The assignment and affirmation are based on S&P’s expectation that the health system’s financial performance will improve gradually over the next several years as it works to integrate St. Paul, Minn.-based HealthEast Care System, which it acquired in June 2017. The health system is trimming duplicative services from the combined entity, which is expected to generate savings.
The “A+” rating further exemplifies Fairview’s sizable and diverse revenue base across a wide-spanning service area as well as its healthy proforma debt metrics.
The outlook is stable, reflecting Fitch’s view that the health system will see improving operations as it executes its strategic plan.
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