OREANDA-NEWS. S&P Global Ratings today withdrew its long-term 'AA-' rating on Glendale Industrial Development Authority, Arizona's variable-rate demand senior living facilities revenue bonds series 1997 (for the Friendship Retirement Corp. project) and assigned its short-term 'A-1+' rating. Because the put option is still available, the rating is 'A-1+/A-1+'.

The rating actions follow the defeasance of the bonds, which are scheduled to be redeemed on Oct. 3, 2016. The bonds are legally defeased and, accordingly, the cash that was deposited into the escrow account has replaced the letter of credit provided by Wells Fargo Bank N. A. that had previously secured the bonds' repayment. In our opinion, the escrowed cash is sufficient to pay in full any principal and interest due through Oct. 3, 2016, and pay the purchase price for any optionally tendered bonds.

The rating on the transaction is based solely on the credit quality of the cash collateral and not on the credit of the obligor or any other security. The short-term ratings only apply to the bonds until the Oct. 3, 2016, redemption date. We generally expect to withdraw our rating on the bonds on the redemption date.