A number of health systems saw their debt levels detailed as various ratings agencies assessed their credit ratings in June. Here is a summary of some of those systems' debt levels.
1. Escondido, Calif.-based Palomar Health, the state's largest publicly owned health system, had its outlook relegated to negative from stable given "elevated risks" regarding meeting financial obligations, Moody's said June 13.
Bond ratings on approximately $709 million of outstanding debt were affirmed at a "Baa3" level.
2. Indianapolis-based IU Health has outstanding debt of $2.2 billion after taking out new bonds worth $725 million, Moody's said. The 16-hospital system has an "Aa2" rating on its credit.
3. Yale New Haven (Conn.) Health was reported as having $2.1 billion of debt June 28 when Fitch downgraded some of its bonds.
The "A+" rating does not reflect the possible acquisition of three Prospect Medical Holdings hospitals by Yale New Haven, Fitch said.
4. Butler (Pa.) Health had $124 million of outstanding long-term debt as of March 31, Fitch said when reporting a multi-notch downgrade for the system June 26.
Butler Health and Greensburg, Pa.-based Excela Health joined forces Jan. 1 to form Independence Health System.
5. Philadelphia-based Thomas Jefferson University had long-term debt totaling $3.4 billion when S&P Global reported a negative outlook revision for the system June 9.
The system, which operates 18 hospitals, competes with large health systems such as Penn Medicine and Temple University Health, both also based in Philadelphia, and Livonia, Mich.-based Trinity Health, among others. Management is predicting an $80 million operating loss for fiscal 2023.
6. Tallahassee Memorial Healthcare had approximately $359 million of debt when Moody's affirmed its credit rating June 20.
The "Baa1" rating came even as the system endured a hit to its operations following a February cyberattack.
7. Portland-based Oregon Health & Science University has approximately $1.3 billion in long-term debt, according to a June 22 S&P Global report.
The two-hospital system had operating revenue of $3.3 billion for the nine months ending March 31, S&P said in the report.
8. UNC Southeastern, part of Chapel Hill, N.C.-based UNC Health, revealed $149 million of long-term debt when S&P Global reported a downgrade June 23.
The system was downgraded to "BB" amid operating losses and sustained balance sheet weakness, S&P said.