The 'A' rating on Redlands, Calif.'s GO refunding bonds reflects the following credit factors: A resilient, strengthening economy with a strongly growing tax base; Slightly above average income indicators and low unemployment; and, Good financial performance, with an unaudited unreserved fund balance of $7.4 million, or 19.6% of expenditures, for fiscal 2003. Mitigating factors to the rating include moderate debt levels and an expected drop in the fiscal 2004 unreserved fund balance due to contracted salary increases. Redlands, with an approximate population of 66,000, is a primarily residential, 36-square mile community situated in southwestern San Bernardino County, 63 miles east of Los Angeles. With approximately 35% open space remaining, development continues to flourish, bringing to the area an influx of
