S&P: Pensions Still Burden Non-Profit Hospitals

Pension funding will continue to be a "drag" on non-profit hospitals for several years, according to Standard & Poor's Ratings Services report.

Ballooning pension obligations, especially in public hospitals, have captured ever-growing portions of health system budgets and will crowd out money needed for capital projects and other investments, according to S&P.

The agency also predicts other pressures on revenue streams from health reform funding changes and increasing exposure to Medicare and Medicaid patients will continue to add financial stress on non-profit hospitals.

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