NEW ORLEANS – LCMC Health recently announced affirmation by Standard & Poor’s of the System’s A+ credit rating to include a change in outlook from negative to stable. LCMC Health is the only not-for-profit system in the New Orleans Metro area and South Louisiana with an A+ Stable rating.
In the report released by Standard & Poor’s on February 25, 2021, it was stated that the rating reflects the healthcare system’s “very healthy operating performance in fiscal 2020 and strong response to COVID-19’s initial surge in New Orleans.”
“LCMC Health’s A+ Stable rating is the result of several factors – our focus on operational efficiency, our growing market share, and the strength of the system,” said Jenny Sarpalius, CFO, LCMC Health. “In today’s healthcare environment it is exceptional for a healthcare system to achieve such a rating and is a testament to our firm financial footing and continued commitment to providing the best healthcare to the communities we serve, especially during this past year as we dealt with a historic pandemic. It is our staff, physicians, and academic partners who make us A+.”
LCMC Health was formed in 2009 by the only freestanding children’s hospital in Louisiana. Today, the system includes Children’s Hospital New Orleans, East Jefferson General Hospital, New Orleans East Hospital, Touro, University Medical Center New Orleans, and West Jefferson Medical Center.
LCMC Health continues to strengthen its position in the healthcare market, including the recent acquisition of East Jefferson General Hospital. The system’s strong balance sheet, coupled with its moderate debt level, supports its investments in infrastructure, which in turn supports the full continuum of care. It also affirms LCMC Health’s position as an essential provider to the state of Louisiana through its academic partnership with University Medical Center, providing increased access to primary care, including a Level 1 Trauma Unit and Burn Center.
As a credit-rating agency (CRA), Standard and Poor’s issues credit ratings for the debt of public and private companies and other public borrowers such as governments and governmental entities. It is one of several CRAs that have been designated a nationally recognized statistical rating organization by the U.S. Securities and Exchange Commission.