Standard&Poor's Ratings Services assigned its 'AA' long-term rating to San Francisco City and County, Calif.'s series 2010E general obligation (GO) bonds. At the same time, Standard&Poor's affirmed its 'AA' long-term rating and underlying rating (SPUR) on the city's outstanding GO bonds. The outlook is stable. The ratings reflect our view of the city's: Central role in the dynamic San Francisco Bay Area; Timely response to budget pressures and successful adoption of balanced budgets; Strong financial management assessment, including regular budget monitoring and forecasting, which we believe contributes to the city's ability to identify budget gaps in time to significantly reduce structural budget deficits; and Moderate debt burden. While the city's long-term economic prospects are positive, in
