The downgrade is a result of several factors, including the medical center’s diluted margin in fiscal year 2017, high leverage metrics and weak liquidity measures. Moody’s also acknowledged MaineGeneral’s strong market position and moderate capital spending plan.
The outlook is stable, reflecting Moody’s expectation that the medical center’s executive team will address challenges to improve operating performance and liquidity metrics.
More articles on healthcare finance:
Swedish Health’s Cherry Hill campus no longer at risk of losing Medicare funding
Missouri hospital’s Medicare contract no longer at risk
OIG: Replacement of 7 recalled and prematurely failed medical devices cost Medicare $1.5B over a decade