Ratings boost good news for Chicago medical center

Amid a major renovation of its hospital complex in Chicago, Rush University Medical Center got some good news as it prepares to issue $400 million in debt to help pay for its $1 billion capital spending plan. Ratings agency Moody's Investors Service has revised the outlook to "positive from stable" for the Rush University Medical Center Obligated Group, a vehicle that allows the hospital to cooperate on financing needs and borrow money. The positive outlook will make Rush "more attractive to people who buy" the hospital's bonds, said the hospital's CFO. The medical center intends to issue debt in two rounds, with a $200 million issuance in fall 2008 and another $200 million in 18 to 24 months.