Moody's Investors Service assigned an "A2" rating to Jackson, Tenn.-based Jackson-Madison County General Hospital's proposed revenue bonds, affecting $265.7 million of debt.
The "A2" rating reflects the leading market position of Jackson-based West Tennessee Healthcare, which owns the hospital. Moody's believes the health system's market position will continue to improve with the recent acquisition of three competing hospitals in the service area.
Moody's acknowledges that while competition in the primary service area has been reduced, larger health systems in Memphis and Nashville will continue to draw tertiary patients until West Tennessee Healthcare can execute the efficiencies outlined with the acquisitions.
The rating outlook has been revised to stable from negative.