Fitch Ratings affirms the 'A' underlying rating on approximately $116 million of Missouri Health & Educational Facilities Authority's health facilities revenue bonds (St. Luke's Episcopal-Presbyterian Hospitals), series 2001 and 2006. The Rating Outlook is Stable.
The affirmation of the 'A' rating is supported by St. Luke's Episcopal-Presbyterian Hospitals' (St. Luke's) solid debt service coverage, strong historical operating profitability, excellent clinical quality indicators, and strong market presence in a favorable service area. St. Luke's maximum annual debt service (MADS) coverage by earnings before interest, taxes, depreciation, and amortization (EBITDA) has been solid at 4.9 times (x) in both fiscal 2007 and 2006, which exceeds Fitch's 'A' rating medians of 4.0x.
