Moody’s Investors Service upgraded to A2 from A3 the long-term bond rating assigned to Florida-based Lee Memorial Health System’s $438 million of outstanding rated debt.
The outlook is revised to stable from positive.
The upgrade reflects two years of significant improvement to operating profitability, driven in part by strong growth in volume trends, following more challenging performance immediately after the acquisition of the two HCA facilities in 2007.
These attributes are offset by an above average debt position and lagging economy in Ft. Myers, Fla., one of the hardest hit areas by the housing crisis and recession.