Press Release|Public Finance

KBRA Affirms BBB- Rating for Debt Guaranteed by Montefiore Medical Center; Outlook Remains Stable

5 Jun 2024   |   New York


KBRA affirms the long-term rating of BBB- with a Stable Outlook for the Taxable Revenue Bonds, 2017 Series (Payable Solely from Albert Einstein College of Medicine Promissory Notes Guaranteed by Montefiore Medical Center).

Key Credit Considerations

The rating was affirmed because of the following key credit considerations:

Credit Positives

  • Dominant market position in primary service area (Bronx County, NY) and a growing presence in affluent suburbs.
  • Strong clinical reputation supporting a gradual recovery in both inpatient and outpatient volumes.
  • Recognition as a leader in care management, infrastructure development, and population health.

Credit Challenges

  • Limited financial flexibility, highlighted by weak liquidity cushion relative to operations and leverage.
  • A relatively recent return to profitability, following successive years of deep operating losses during the pandemic.
  • Socioeconomic profile of patient population which disproportionately exposes MMC to governmental payors.

Rating Sensitivities

For Upgrade

  • Sustained improvement in financial performance.
  • Reduction in debt leverage.

For Downgrade

  • Sustained weak liquidity.
  • Higher debt, significant capital plans, or additional financial demands on MMC from system affiliates.

To access rating and relevant documents, click here.



A description of all substantially material sources that were used to prepare the credit rating and information on the methodology(ies) (inclusive of any material models and sensitivity analyses of the relevant key rating assumptions, as applicable) used in determining the credit rating is available in the Information Disclosure Form(s) located here.

Information on the meaning of each rating category can be located here.

Further disclosures relating to this rating action are available in the Information Disclosure Form(s) referenced above. Additional information regarding KBRA policies, methodologies, rating scales and disclosures are available at

About KBRA

Kroll Bond Rating Agency, LLC (KBRA) is a full-service credit rating agency registered with the U.S. Securities and Exchange Commission as an NRSRO. Kroll Bond Rating Agency Europe Limited is registered as a CRA with the European Securities and Markets Authority. Kroll Bond Rating Agency UK Limited is registered as a CRA with the UK Financial Conduct Authority. In addition, KBRA is designated as a designated rating organization by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized by the National Association of Insurance Commissioners as a Credit Rating Provider.

Doc ID: 1004618

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