Fitch Ratings downgraded the rating on Dallas County Hospital District to "A+" from "AA," affecting approximately $718.5 million of debt. The district does business as Parkland Health & Hospital System.
The downgrade is a result of several factors, including Parkland's weak net leverage profile, unfavorable payer mix and limited cost flexibility. Fitch also acknowledged Parkland's $1 billion tax margin to support operations, strong service area with population growth and moderate capital needs.
The outlook is stable at the lower rating.