notes' maturity date are funded in full with funds available under the LOC. When evaluating the CP, we consider the following risk factors....

Summary