Largest non-urban U.S. hospital provider Good position in small rural markets Diversified hospital portfolio Aggressive in acquisition activity Experiencing higher levels of bad debt, like peers Vulnerable to legislative and economic changes in key markets Subject to potential reduction in government reimbursement for services The rating on Brentwood, Tenn.-based Community Health Systems Inc. reflects the industry challenges that the company faces, particularly the uncertain future reimbursement it will receive from the government and other third-party payors. This uncertainty is somewhat mitigated by Community Health's diversified hospital portfolio. The company's total debt outstanding was $1.7 billion as of June 30, 2006. Community Health operates 76 hospitals in 22 states, primarily in small non-urban markets with stable or growing populations. The company
