Boston Medical Stabilizes

Standard & Poor’s revised its outlook to stable from negative and affirmed its BBB-plus ratings on the Massachusetts Development Finance Agency’s Series 2008 and 1998 bonds issued for the Boston Medical Center.

The rating agency, ending two years of a negative outlook, cited Boston Medical’s strong 2001 fiscal performance and greater certainty of supplemental revenue sources through fiscal 2014.

“However, we recognize that the medical center alone continues to lose money from operations, with the system’s overall profit in fiscal 2011 largely derived from its health plan,” S&P said in a report.

Boston Medical evolved from a 1996 merger, forming a system that included Boston City Hospital, Boston Specialty and Rehabilitation Hospital, and Boston University Medical Center Hospital.

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Healthcare industry Massachusetts
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