Standard&Poor's Ratings Services raised its rating on Washington State Housing Finance Commission's variable-rate demand multifamily revenue bonds (Merrill Gardens at Queen Anne Project) series 2004A and 2004B to 'AAA/A-1+' from 'AA+/A-1+' reflecting the substitution of credit enhancement to Fannie Mae from a letter of credit (LOC) provided by Bank of America on Sept. 2, 2008. Fannie Mae will be providing credit and liquidity enhancement of the bonds through an unconditional and irrevocable direct-pay credit facility. Fannie Mae is 'AAA' eligible based on its relationship with the federal government. The credit facility is sized at principal plus 34 days' interest calculated at the maximum rate of 12% on the bonds. The bonds will initially bear interest at a weekly
