The ratings on the Canton of Solothurn in Switzerland are based on our view of Solothurn's excellent budgetary performance, which reached at an all-time high in 2009, with operating surpluses at 16.1% of operating revenues and a surplus after capital expenditures at 9.9% of total revenues. We note that Solothurn achieved this result in spite of the economic crisis in 2009. Although the canton faces the prospect of lower tax revenues and potentially higher expenditure needs over the next few years, we note that it has liquid reserves available and that it has managed to continuously lower its debt burden to 27% of operating revenues. The ratings are further supported by our view of Solothurn's very low contingent liabilities: it
