Fitch Rates New York City Municipal Water Finance Authority's Bank Bonds 'AA+'; Outlook Stable

NEW YORK--()--Fitch Ratings assigns an 'AA+' rating to bank bonds corresponding to the following series of New York City Municipal Water Finance Authority (the authority) bonds in the event that the series listed below are converted to bank bonds in the future:

--$100,000,000 water and sewer system second general resolution (SGR) revenue adjustable rate bonds fiscal 2011 subseries FF-1;

--$100,000,000 water and sewer system SGR revenue adjustable rate bonds fiscal 2011 subseries FF-2;

--$101,000,000 water and sewer system SGR revenue adjustable rate bonds, fiscal 2008 B-2 bonds;

--$50,000,000 water and sewer system SGR fiscal 2008 B-4 bonds.

The Rating Outlook is Stable.

Based on a review of the terms governing bank bonds specified in the standby bond purchase agreements provided by Bank of America, N. A. for the fiscal 2011 subseries FF-1, KBC Bank N.A. for fiscal 2011 FF-2 and Royal Bank of Canada for fiscal 2008 subseries BB-2 and BB-4, Fitch believes that the incremental risk associated with bank bonds does not have a material impact on the long-term credit rating.

Additional information is available at 'www.fitchratings.com'.

Applicable Criteria and Related Research:

--'Revenue-Supported Rating Criteria', dated Oct. 8, 2010;

--'Water and Sewer Revenue Bond Rating Guidelines', dated Aug. 6, 2008.

Applicable Criteria and Related Research:

Revenue-Supported Rating Criteria

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=564565

Water and Sewer Revenue Bond Rating Guidelines

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=395918

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Contacts

Fitch Ratings
Primary Analyst
Christopher Hessenthaler, +1-212-908-0773
Director
Fitch, Inc.
One State Street Plaza
New York, NY 10004
or
Secondary Analyst
Doug Scott, +1-512-215-3725
Managing Director
or
Committee Chairperson
Ann Flynn, +1-212-908-9152
Senior Director
or
Media Relations:
Cindy Stoller, +1-212-908-0526
Email: cindy.stoller@fitchratings.com

Contacts

Fitch Ratings
Primary Analyst
Christopher Hessenthaler, +1-212-908-0773
Director
Fitch, Inc.
One State Street Plaza
New York, NY 10004
or
Secondary Analyst
Doug Scott, +1-512-215-3725
Managing Director
or
Committee Chairperson
Ann Flynn, +1-212-908-9152
Senior Director
or
Media Relations:
Cindy Stoller, +1-212-908-0526
Email: cindy.stoller@fitchratings.com