Clayton Receives AAA Rating

February 26, 2009

In February 2009, Standard & Poor's Ratings Services raised its standard long-term rating on the City of
Clayton’s general obligation bonds to 'AAA' from 'AA+', reflecting healthy operations, maintenance of very strong financial reserves and good economic growth.

The AAA rating reflects the city's strong local economic and tax base characterized by a sizable downtown business district and surrounding affluent residential neighborhoods; very strong wealth and income levels;
and healthy operations supported by very strong reserve levels. "We expect that the city's healthy financial performance with very strong general fund balance reserves will continue and that management will closely monitor and control the city's diverse revenue streams," said Standard & Poor's credit analyst Justin Formas.
Rating stability is also grounded in the city's participation in the St. Louis County metropolitan statistical area. The city's median household effective buying income is considered very strong at 155% and 142% of state and
national levels, respectively. The city's tax base has been showing strong growth, mainly through redevelopment, with an average annual growth rate of 6.4% since 2005. The city's 2008 market value totaled $3.874 billion,
translating to, an extremely strong $303,524 per capita, which is an indication of the city's large commercial base and high property values. Median home values in 2008 were 317% of the national average or $561,947.

“This is the highest rating we can achieve and reflects a strong track record of sound policy and management practice as well as confidence of the investment community that Clayton has an excellent future,” said City
Manager Craig Owens.

The city reports on budget-to-actual performance at least quarterly to the Mayor and Board of Aldermen. In addition to preparing rolling three-year financial projections annually, the city maintains a rolling eight-year
maintenance schedule to address capital needs.

Clayton’s financial stability is reflected in Standard & Poor's expectation that the city's healthy financial performance will continue.