We may all remember when we were students, to some of us, the difference between getting an A or an A+ was a pretty big deal. For Dartmouth-Hitchcock Medical Center, in regards to their credit rating, the same applies. The hospital received notice recently that their credit rating had been downgraded by the Standard and Poor’s Rating Services, which is a financial watchdog company part of McGraw Hill financial.
The Valley News reports that the grade was lowered from an A+ to an A, as the balance sheet metrics were not up to the watchdog company’s expectations, due in part to underwhelming financial performances in the past year. However, the rating service says that the grade isn’t likely to keep declining, provided the hospital doesn’t deepen its half-billion dollar debt or cut into its reserves.
The paper reports that S&P’s rating change does not reflect an actual change in their view of the hospital, which remains a strong pillar in its respective region. A second credit rating firm, Fitch Ratings, still maintains an A+ rating for DHMC.