The ratings on the City of Regina, located in the Province of Saskatchewan, reflect very strong operating and after-capital performances, a modest and stable debt burden, and solid liquidity levels that support the strong ratings on Regina. Nevertheless, part of the city's credit strength is offset by the poor performance of its main pension plan and the resulting switch in status from slight surplus to sizeable deficit. Historically, Regina has produced very strong operating and after-capital performances. For 2002, the city generated an operating surplus of 19% of operating revenues and an after-capital surplus of 6% of total revenues. From 1998 to 2002, operating surpluses have averaged 20% of annual operating revenues and after-capital surpluses have averaged 8% of total
