Fitch also affirmed the “A” rating on the system’s approximately $662 million in outstanding debt.
The rating assignment was supported by various factors, such as the system’s financial profile, with good liquidity levels and strong debt service coverage. The rating assignment was also supported by the system’s strong market position.
John C. Lincoln Health Network and Scottsdale Healthcare Hospitals affiliated last year.
In fiscal 2014, integration costs put pressure on the system’s profitability. However, Fitch expects Scottsdale Lincoln Healthcare Network to achieve approximately $200 million of cost reduction and revenue enhancement initiatives over the course of several years.
More articles on healthcare ratings:
Fitch upgrades rating on Bon Secours Health System’s bonds
Moody’s affirms ‘A2’ ratings assigned to Baystate Medical Center’s bonds
Moody’s downgrades Reading Hospital and Medical Center’s rating to ‘A1’
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