OREANDA-NEWS. S&P Global Ratings raised its underlying rating on Altoona, Pa.'s existing debt to 'A' from 'A-'. At the same time, S&P Global Ratings assigned its 'A' long-term rating to the city's series 2016 GO bonds. The outlook on all the ratings is stable.

"The rating action reflects the city's commitment to restoring structural balance to the budget, evidenced by recent years of operating surpluses, which have strengthened budgetary flexibility, " said S&P Global Ratings credit analyst Moreen Skyers-Gibbs. "In addition, the city's change of government to a home-rule charter allows it to have significant revenue raising flexibility." The city's full faith and credit and resources pledge, as well as an agreement to levy ad valorem property taxes without limitation on the rate or amount, secures the bonds. S&P Global Ratings understands that the city will use bond proceeds to refinance its series 2003A and 2009 GO bonds for expected present value savings.