Moody’s has also affirmed an “A2” rating for the hospital’s outstanding debt. The outlook for the hospital is stable. According to Moody’s, the rating assignment reflects Overlake’s strong market position (28 percent market share in its primary service area) and stable financial performance. Overlake has consistently produced double-digit operating cash flow margins.
Furthermore, Overlake has a long-term contract with health insurer Group Health, which ensures a stable source of patient volume and accounts for roughly 18 percent of the hospital’s gross revenue, according to Moody’s.
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