Moody's Investors Service said it has upgraded to A3 from Baa1, the rating assigned to Fletcher Allen Health Care, Vt.'s bonds.
The outlook is stable at the higher rating.
The upgrade to A3 is attributable to significant enterprise growth over the last three years, which combined with good operating performance, has contributed to material gains in operating cash flow, improved debt service coverage, and improved liquidity.
The upgrade incorporates the expectation of higher capital spending that will be partly supported by additional debt over the next several years.
The analysis is based on the parent company, Fletcher Allen Partners.
