PHOENIX - The Oregon Facilities Authority is preparing to issue $71.1 million of bonds for Providence Health & Services.

Standard & Poor's has assigned its AA-minus rating to the bonds, while Moody's Investors Service rates them at Aa3 and Fitch Ratings AA.

"The rating assignment reflects PH&S' solid financial and enterprise profile," said S&P credit analyst Martin Arrick. "Since our last review in July 2015, we have one additional month of data, which is fully consistent with the previous data we reviewed. Overall, income statement metrics and cash flow have improved significantly over the past year and six months, although the balance remains just adequate for the rating."

Bank of America Merrill Lynch is the underwriter on the deal, which will tentatively close in early October according to offering documents.

Chicago-based Ponder & Co. is the financial advisor, and Hillis Clark Martin & Peterson is bond counsel.

Providence is a Washington-based nonprofit that operates healthcare providers in Washington, Oregon, California, Alaska, and Montana.

The Washington Health Care Facilities Authority issued $356 million of bonds for Providence last month.

 

 

 

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