Standard&Poor's Ratings Services raised its rating to 'A-' from 'BBB+' on Redlands Financing Authority, Calif.'s wastewater revenue bonds, issued for the City of Redlands, based on better-than-expected coverage in fiscal 2003, and continued strong coverage in audited fiscal 2004 and unaudited fiscal 2005. Whereas previously unaudited fiscal 2003 results indicated debt service coverage of just 0.77x when removing connection fees, below the second provision of the authority's coverage test of 1.0x coverage per the installment sale agreement, audited results for fiscals 2003 and 2004 demonstrate coverage without connection fees of well over 1.0x, in full compliance with all bond covenants. Additional credit strengths include: Strong coverage including connection fees in audited fiscals 2003 and 2004 of 2.5x and
