Bangkok--21 Oct--Standard & Poor's
Standard & Poor's Ratings Services said today it raised its rating on Pearland, Texas' water and sewer system revenue bonds two notches to 'AA-' from 'A'. The outlook is stable. In addition, we assigned a 'AA-' rating and stable outlook to the city's $12.75 million 2008A water and sewer system revenue bonds.
"The upgrade is based on consistently strong coverage of debt service and a growing customer base," said Standard & Poor's credit analyst Horacio Aldrete-Sanchez.
The system's net revenue pledge secures the bonds. Proceeds from the series 2008A bonds will fund a water line connection to the city of Houston's treatment facilities, the purchase of land to build a surface water treatment plant, and other supply and infrastructure improvements.
Pearland, which is located just south of Houston, maintains a water and sewer system that serves almost 26,600 customers. Currently, the city has 10 operational wells but is in the process of converting to surface water.
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Media Contact:
Edward Sweeney, New York, (1) 212-438-6634
[email protected]
Analyst Contacts:
Horacio Aldrete-Sanchez, Dallas (1) 214-871-1426
Sarah Smaardyk, Dallas (1) 214-871-1428