Fitch: U.S. NFP Children's Hospital Medians Exceed General Acute Care Medians

NEW YORK--(BUSINESS WIRE)-- Standalone children's hospitals are unique within the larger U.S. hospital and healthcare system from a financial, operational, societal and political perspective, according to Fitch Ratings in a new report.

The average Fitch rating for standalone children's hospitals is 'AA-', which is higher than the average 'A-' throughout Fitch's general hospital and health system universe. The higher average rating reflects children's hospitals' robust liquidity, unique market positions, strong philanthropic support, and specialized clinical services.

In a newly released special report, Fitch generated median ratios exclusive to stand alone children's hospitals for 2009, 2010 and 2011. Compared to Fitch's 2011 hospital and health care medians, median ratios for children's hospitals reflect strong liquidity, improved operating profitability and robust capital spending. High exposure to Medicaid payors is a primary credit concern. This makes children's hospitals highly sensitive to budget cuts at the state and federal level. However, children's hospitals have typically been protected against funding reductions and/ or reimbursement cuts under the Medicaid program.

'Median Ratios for Not for Profit Children's Hospitals,' is available at 'www.fitchratings.com' or by clicking on the above link

Additional information is available at 'www.fitchratings.com'.

Applicable Criteria and Related Research:

--'2012 Outlook: Nonprofit Hospitals and Healthcare Systems Outlooks (Dec. 15, 2011);

--'2011 Median Ratios for Nonprofit Hospitals and Healthcare Systems (Aug. 25, 2011);

--'Nonprofit Hospitals and Health Systems Rating Criteria (Aug. 12, 2011);

--'Revenue-Supported Rating Criteria (Jun 20, 2011

--'Enhanced Accountability and Financial Performance' (May 17, 2011).

Applicable Criteria and Related Research: Median Ratios for Not-for-Profit Children's Hospitals

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=678540

2012 Outlook: Nonprofit Hospitals and Healthcare Systems

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=659704

2011 Outlook: Nonprofit Hospitals and Healthcare Systems

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=599605

Nonprofit Hospitals and Health Systems Rating Criteria

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=648836

Revenue-Supported Rating Criteria

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=637130

Enhanced Accountability and Financial Performance

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=626889

ALL FITCH CREDIT RATINGS ARE SUBJECT TO CERTAIN LIMITATIONS AND DISCLAIMERS. PLEASE READ THESE LIMITATIONS AND DISCLAIMERS BY FOLLOWING THIS LINK: HTTP://FITCHRATINGS.COM/UNDERSTANDINGCREDITRATINGS. IN ADDITION, RATING DEFINITIONS AND THE TERMS OF USE OF SUCH RATINGS ARE AVAILABLE ON THE AGENCY'S PUBLIC WEBSITE 'WWW.FITCHRATINGS.COM'. PUBLISHED RATINGS, CRITERIA AND METHODOLOGIES ARE AVAILABLE FROM THIS SITE AT ALL TIMES. FITCH'S CODE OF CONDUCT, CONFIDENTIALITY, CONFLICTS OF INTEREST, AFFILIATE FIREWALL, COMPLIANCE AND OTHER RELEVANT POLICIES AND PROCEDURES ARE ALSO AVAILABLE FROM THE 'CODE OF CONDUCT' SECTION OF THIS SITE.



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Fitch Ratings
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Director
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Fitch, Inc., One State Street Plaza, New York, NY 10004
or
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Director
+1-312-368-3180
or
Jim LeBuhn
Senior Director
+1-312-368-2059
or
Media Relations:
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[email protected]

KEYWORDS:   United States  North America  New York

INDUSTRY KEYWORDS:   Health  Hospitals

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