Standard & Poor’s last week downgraded MetroHealth System to BBB-plus from A-minus due to weak operating results. The action affects $28.8 million of variable-rate bonds issued in 2003 through Cuyahoga County. The bonds carry a letter of credit but Standard & Poor’s does not rate it.
MetroHealth is the safety-net hospital for the county and its charity care rose by $30 million in 2007. Analysts said the system reported weaker financial operating results for fiscal 2007 along with slightly weaker liquidity, which had always been below average.