Standard&Poor's Ratings Services assigned its 'BBB' long-term rating to the City of Philadelphia, Pa.'s general obligation (GO) bonds, series 2010A (tax-exempt) and 2010B (taxable Build America bonds). At the same time, Standard&Poor's affirmed parity-related debt outstanding. The outlook is stable. The bonds are secured by the city's full faith pledge. We understand that bond proceeds will be used to fund a portion of the city's long-term capital plan and refund bonds outstanding for present value savings. Even though the series B taxable bonds are being issued as Build America bonds and, as such, are eligible for a 35% interest subsidy from the U.S. Treasury, the city is pledging its full faith pledge to the bonds. The
