Reading-based Tower Health — the parent company of Pottstown Hospital, as well as Brandywine and Phoenixville hospitals, and the soon-to-close Jennersville Hospital — has received a small boost from Fitch Ratings, writes Harold Brubaker for The Philadelphia Inquirer.
The provider of credit ratings said Tower Health’s prospects had slightly improved now that the nonprofit had begun taking concrete steps to unload its money-losing assets.
Last month, Tower announced the impending closure of Jennersville Hospital. It also had a preliminary agreement to sell Chestnut Hill Hospital and around a dozen of its urgent care centers to Trinity Health Mid-Atlantic.
Fitch Ratings kept Tower’s credit rating at a very low B+, but it lifted its outlook from negative to stable, which means it considers the nonprofit to be “on a more strategically viable path.”
A representative for the health system assessed: “While we still have significant work and difficult decisions ahead of us, we are pleased to see Tower Health’s financial performance continue to gain momentum as we implement our critically important strategic turnaround plan.”
Fitch was also looking at the incoming partnership with Penn Medicine, whereas Penn took over the transplant program.
Read more about Tower Health and the health system ratings in The Philadelphia Inquirer.