Fitch Ratings has downgraded the rating to AA-minus from AA on the St. Petersburg Health Facilities Authority, Fla., $63.6 million, series 2009A bonds issued on behalf of All Children's Hospital (ACH).
ACH's previously outstanding series 2007B and 2002 bonds have been redeemed as of Oct. 31, 2014.
The bonds are removed from rating watch negative, and the rating outlook is stable.
The bonds are secured by a revenue pledge of the Johns Hopkins Health System (JHHS) obligated group (OG).
ACH became part of Johns Hopkins Health System's obligated group (rated AA-minus; outlook stable) as of Nov. 1, 2014, and the rating on the bonds reflects the closing of this transaction.
Fitch expects JHHS to maintain performance consistent with historical levels and in line with current fiscal 2014 (June 30, 2014; audited), which generated a 3.7% operating margin and 9.6% operating EBITDA margin.
