Moody’s Affirms Top Ratings on UNC Hospitals, Rex Healthcare Bonds
Debt Reports Reflect Sister Hospitals' Financial Strength, Stability
FOR IMMEDIATE RELEASE
January 25, 2012
Rex Healthcare Contact: Alan M. Wolf
UNC Health Care Contact: Jennifer James
RALEIGH, N.C. - Moody's Investors Services has affirmed the strong ratings assigned to the bonds of University of North Carolina Hospitals and Rex Healthcare, reinforcing the financial strength of the sister organizations.
The debt-research agency gives UNC Hospitals an Aa3 rating, citing strengths such as strong demand for patient services and relatively low debt load. Rex has an A1 rating, based on its market position in Wake County, increasing collaboration with UNC Hospitals and other factors.
Rex and UNC Hospitals are owned by the UNC Health Care System, and the institutions frequently work together to improve patient care for important services such as cancer, cardiovascular and more. Rex is also a key contributor to UNC's clinical and research missions by helping support medical training and community participation in clinical trials.
"The affirmation of Rex's A1 rating shows that our strategic plan continues to be successfully executed by our team, providing us with the financial stability to ensure we are fulfilling our mission of excellent quality care to everyone in our community," said Bernadette Spong, Rex's chief financial officer. "We are proud to be part of UNC Health Care's commitment to high quality health care, research and teaching."
Moody's outlook for both institutions is stable.
"Together, UNC and Rex have great financial stability, more purchasing power and better access to research funding. This leads to more efficient operations and lower costs for patients," said Karen McCall, vice president of public affairs for UNC Health Care. "We are fortunate to have Rex as a critical clinical partner in UNC Health Care's efforts to conduct leading medical research and educate our next generation of physicians."
Moody's ratings affect $297 million of UNC Hospitals debt, and $125 million of Rex debt.
About Rex Healthcare
Rex Healthcare, a member of UNC Health Care, is a private, not-for-profit health care system with more than 5,200 co-workers. Rex Healthcare has 665 beds (439 general acute beds and 226 skilled nursing) and treats nearly 34,000 inpatients each year. Rex offers dedicated centers for cancer, surgery, heart and vascular, post-acute rehabilitation and skilled nursing care, wellness and women's care plus dedicated services for bariatric, heartburn, pain management, sleep disorders, diabetes education, wound and emergency care. More than 1,100 physicians are on the Rex medical staff. Rex provides various health care services throughout Wake County with facilities in Apex, Cary, Garner, Holly Springs, Knightdale, Wakefield and downtown Raleigh. Rex was the first hospital in the Triangle to receive Magnet Recognition, placing Rex nurses among the top 6 percent in the nation. Rex was named one of the top 100 Best Places to Work in Healthcare by Modern Healthcare magazine in 2008, 2009 and 2011, and was highlighted as one of the Top 50 Hospitals in the U.S. by Becker's Hospital Review in 2011.
About UNC Hospitals
UNC Hospitals is an 803-bed public, academic medical center operated by and for the people of North Carolina. The Hospitals' mission is to provide high quality patient care, to educate health care professionals, to advance research and to provide community service. UNC Hospitals includes North Carolina Cancer Hospital, North Carolina Children's Hospital, North Carolina Memorial Hospital, North Carolina Neurosciences Hospital, and North Carolina Women's Hospital. Each year UNC Hospitals cares for patients from all 100 counties in North Carolina and several surrounding states.