Bond Ratings and Disclosures
UPMC’s close attention to quality and costs has yielded tangible returns in the financial markets, as reflected in its credit ratings from all three major rating agencies: Moody’s Investors Service, Fitch Ratings, and Standard & Poor’s (S&P).
On September 6, 2017, Moody’s investors Service revised its “Aa3” long-term rating on UPMC’s bonds to A1. The rating outlooks remains Negative. The A1 incorporates UPMC's accelerated expansion and execution risk following the September 1, 2017 affiliation with Pinnacle Health System in Harrisburg, PA.
The A1 rating acknowledges UPMC’s strong position as a sizeable integrated healthcare delivery system with distinctly leading and growing market share in western Pennsylvania, and the system’s demonstrated core competency in acute care facility management and integration of various hospital acquisitions.
On September 14, 2016, UPMC received an affirmation of its "AA-" long-term credit rating from Fitch Ratings. The rating outlook remains Stable.
The key rating drivers are UPMC’s integrated delivery model with an aligned physician base, large health plan, and extensive delivery network; its successful strategy in a stabilizing competitive landscape, and its dominant market share in western Pennsylvania.
Standard & Poor’s
On September 12, 2016, S&P Global Ratings revised its outlook to Stable from Negative and affirmed its “A+” long-term credit rating for UPMC.
The rating reflects S & P’s view of UPMC’s market share dominance and strong revenue diversity in western Pennsylvania, including a health insurance business line; its extremely strong enterprise profile and stable balance sheet; and its position as the major teaching hospital for the schools of the health sciences at the “AA+” rated University of Pittsburgh.