Moody's Investors Service assigned an "A2" rating to Cincinnati-based Mercy Health's proposed taxable bond and also affirmed its "A2" and "A2/VMIG 1" ratings on the system's outstanding bonds.
The ratings reflect the strength of Mercy Health's $8 billion enterprise, which spans multiple states. Moody's expects the health system's corporate cost reduction initiatives and combination synergies to continue driving strong margins.
The rating outlook was revised from stable to positive.