Moody's Investors Service has affirmed an "A2" bond rating for Chambersburg, Pa.-based Summit Health.
The rating affirmation takes into account Summit's leading market position, track record of strong financial performance (5.4 percent operating margin and 10.8 percent operating cash-flow margin in fiscal year 2013), modest debt load and strong balance sheet metrics. However, Summit does face some challenges, including continuing pressure on inpatient admissions, which dropped by 4 percent in FY 2013.
Still, Moody's has affirmed a stable outlook for the system, expecting Summit to maintain adequate operating margins and liquidity.
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