S&P assigns ‘BBB-‘ rating to Presence Health’s bonds

S&P Global Ratings has assigned a “BBB-” long-term rating to Chicago-based Presence Health’s $970 million of series 2016 fixed rate bonds.

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“The rating reflects our view of the network’s 12 hospitals and large physician network, as well as its solid business position in the Chicago metro area with a substantially new management team that is focusing on improving operations,” said S&P analyst Suzie Desai. The new team includes CFO Jim Kelly, who joined Presence this spring.

The outlook is negative, reflecting S&P’s view of Presence Health’s continued operating losses in fiscal year 2016. Presence reported a $186 million loss in 2015.

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