Summary: Huron Regional Medical Center, South Dakota; Hospital

S&P Global Ratings affirmed its 'A-' issuer credit rating (ICR) on Huron Regional Medical Center (Huron), S.D. The ICR applies to Huron's general creditworthiness and is not specific to any bond issue. The outlook is stable. The rating reflects our expectation that Huron's robust unrestricted reserves will provide sufficient cushion in the case of weaker operations through 2020 as a result of physician departures; however, sustained weaker financial performance could result in a lower rating. In the last few months, Huron has lost three physicians for independent reasons, out of a base of 12 total physicians. While the 2020 budget accounts for these departures and is calling for operating performance slightly better than break even, the loss of these physicians

...S&P Global Ratings affirmed its 'A-' issuer credit rating (ICR) on Huron Regional Medical Center (Huron), S.D. The ICR applies to Huron's general creditworthiness and is not specific to any bond issue. The outlook is stable. The rating reflects our expectation that Huron's robust unrestricted reserves will provide sufficient cushion in the case of weaker operations through 2020 as a result of physician departures; however, sustained weaker financial performance could result in a lower rating. In the last few months, Huron has lost three physicians for independent reasons, out of a base of 12 total physicians. While the 2020 budget accounts for these departures and is calling for operating performance slightly better than break even, the loss of these physicians has the potential to affect Huron more heavily than currently projected. Management has brought in locum physicians to cover for the loss of the pediatrician, the internal medicine physician, and the general surgeon; however, these...

Summary