Moody's Investors Service has affirmed the "A3" rating on Gainesville, Fla.-based Shands Teaching Hospital and Clinics' $670 million of outstanding rated bonds.
The rating affirmation is based on several factors, including Shands' improved operating performance in fiscal year 2015 and its role as the academic medical center for the Gainesville-based University of Florida College of Medicine.
The positive rating is offset by unfavorable leverage measures, a risky debt structure and modest balance sheet metrics.
The outlook is stable, reflecting Moody's expectation that stable financial performance and balance sheet metrics will continue in FY 2016.