Standard&Poor's Ratings Services has assigned its 'AA-' rating, with a stable outlook, to San Antonio, Texas' series 2012 water system junior-lien revenue refunding bonds. In addition, Standard&Poor's affirmed its 'AA' senior-lien and 'AA-' junior-lien ratings on the system's bonds outstanding. The ratings reflect our assessment of: The broad and diversified service area that encompasses most of the city of San Antonio ('AAA' general obligation rating), Management's ability to maintain good coverage levels and strong liquidity, coupled with the development of a long-range capital and financial plan, and Competitive water and sewer rates, providing flexibility regarding the development of new long-term water resources, coupled with the willingness to increase rates. Factors that continue to limit the rating
