HackensackUMC Receives Upgraded Outlook from Standard & Poor’s
July 13, 2015 03:26 PM
Hackensack University Medical Center is pleased to announce that Standard & Poor's Ratings Services, one of the world’s leading credit ratings agencies, has upgraded its outlook on HackensackUMC from “stable” to “positive.” The company also affirmed its A- long-term rating and its A- underlying rating (SPUR) on the insured portion of the New Jersey Health Care Facilities Financing Authority's series 2008, 2010, and 2010B bonds issued for HackensackUMC.
“At HackensackUMC and across the Hackensack University Health Network, we are constantly seeking ways to stay ahead of the curve and position ourselves for future success,” said Robert C. Garrett, president and chief executive officer, Hackensack University Health Network. “We have strategically developed new partnerships and affiliations to ensure growth and expansion, and look forward to our upcoming merger with Meridian Health. These developments, and careful financial planning, have led to positive outlook that Standard & Poor’s has bestowed on us.”
The outlook was updated to positive based on HackensackUMC’s material improvement in cash flow and margins which have put the organization in a strong position for its future endeavors. Some of the comments that were shared as a part of the report were as follows:
Robust growth in cash flow and margins;
Leading market share;
Active participation in a variety of joint ventures and affiliations;
Adequate unrestricted reserves;
Benefits derived from a well-funded pension plan.
It was noted during the review that the pending merger with Meridian Health System (‘A/Positive’) will be beneficial as the combined organization’s metrics are healthy and the new system will likely benefit from broad statewide presence and opportunities to achieve efficiencies. Assuming regulatory approvals are granted, the combined organization could achieve a higher rating.
“We are grateful to Robert L. Glenning, executive vice president and chief financial officer of HackensackUMC, as well as his entire team for their diligence and visionary planning to ensure our medical center and Network are optimally positioned for the future,” added Garrett.
About Hackensack University Medical Center
HackensackUMC, a nonprofit teaching and research hospital located in Bergen County, NJ, is the largest provider of inpatient and outpatient services in the state. Founded in 1888 as the county’s first hospital, it is the flagship hospital of Hackensack University Health Network, one of the largest health networks in the state comprised of 1,250 beds, nearly 10,000 employees and 2,700 credentialed physicians. HackensackUMC was listed as the number one hospital in New Jersey and is proud to be among one of 30 hospitals to have received 10 or more (11) nationally-ranked specialtiesin U.S. News & World Report’s 2014-15 Best Hospital rankings. One of only five of these hospitals was rated “High Performing” in all categories of Best Hospitals for Common Care in 2015. HackensackUMC is one of Healthgrades America's 50 Best Hospitals™ for nine years in a row, and received the Healthgrades Distinguished Hospital Award for Clinical Excellence™ 13 years in a row. The medical center has also been named a Leapfrog Top Hospital, is one of the top 25 green hospitals in the country according to Practice Greenhealth, and received 23 Gold Seals of Approval™ by the Joint Commission – more than any other hospital in the country. It was the first hospital in New Jersey and second in the nation to become a Magnet® recognized hospital for nursing excellence; receiving its fifth consecutive designation in 2014. HackensackUMC has created an entire campus of award-winning care, including: the John Theurer Cancer Center; the Heart & Vascular Hospital; and the Sarkis and Siran Gabrellian Women’s and Children’s Pavilion, which houses the Joseph M. Sanzari Children’s Hospital Children’s Hospital and Donna A. Sanzari Women’s Hospital, which was designed with The Deirdre Imus Environmental Health Center and listed on the Green Guide’s list of Top 10 Green Hospitals in the U.S. HackensackUMC is the Hometown Hospital of the New York Giants and the New York Red Bulls and was Official Medical Services Provider to The Barclays PGA Golf Tournament and the NY/NJ Super Bowl XLVIII Host Committee. It remains committed to its community through fundraising and community events. To learn more, visit: www.HackensackUMC.org.