On the plus side

The financial turnarounds by some not-for-profit healthcare systems last year are paying off, with improved outlooks and credit ratings among the rewards. Those actions signal lower interest costs and can translate to stronger bottom lines. In this year's first quarter, Standard & Poor's upgraded the ratings of four healthcare systems or hospitals, and in the past month has issued improved credit outlooks for at least another four. PorterCare is the minority partner in Centura Health, a nine-hospital company operated jointly with Catholic Health Initiatives, Denver. Since June 2000, S has upgraded three-hospital PorterCare three times. Another system turnaround that rating agencies have noticed is that of SSM Health Care, which completed a $240 million bond issue last week.