The ratings on North Carolina Medical Care Commission's bonds, issued for Novant Health Inc., reflect: * The health system's strong regional market presence, * A diversified portfolio of health-related businesses, * Management's strategic initiatives to capitalize on growing markets, and * Strong finances in spite of recent soft operating performance during a period of merger and acquisition activity. This financing represents the permanent financing for the recent acquisition from Columbia/HCA of the remaining 50% interest in 156-bed Presbyterian-Orthopaedic Hospital in Charlotte, N.C. that Novant did not already own. Concerns about increased debt usage and the purchase price are tempered by expectations that Novant will realize corresponding strategic and financial benefits from the transaction. On July 1, 1997, Carolina Medicorp Inc.
