Fitch Ratings assigned its "AA-" rating to Renton, Wash.-based Providence St. Joseph Health's bonds, affecting $496 million of debt.
At the same time, Fitch assigned an issuer default rating of "AA-" to Providence St. Joseph Health's obligated group.
The assignments are a result of the health system's dominant market position, demographically favorable service areas, growing operating margin and improved leverage profile. Fitch also acknowledged the health system's increased capital expenditures.
The outlook is stable.