Standard & Poor’s has revised its outlook to stable from negative on the BBB-plus rated CGH Medical Center, citing improved operating performance. The debt was sold through the former Illinois Educational Facilities Authority.
“The outlook revision reflects our view of CGH’s improved operating performance in fiscals 2009 and 2010 and its strong business position,” said analyst Antionette Maxwell. “Maintenance of the current rating level will largely depend on improved operating margins and incremental growth in cash reserves.”
The hospital could see an upgrade if it rebuilds its liquidity and demonstrates further improved performance going forward.
CGH is a 99-bed facility located 120 miles west of Chicago in Sterling. It is the only provider of acute-care services in its primary service area.