In addition, S&P assigned its “BB+” rating to LGH’s series 2017 revenue bonds.
The downgrade and assignment is a result of the hospital’s weak balance sheet metrics and poor financial performance in fiscal year 2015 and fiscal year 2016.
The outlook is stable, reflecting S&P’s expectation that LGH will maintain a strong enterprise profile throughout the next two years. In addition, S&P believes the “BB+” rating level provides LGH with additional financial flexibility.
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