Fitch to Revise IDA of Kansas City (MO) Series 2006A&B VRDOs to 'AA-/F1+' & to Rate Series 2005B.

NEW YORK -- Effective March 25, 2009 Fitch Ratings will revise the rating assigned to the Industrial Development Authority of the City of Kansas City, Missouri variable rate demand tax-exempt revenue bonds (Kansas City Downtown Redevelopment District) as follows:

--$69,500,000,000 series 2006A at 'AA-/F1+';

--$46,135,000 series 2006B at 'AA-/F1+'.

Fitch also will assign a rating of 'AA-/F1+' to the $64,895,000 series 2005B based on the support of a irrevocable, direct-pay letter of credit (LOC) provided by JPMorgan Chase Bank, N.A. (Chase). The rating on the 2005B bonds was inadvertently withdrawn on June 26, 2008. The full rating history is now available on the Fitch Ratings web site at www.fitchratings.com.

The revision of the 2006 A and 2006 B rating is in connection with (i) the cancellation of the bond insurance policies previously issued by Ambac Assurance Corporation (AMBAC) to secure payment of regularly scheduled principal and interest payments on the bonds; (ii) the termination of the liquidity facilities previously issued by DEPFA BANK, plc which had provided liquidity for the bonds; and (iii) the reissuance of the bonds supported by an LOC provided by Chase. The remarketing and reissuance of the bonds will take place on March 25, 2009, the effective date of the Chase LOC.

The rating on the series 2006A and series 2006B bonds is being revised to 'AA-/F1+' from 'AA/F1' reflecting the change in the basis of the long-term rating from the unenhanced rating assigned to Kansas City IDA revenue bonds to a rating based on the Chase LOC and the change in the basis of the short-term rating from a liquidity facility provided by DEPFA BANK, plc to the Chase LOC. All three series of bonds are supported by the Chase LOC. Chase is obligated to make payments of principal and interest on the bonds when due, as well as purchase price for tendered bonds. The LOC is sized to provide sufficient coverage of principal plus an amount equal to 39 days of interest computed at a maximum rate of 10%, based on a year of 365 days, and purchase price for tendered bonds. The rating will expire on the earliest of: (i) March 1, 2010, the stated expiration date of the LOC, unless such date is extended; (ii) any prior termination of the LOC; or (iii) the defeasance of the bonds. The remarketing agent for the bonds is J.P. Morgan Securities Inc.

The bonds will initially bear interest in a weekly rate mode, but may be converted to a daily rate, auction rate, bond interest term, long-term or fixed rate mode. While bonds bear interest in the weekly rate mode, interest payments are paid on the first business day of each month, commencing April 1, 2009, and bondholders have the option to tender their bonds on any business day, with the requisite prior notice to the remarketing agent and the paying agent. The bonds are subject to mandatory tender (1) upon conversion of the interest rate mode; (2) on the day next succeeding the last day of each Bond Interest Term; (3) upon the expiration, termination or substitution of the LOC; and (4) upon notice from the LOC provider of an Event of Default under the Reimbursement Agreement. Optional and mandatory redemption provisions also apply to the bonds.

Fitch's rating definitions and the terms of use of such ratings are available on the agency's public site, www.fitchratings.com. Published ratings, criteria and methodologies are available from this site, at all times. Fitch's code of conduct, confidentiality, conflicts of interest, affiliate firewall, compliance and other relevant policies and procedures are also available from the 'Code of Conduct' section of this site.