The rating on Naperville, Ill.'s bonds reflects the following strengths: * A business profile of '3' reflecting favorable wholesale rates from Commonwealth Edison Co. (ComEd), * Absence of customer concentration and a limited number of customers with attractive load factors, * Breadth of the service area economy, and * Strong debt service coverage and liquidity. Naperville's business profile reflects favorable wholesale rates supplied under an all-requirements fixed-price contract with ComEd that expires in 2007. The city's purchased power cost, 42.1 mils per kWh, is fixed under the contract at 95% of ComEd's lowest published rate tariff for large loads. The contract is currently under renegotiation in order to take advantage of market conditions. Standard&Poor's will evaluate the impact
