The rating on New Jersey Health Care Facilities Finance Authority's bonds, issued on behalf of JFK Health System, reflects revenue diversity, anticipated benefits from merger with a competitor, and good finances. The outstanding rating is lowered as a result of reduced profitability and expectations of financial support outside the system. JFK's business lines include acute care, rehabilitation, and long-term care, with each component contributing 68%, 19%, and 13% of 1997 revenues, respectively. Not only does this insulate JFK from sector-specific reimbursement pressures, but it also demonstrates JFK's well-developed, integrated delivery system. JFK Health Systems recently merged with the parent of Muhlenberg Regional Medical Center, a competing secondary service area hospital, to form Solaris Health System. Anticipated benefits from the merger
