The unfavorable outlook reflects S&Ps expectation that Tower Health will continue to see operating losses in fiscal year 2021..
Alia Paavola –
Monday, November 2nd, 2020
S&P Global Ratings lowered West Reading, Pa.-based Tower Healths long-lasting score 3 notches due to its deteriorating finances in 2020..
S&P said that Tower Healths losses were a result of operating concerns that were intensified by the pandemic..
The credit ranking firm reduced its long-lasting score to “BB+” from “BBB+.” The score outlook remains negative. The downgrade impacts about $1.3 billion of long-lasting financial obligation..
More articles on healthcare finance: New Hampshire health system applies for bankruptcy6 current contributions to healthcare facilities, health systemsCHS records $112M profit, states it will sell 4 more medical facilities by year-end.
© Copyright ASC COMMUNICATIONS 2020. Intrigued in LINKING to or REPRINTING this content? View our policies by click on this link.
Tower Health likewise said in an Oct. 28 disclosure form that it prepares to engage a restructuring consultant in early November..
” The three-notch downgrade shows the substantial deterioration in Tower Healths financial profile in the ended June 30, 2020, consisting of a severe loss from operations and unfavorable money circulation resulting in inadequate financial obligation service protection ratios,” stated S&P Global Ratings credit analyst Kenneth Gacka.
The rating outlook stays unfavorable. © Copyright ASC COMMUNICATIONS 2020. Interested in LINKING to or REPRINTING this material?