S&P gives Transurban notes A-

Standard & Poor's said it assigned its A- long-term debt rating to Transurban Finance Co. Pty Ltd.'s (BBB+/negative) proposed $150 million fixed, deferred interest rate U.S private placement.

The multi-year maturity note issue forms part of the Transurban Group's capital-management program and the proceeds will be used for general corporate purposes, the agency added.

S&P noted that the rating on the proposed notes issue reflects the company's senior-secured debt rating of A-/negative, stating that pressure could be exerted on the senior debt rating and consequently the rating on the proposed debt issue and the company's BBB+ long term corporate credit rating if Transurban's U.S. investments are funded on the company's balance sheet and the company's senior interest cover ratio, which is expected to dip to about 2 times in fiscal 2007, does not return to a solid buffer above 2.0 times within the next 12 months.

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