“The downgrade reflects our view of Stamford’s weak underlying operating performance in fiscal 2017, which was well below budget and projections provided to S&P Global Ratings at its last review, due to softer volumes than anticipated and the ongoing challenge of revenue shortfalls associated with the state’s ill-funded hospital tax program,” said Patrick Zagar, an S&P Global Ratings credit analyst.
The outlook is stable, reflecting S&P’s expectation that Stamford Hospital will see improvements in balance sheet metrics and operating performance with cost containment efforts such as a lack of additional debt plans, decreased capital spending and strategic partnerships.
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