Penn Highlands Healthcare, PA Hospital Revenue Bond Ratings Placed On CreditWatch Negative On Weak Reserves, Operations

ENGLEWOOD (S&P Global Ratings) April 15, 2024--S&P Global Ratings placed its 'A-' long-term rating on the DuBois Hospital Authority, Pa.'s series 2021, 2020, and 2018 hospital revenue bonds, issued for Penn Highlands Healthcare (PHH), on CreditWatch with negative implications. "The CreditWatch placement reflects there is at least a one-in-two likelihood of a negative rating action, possibly by multiple notches, given continually weakening unrestricted reserves and ongoing negative operating performance through the six-month interim period ended Dec. 31, 2023," said S&P Global Ratings credit analyst Blake Fundingsland. In addition, the June 30, 2023, audited financial statements have been delayed primarily due to a change in auditing firm and remain pending. Securing the bonds is a pledge of gross revenue from the

...April 15, 2024 ENGLEWOOD (S&P Global Ratings) April 15, 2024--S&P Global Ratings placed its 'A-' long-term rating on the DuBois Hospital Authority, Pa.'s series 2021, 2020, and 2018 hospital revenue bonds, issued for Penn Highlands Healthcare (PHH), on CreditWatch with negative implications. "The CreditWatch placement reflects there is at least a one-in-two likelihood of a negative rating action, possibly by multiple notches, given continually weakening unrestricted reserves and ongoing negative operating performance through the six-month interim period ended Dec. 31, 2023," said S&P Global Ratings credit analyst Blake Fundingsland. In addition, the June 30, 2023, audited financial statements have been delayed primarily due to a change in auditing firm and remain pending. Securing the bonds is a pledge of gross revenue from the obligated group, which encompasses most of PHH's revenues and assets....

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