Standard&Poor's Ratings Services assigned its 'A' long-term rating, and stable outlook, to Philadelphia's series 2010A water and wastewater revenue refunding bonds and affirmed its 'A' long-term rating and underlying rating (SPUR), with a stable outlook, on the city's existing water and wastewater revenue debt. In our opinion, positive credit factors include the city's: Stable financial performance despite its reliance on rate stabilization support -- With the rate stabilization funds, senior-lien debt service coverage (DSC) was an adequate 1.2x in fiscal 2009; Competitive rates, which will remain low despite planned increases through fiscal 2012; and Experienced management team continues to emphasize, and is achieving, improved system maintenance, stronger collections, and more-comprehensive fiscal monitoring systems. In our opinion, despite these
