NEW YORK (Standard&Poor's CreditWire) Aug. 18, 1999--Standard&Poor's today lowered its rating on Northern Hospital District of Surry County, N.C's $14.51 million revenue bonds to triple-'B'-minus from triple-'B'. The downgrade is based on the hospital increased leverage to $31 million from $14 million, and subsequent reduction in coverage. Other factors include: -- Competition from large tertiary providers located about 40 miles away in Winston-Salem, -- Small complement of active physicians, and -- Reimbursement pressures from governmental agencies. These credit concerns are tempered by the hospital's: -- Strong market position as the leading provider in Surry County, -- Growing patient volumes, and -- Profitable operations with sufficient liquidity to offset near-term risks associated with the project. The 1999
