The rating on Connecticut Health and Educational Facilities Authority's bonds, issued for Hospital for Special Care, reflects: Weakened operating performance in the nine-month interim period, A vulnerable payor mix, and A high debt burden. Factors supporting the rating include: Market niche as a unique chronic disease and intensive rehabilitation services hospital, Stable admissions, and Adequate but declining liquidity. The bonds are secured by a gross revenue pledge of the Center for Special Care (CSC, the "obligated group"), which consists of the 200-bed hospital and 284-bed Brittany Farms Health Center (a nursing home). The obligated group's nine-month interim statements for fiscal 2000 indicate some operating pressure, with operating and excess margins of negative 2.1% (negative $1.2 million) and negative 1.0% (negative
