TEXT-Fitch to confirm San Jose Financing Authority, Calif. lease rev notes

Thu Dec 20, 2012 10:53am EST

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Dec 20 - On the effective date of Jan. 14, 2013, Fitch Ratings will confirm
the short-term 'F1+' rating assigned to the City of San Jose Financing Authority
taxable/tax-exempt lease revenue commercial paper notes (the notes).

The confirmation of the rating is in connection with the amendment and
restatement of the irrevocable, direct-pay letter of credit (LOC) currently
provided severally by State Street Bank and Trust Company (State Street, rated
'A+/F1+', Outlook Stable) and California State Teachers Retirement System
(CalSTRS, rated 'AA+/F1+, Outlook Stable). On Jan. 14, 2013, the effective date
of the amended and restated LOC, CalSTRS will be removed as a several LOC
provider and State Street will be the sole LOC provider.

The amended and restated LOC provided solely by State Street in the amount of
$93,435,750 will provide full and sufficient coverage of $87,000,000 in
principal amount of the notes, plus interest coverage in the amount of
$6,435,750, due upon the maturity of the notes. Note issuance is limited to the
coverage provided by the LOC.

The rating will expire upon the earliest of: March 15, 2013, the 'Stated
Expiration Date' as defined in the amended and restated LOC, as such date may be
extended; any prior termination of the amended and restated LOC.

Barclays Capital continues to be the dealer for the notes.


Additional information is available at www.fitchratings.com.

Applicable Criteria and Related Research:
--'U.S. Municipal Structured Finance Rating Criteria', Feb. 28, 2012;
--'Rating Guidelines for Commercial Paper Note Programs Issued with External
Support', March 19, 2012.

Applicable Criteria and Related Research:
U.S. Municipal Structured Finance Criteria
Rating Guidelines for Commercial Paper Note Programs Issued with External
Support
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