...Children's Hospital of Orange County's (CHOC) 'AA¡' rating is attributable to Children's HealthCare's (CHC) very strong financial profile assessment combined with the system's midrange revenue defensibility and strong operating risk profile assessments. CHC has a clear market share lead for children's acute care services in Orange County. The Stable Rating Outlook considers Fitch Ratings' expectation that CHC will sustain strong operating margins and maintain liquidity strength. Capital-related ratios are expected to remain strong, including through the cycle. The obligated group consists of CHOC, and the CHC parent is a "Guarantor Member." Collectively, CHOC and the CHC parent account for approximately 90% of consolidated CHC system fiscal 2018 assets and revenues. The analysis is based on the consolidated CHC system....
