7 systems with recently affirmed credit ratings

Below is a summary of hospitals and health systems that have recently received affirmations of existing credit ratings. Some of these have not been reported on previously.

  1. New York City-based cancer specialist Memorial Sloan Kettering Cancer Center was affirmed by Fitch Ratings May 22 at "AA" with a stable outlook both for its default rating and on a series of bonds totaling approximately $2.6 billion.

  2. Baltimore-based University of Maryland Medical System had an "A" rating affirmed on a series of bonds May 19 amid its robust operating profile and status as a premier healthcare provider in Maryland, S&P Global said. The 12-hospital system reported an operating loss of $8.9 million for the nine months ending March 31.

  3. Oakland, Calif.-based Kaiser Permanente had its "AA" default rating and that on a series of bonds affirmed May 15 by Fitch as the system was able to maintain a strong financial profile even in the face of a challenging operating environment.
  4. Providence, R.I.-based Care New England has had its default rating and that on $135.8 million of bonds affirmed at "BB-," Fitch Ratings said May 12. The system's outlook remains negative.

    The ratings reflect Care New England's "ongoing operational challenges and thin liquidity," Fitch said. While operating performance is expected to improve, there remains a low cash position of concern, the note said.

  5. New Hyde Park, N.Y.-based Northwell Health had an "A-" rating affirmed on a series of bonds amid strong market share and robust financial performance, Fitch said April 28. The 21-hospital system had $15.6 billion revenues in 2022.
  6. While its relatively weaker operating performance may continue in the shorter term, Rochester, Minn.-based Mayo Clinic has had its long-term ratings affirmed because of its excellent reputation in overall health services, both S&P Global and Moody's said.

    Mayo Clinic's revenue bonds remain at "AA" with a stable outlook, S&P said. Mayo Clinic's "Aa2" stable credit profile is characterized by its excellent reputations for clinical services, research and education, Moody's said.

  7. Moody's affirmed New York City-based Montefiore Health System's "Baa3" rating because of the 10-hospital system's leading market share in the Bronx, its clinical expertise, and its flagship status as the primary teaching hospital for Albert Einstein College of Medicine.



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