Standard&Poor's Ratings Services affirmed its 'BBB' underlying rating (SPUR) on Northern Hospital District of Surry County, N.C.'s $27.7 million series 1999 and 2001 bonds. The rating reflects: General improvement in financial position over the past four years with increasing profitability, liquidity, and debt service coverage, which could warrant a higher rating except that the district has significant future financing plans; Excellent growth in volume as management continues to recruit physicians and add services to reduce outmigration, although the hospital remains rather small with just 5,000 annual admissions; and Solid market position as the district is the only hospital within a 20-mile radius serving a growing population. Northern Hospital District of Surry County operates 100 acute-care and 33 skilled-nursing
