articles Ratings /ratings/en/research/articles/211112-u-s-not-for-profit-health-care-rating-actions-october-2021-12187900 content esgSubNav
In This List
COMMENTS

U.S. Not-For-Profit Health Care Rating Actions, October 2021

COMMENTS

Outlook For Global Not-For-Profit Higher Education: Out Of The Woods, But Not Yet In The Clear

COMMENTS

Outlook For U.S. Municipal Utilities: Stable, With Expanding Operating Margins

COMMENTS

Amid Price Volatility, Cost Recovery And Risk Management Are Key To Rating Stability For U.S. Municipal Gas Utilities

COMMENTS

Outlook For U.S. Public Finance Housing: Strong Metrics Will Hold Up The Roof In 2022


U.S. Not-For-Profit Health Care Rating Actions, October 2021

S&P Global Ratings affirmed 22 ratings without revising the outlooks and took 13 rating actions in the U.S. not-for-profit health care sector in October 2021. One of the affirmed ratings also was removed from CreditWatch with negative implications. There were 21 new sales in October including a rating initially assigned to Vanderbilt University Medical Center, Tenn. The 13 rating and outlook actions were comprised of the following:

  • Three upgrades, including two stand-alone hospital and one health system;
  • Two unfavorable outlook revisions (to negative from stable); and
  • Eight favorable outlook revisions (seven to stable from negative and one to positive from stable).

The table below summarizes S&P Global Ratings' monthly bond rating actions for U.S. not-for-profit health care providers in October. We based the credit rating affirmations and rating actions on several factors within enterprise and financial profiles, including business position, utilization, financial performance, debt levels, bond-issuance activity, physician relationships, and the external regulatory and reimbursement environment. This also incorporates our stable sector view and our assessment of COVID-19, staffing pressures, economic developments, and market volatility.

October 2021 Not-For-Profit Health Care Ratings Actions
State Rating Outlook Action Description
Hospitals

Bayhealth Medical Center

DE AA- Stable New sale; rating maintained Credit quality consistent with existing rating

Billings Clinic

MT AA- Stable New sale; rating maintained Credit quality consistent with existing rating

Cabell Huntington Hospital

WV BBB+ Stable Rating maintained Credit quality consistent with existing rating

DCH Health System

AL A Negative New sale; rating maintained; outlook revised from stable Weak operating performance and potential weakening unrestricted reserves

Hendrick Health System

TX A Stable Rating maintained Credit quality consistent with existing rating

Lawrence General Hospital

MA B- Negative Rating maintained; rating removed from CreditWatch with negative implications Current year covenant compliance and reduced loss

Meritus Health

MD BBB+ Positive Rating raised from 'BBB'; previous outlook stable Improved financial performance and balance sheet

Montage Health

CA AA- Stable New sale; rating maintained Credit quality consistent with existing rating

Morris Hospital

IL BBB+ Stable Rating maintained; outlook revised from negative Improved financial performance and balance sheet

Nebraska Medicine

NE AA- Stable Rating maintained; outlook revised from negative Healthy performance and stable unrestricted reserves

Nicklaus Children's Hospital

FL A Stable New sale; rating maintained; outlook revised from negative Healthy unrestricted reserves and reduced operating losses

St. Peter's University Hospital

NJ BBB- Positive Rating raised from 'BB+'; previous outlook positive Improved financial performance and balance sheet

San Antonio Regional Hospital

CA BBB Positive Rating maintained; outlook revised from stable Growing unrestricted reserves and strengthening balance sheet

Spartanburg Regional Health Services District

SC A Stable New sale; rating maintained Credit quality consistent with existing rating

University of Chicago Medical Center

IL AA- Stable Rating maintained; outlook revised from negative Improved financial profile

University of Wisconsin Hospital & Clinics Authority

WI AA- Stable New sale; rating maintained Credit quality consistent with existing rating
Health systems

AdventHealth

FL AA Stable New sale; rating maintained Credit quality consistent with existing rating

Adventist Health System/West

CA A Negative Rating maintained; outlook revised from stable Multi-year trend of negative operating performance

Allina Health

MN AA- Stable New sale; rating maintained; outlook revised from negative Operational improvement and strengthening balance sheet

Aspirus

WI AA- Negative New sale; rating maintained Credit quality consistent with existing rating

Banner Health

AZ AA- Stable New sale; rating maintained Credit quality consistent with existing rating

Beth Israel Lahey Health

MA A Stable New sale; rating maintained Credit quality consistent with existing rating

Carilion Clinic

VA AA- Stable New sale; rating maintained Credit quality consistent with existing rating

Covenant Health, Inc.

MA BBB- Stable New sale; rating maintained; outlook revised from negative Operational improvement and strengthening balance sheet

INTEGRIS Health

OK A Stable Rating maintained Credit quality consistent with existing rating

OhioHealth

OH AA+ Stable New sale; rating maintained Credit quality consistent with existing rating

Penn State Health

PA A+ Stable New sale; rating maintained; outlook revised from negative Financial performance and strong volume recovery

Sanford Health

SD A+ Stable New sale; rating maintained Credit quality consistent with existing rating

Sentara Healthcare

VA AA Stable New sale; rating maintained Credit quality consistent with existing rating

South Broward Hospital District

FL AA Stable New sale; rating maintained Credit quality consistent with existing rating

Sparrow Health System

MI A Negative New sale; rating maintained Credit quality consistent with existing rating

St. Francis Health System

OK AA+ Stable Rating maintained Credit quality consistent with existing rating

St. Luke's Health System

ID A Stable Rating raised from 'A-'; previouse outlook stable Operational improvement and strengthening balance sheet

Valley Health System

VA A+ Stable Rating maintained Credit quality consistent with existing rating

Vanderbilt University Medical Center

TN A Stable New sale; rating initially assigned Rating initially assigned
Long term care and human service providers

Loomis Communities

MA BBB Stable Rating maintained Credit quality consistent with existing rating

This report does not constitute a rating action.

Primary Credit Analyst:Alexander Nolan, Centennial + 1 (303) 721 4501;
alexander.nolan@spglobal.com
Secondary Contacts:Cynthia S Keller, Augusta + 1 (212) 438 2035;
cynthia.keller@spglobal.com
Suzie R Desai, Chicago + 1 (312) 233 7046;
suzie.desai@spglobal.com

No content (including ratings, credit-related analyses and data, valuations, model, software or other application or output therefrom) or any part thereof (Content) may be modified, reverse engineered, reproduced or distributed in any form by any means, or stored in a database or retrieval system, without the prior written permission of Standard & Poor’s Financial Services LLC or its affiliates (collectively, S&P). The Content shall not be used for any unlawful or unauthorized purposes. S&P and any third-party providers, as well as their directors, officers, shareholders, employees or agents (collectively S&P Parties) do not guarantee the accuracy, completeness, timeliness or availability of the Content. S&P Parties are not responsible for any errors or omissions (negligent or otherwise), regardless of the cause, for the results obtained from the use of the Content, or for the security or maintenance of any data input by the user. The Content is provided on an “as is” basis. S&P PARTIES DISCLAIM ANY AND ALL EXPRESS OR IMPLIED WARRANTIES, INCLUDING, BUT NOT LIMITED TO, ANY WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE, FREEDOM FROM BUGS, SOFTWARE ERRORS OR DEFECTS, THAT THE CONTENT’S FUNCTIONING WILL BE UNINTERRUPTED OR THAT THE CONTENT WILL OPERATE WITH ANY SOFTWARE OR HARDWARE CONFIGURATION. In no event shall S&P Parties be liable to any party for any direct, indirect, incidental, exemplary, compensatory, punitive, special or consequential damages, costs, expenses, legal fees, or losses (including, without limitation, lost income or lost profits and opportunity costs or losses caused by negligence) in connection with any use of the Content even if advised of the possibility of such damages.

Credit-related and other analyses, including ratings, and statements in the Content are statements of opinion as of the date they are expressed and not statements of fact. S&P’s opinions, analyses and rating acknowledgment decisions (described below) are not recommendations to purchase, hold, or sell any securities or to make any investment decisions, and do not address the suitability of any security. S&P assumes no obligation to update the Content following publication in any form or format. The Content should not be relied on and is not a substitute for the skill, judgment and experience of the user, its management, employees, advisors and/or clients when making investment and other business decisions. S&P does not act as a fiduciary or an investment advisor except where registered as such. While S&P has obtained information from sources it believes to be reliable, S&P does not perform an audit and undertakes no duty of due diligence or independent verification of any information it receives. Rating-related publications may be published for a variety of reasons that are not necessarily dependent on action by rating committees, including, but not limited to, the publication of a periodic update on a credit rating and related analyses.

To the extent that regulatory authorities allow a rating agency to acknowledge in one jurisdiction a rating issued in another jurisdiction for certain regulatory purposes, S&P reserves the right to assign, withdraw or suspend such acknowledgment at any time and in its sole discretion. S&P Parties disclaim any duty whatsoever arising out of the assignment, withdrawal or suspension of an acknowledgment as well as any liability for any damage alleged to have been suffered on account thereof.

S&P keeps certain activities of its business units separate from each other in order to preserve the independence and objectivity of their respective activities. As a result, certain business units of S&P may have information that is not available to other S&P business units. S&P has established policies and procedures to maintain the confidentiality of certain non-public information received in connection with each analytical process.

S&P may receive compensation for its ratings and certain analyses, normally from issuers or underwriters of securities or from obligors. S&P reserves the right to disseminate its opinions and analyses. S&P's public ratings and analyses are made available on its Web sites, www.standardandpoors.com (free of charge), and www.ratingsdirect.com and www.globalcreditportal.com (subscription), and may be distributed through other means, including via S&P publications and third-party redistributors. Additional information about our ratings fees is available at www.standardandpoors.com/usratingsfees.

Any Passwords/user IDs issued by S&P to users are single user-dedicated and may ONLY be used by the individual to whom they have been assigned. No sharing of passwords/user IDs and no simultaneous access via the same password/user ID is permitted. To reprint, translate, or use the data or information other than as provided herein, contact S&P Global Ratings, Client Services, 55 Water Street, New York, NY 10041; (1) 212-438-7280 or by e-mail to: research_request@spglobal.com.


Register with S&P Global Ratings

Register now to access exclusive content, events, tools, and more.

Go Back