The rating on New Jersey Health Care Facilities Finance Authority's bonds, issued for JFK Health System, reflects: Revenue diversity, Anticipated benefits from merger with a competitor, and Good finances. The rating also reflects reduced profitability and expectations of financial support outside the system. JFK's business lines include acute-care, rehabilitation, and long-term care. Not only does this insulate JFK from sector-specific reimbursement pressures, but it also demonstrates the system's well-developed, integrated delivery system. The bonds are secured by a gross revenue pledge of the obligated group. JFK Health System recently merged with the parent of Muhlenberg Regional Medical Center, a competing secondary service area hospital, to form Solaris Health System. Although JFK and Muhlenberg's parent corporations have merged, the credits will
