Moody's Investors Service affirmed its "Aa3" rating on Atlanta-based Piedmont Healthcare's outstanding bonds after the health system completed its acquisition of Columbus (Ga.) Regional Health System and Clearview Regional Medical Center based in Monroe, Ga.
The affirmation is a result of several factors, including Piedmont's favorable financial performance, strong market position and increasing footprint. Moody's also acknowledged the health system's demonstrated ability to integrate hospitals into its system. Offsetting these credit strengths is the health system's increased leverage to fund its growth strategy and a major construction project.
The outlook is negative, reflecting the health system's rising leverage.