S&P Global Ratings assigned a "BBB-" long-term rating to Fairfield, Calif.-based NorthBay Healthcare System's $188.2 million of series 2017A bonds.
"The rating reflects our view of NorthBay's steady market share but generally modest overall market position in a service area that we consider highly competitive, as well as its weaker, although still healthy, operating margins in fiscal 2015 and fiscal 2016 to date, and a significantly attenuated pro forma balance sheet that we expect will improve over time," said S&P analyst Allison Bretz.
The outlook is stable.