Phoebe Retains Outstanding Credit Ratings
Friday, February 9th, 2018
Two of the top global bond rating agencies have affirmed Phoebe’s strong financial foundation and positive outlook. Moody’s Investors Service reaffirmed the hospital’s A1 status on bonds issued through the Hospital Authority of Albany-Dougherty County. S&P Global Ratings also recently reaffirmed its A+ long-term rating with a stable outlook for Phoebe. The analyses from both organizations incorporate the financial performance of the entire Phoebe Putney Health System.
“These excellent ratings come during very challenging and uncertain times in the healthcare industry,” said Brian Church, Phoebe Senior Vice President/Chief Financial Officer. “While a greater number of similar community safety net hospitals are seeing downgraded bond ratings in an environment of multiple federal spending cuts and unclear future federal healthcare policies, Phoebe’s excellent bond rating from each global rating agency speaks to the financial strength Phoebe maintains.”
According to Moody’s, the A1 status reflects expectations that Phoebe will continue to report favorable cash flow trends into fiscal year 2018 and 2019. S&P’s report said, “In our view, the ‘A+’ final rating on the bonds better reflects Phoebe’s excellent market share and consistently positive operating trend, which we expect will continue as management consolidates services and contains expenses.”
Church added, “These ratings affirm our commitment to sound financial management of our resources as we continue to invest in the Phoebe family, quality care, world-class technology and expanded services to meet the evolving healthcare needs of the people of southwest Georgia while finding new ways to lower costs and create increased value for our patients who allow us to serve them.”.
The ratings from Moody’s and S&P Global are positive indicators on more than just financial health or cost of borrowing. They also have direct bearing on the cost of providing healthcare to the communities Phoebe serves. As a not-for-profit community health system, Phoebe strives to remain good stewards of our resources ensuring our ability to meet present and future healthcare needs.