Moody's Investors Service assigned its "A2" rating to Minneapolis-based Fairview Health Services proposed $197 million series 2017A revenue bonds to be issued through the Housing and Redevelopment Authority of the City of St. Paul, Minn. The bonds will be fixed rate and will mature in 2047.
Additionally, Moody's affirmed the "A2" rating on Fairview Health's $863 million of outstanding debt.
The assignment is a result of several factors, including Fairview's solid market position, stable leadership, strong financial management, improved balance sheet measures and affiliation with the University of Minnesota.
The outlook is stable, reflecting Moody's expectation that the health system's finances will stabilize in fiscal year 2017.