Moody's Investors Service has upgraded Overlake Medical Center, Wash.'s debt rating to A2 from A3.
The outlook is stable at the higher rating level.
Upgrade of the rating to A2 from A3, is attributable to multiple years of strong and consistent operating performance, that has led to material improvement in key leverage ratios.
The rating is further attributable to Overlake's solid market share in a demographically favorable area of Seattle, with low exposure to Medicaid, and a long term contract with Group Health that drives significant volume to the hospital. The rating is constrained by Overlake's moderate size and position as a single site hospital within a very competitive urban market.