Moody's affirms South Jersey Hospital System's 'A2' rating

Moody's Investors Service has affirmed the long-term "A2" bond rating assigned to South Jersey Hospital System's $142.8 million of outstanding bonds issued by the New Jersey Health Care Facilities Financing Authority.

SJA, which does business as Inspira Medical Centers, consists of two acute care hospitals: 276-bed Inspira Medical Center Vinelan (N.J.) and 96-bed Inspira Medical Center Elmer (N.J). Inspira also includes two health centers, an employed physician group, a home care and hospice corporation, and Inspira Medical Center Woodbury (N.J). 

The affirmation of the rating was based on Inspira's growing market share in three counties in southern New Jersey, its good historical financial performance and strong unrestricted liquidity position.

Inspira has a 76 percent market share in its primary service area and over 40 percent market share in the total service area. In addition, Inspira expanded its market reach with the addition of Inspira Medical Center Woodbury in 2012.

The health system also faces some challenges, such as the high unemployment rate in its service area, where in parts, unemployment rates have been over 10 percent for the last five years.

More articles on hospital credit ratings:

Moody's affirms Parkview Medical Center's 'A3' rating, outlook stable 
Moody's assigns 'A1' rating to Greenville Health System
Moody's affirms Saint Mary's Hospital's 'Ba2' rating 

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