SAN FRANCISCO--(BUSINESS WIRE)--Fitch Ratings has placed the following bonds, currently rated 'A' by Fitch, issued by the Connecticut Health and Educational Facilities Authority on behalf of Bridgeport Hospital (BH) on Rating Watch Positive:
--$34.3 million, series D.
SECURITY
The bonds are secured by a pledge of gross revenues.
KEY RATING DRIVERS
RATING WATCH POSITIVE: Fitch has placed BH's series D bonds on Rating Watch Positive due to the pending transaction between Yale New Haven Health System (YNHH, rated 'AA-'; Outlook Stable) and BH. Upon closing of the transaction, it is expected that BH will become a member of YNHHS' obligated group, which Fitch views positively. Fitch expects the transaction to finalize sometime in June 2014 concurrent with the closing of YNHH's series 2014 financing.
RATING SENSITIVITIES
COMPLETION OF PENDING TRANSACTION: Resolution of the rating watch will be tied to the completion of the pending transaction, which management has indicated would result in the series D bonds becoming an obligation of the YNHH obligated group, which will include BH.
CREDIT PROFILE
Located in Bridgeport, CT, BH has 383 licensed beds with an additional 42 licensed beds under Yale New Haven Children's Hospital license. The organization has an active medical/dental staff of 602 and employs approximately 2,500 other professional, administrative, and support personnel. Total revenue in fiscal 2013 (Sept. 30 year end) was $445 million. BH covenants to disclose annual audited financial statements and quarterly information to the MSRB's EMMA system.
For more information please see Fitch's press releases: 'Fitch Rates Bridgeport Hospital's (CT) Revs 'A'; Outlook Stable', dated May 3, 2012 and 'Fitch Rates Yale New Haven Health (CT) Revs 'AA-'; Outlook Stable', dated May 13, 2014.
Additional information is available at 'www.fitchratings.com'.
Applicable Criteria and Related Research:
--'Nonprofit Hospitals and Health Systems Rating Criteria' (May 20, 2013).
For information on Build America Bonds, visit 'www.fitchratings.com/BABs'.
Applicable Criteria and Related Research:
U.S. Nonprofit Hospitals and Health Systems Rating Criteria
http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=708361
Additional Disclosure
Solicitation Status
http://www.fitchratings.com/gws/en/disclosure/solicitation?pr_id=832012
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. FITCH MAY HAVE PROVIDED ANOTHER PERMISSIBLE SERVICE TO THE RATED ENTITY OR ITS RELATED THIRD PARTIES. DETAILS OF THIS SERVICE FOR RATINGS FOR WHICH THE LEAD ANALYST IS BASED IN AN EU-REGISTERED ENTITY CAN BE FOUND ON THE ENTITY SUMMARY PAGE FOR THIS ISSUER ON THE FITCH WEBSITE.