S&P downgrades University Health System to ‘BBB’

S&P Global Ratings downgraded Knoxville, Tenn.-based University Health System’s rating to “BBB” from “BBB+.”

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“The lowered rating reflects our view of UHS’ mounting operational challenges, deterioration of its balance sheet metrics, and thin cash on hand,” said Aamna Shah, an S&P Global Ratings credit analyst. “We anticipate that UHS’ operating performance will remain constrained at least through fiscal 2018,” Ms. Shah added.

The outlook is stable.

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