Standard&Poor's Ratings Services has assigned its 'AA' rating to Seattle, Wash.'s municipal light and power improvement and refunding revenue bonds, series 2014 (the utility does business as Seattle City Light [SCL]). At the same time, Standard&Poor's affirmed its underlying rating on parity debt. The outlook is stable. We believe credit strengths include: A low-cost hydro-based generation portfolio that can meet demand under most water conditions, including less than normal water conditions; A strong and diverse customer base; and Competitive retail rates, despite significant increases in the past few years. In our view, offsetting factors include some reliance on wholesale sales, and what we view as a large capital improvement program (CIP) that management expects will add
