The ratings on the City of Regina ratings reflect its very strong operating and after-capital performances, standout economic performance in 2004, modest debt burden, and robust cash and investment holdings. These strengths are partially offset by constraints on the city's financial flexibility that are greater than those of other rated Canadian peers. Very strong, long-term operating and after-capital balances are the foundation of Regina's considerable financial strength. From 2000 to 2004, the city has generated operating surpluses that have averaged 21% of operating revenues and after-capital surpluses of 4% of total revenues. In 2004, Regina underperformed the long-term averages with an operating surplus of 19% and an after-capital deficit of 4% of total revenues. Historically, strong operating surpluses have enabled
