Moody's Investors Service downgraded Doylestown (Pa.) Hospital to "Baa3" from "Baa2," affecting $98 million of debt.
The downgrade is a result of several factors, including the hospital's variable operating performance, modest debt coverage and elevated debt load. Moody's also acknowledged the hospital's strong market position, favorable payer mix and solid revenue growth.
The outlook is stable, reflecting Moody's expectation that the hospital will maintain its leading market position and solid revenue growth to achieve profitability levels in line with fiscal year 2017 results.