Fitch Ratings has assigned an “A-” rating to Hawai‘i Pacific Health for the following revenue bond.

$61.9 million Hawai'i Health Obligated Group special purpose revenue bonds series 2010B (Department of Budget and Finance of the State of Hawai‘i).

In addition, Fitch assigned its 'A-' rating to five outstanding revenue bonds totaling $214.6 million. The rating outlook is stable.

Hawai‘i Pacific Health has issued the series 2010B as uninsured fixed-rate revenue bonds. The 2010B bond proceeds will be used primarily to refund a $20 million variable-rate bank loan and provide $35 million for capital investment at Kapi‘olani Medical Center for Women & Children.

Among the rationale for the strong rating, Fitch noted that “Hawai‘i Pacific Health…maintains a leading market share of 34% in its primary service area on the island of O‘ahu, that is buoyed by a strong physician engagement strategy. In addition, management is nearing complete implementation of its electronic health record platform, which should further enhance efficiency and profitability. These attributes make Hawai‘i Pacific Health well-positioned to operate in a post-health care reform environment and are indicative of strong management acumen and lend further credit strength.”

Hawai‘i Pacific Health President & CEO Chuck Sted said, “The Fitch rating is a strong validation of the hard work we’ve done to transform the way health care is delivered in our state; we are confident it will help fuel the collaboration we need to achieve a better health care system for our community. This is great news for the people of Hawai‘i.”

As announced earlier this year, Hawai‘i Pacific Health was upgraded to A3 by Moody’s Investor Service and maintained its BBB+ rating from Standard & Poor’s.