Concurrently, Moody’s affirmed its “A2” rating on CHN’s outstanding rated debt, affecting $557 million of debt.
The assignment and affirmation are a result of several factors, including CHN’s strong market position, extensive integrative physician network, solid operating performance and improved liquidity metrics. Moody’s also acknowledged the health system’s competitive landscape and upcoming period of high capital spending.
The outlook was revised to stable from positive, reflecting CHN’s higher leverage and margin pressures, which will make it difficult to improve metrics in line with a higher rating.
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