Newly minted CHE Trinity to seek fresh bond rating
CHE Trinity Inc., the new nonprofit health-care giant that combined the operations of Catholic Health East and Trinity Health, plans to tap the bond market this fall and receive a new rating from bond ratings agencies, according to a management presentation Tuesday.
CHE Trinity Inc., the new nonprofit health-care giant that combined the operations of Catholic Health East and Trinity Health, plans to tap the bond market this fall and receive a new rating from bond ratings agencies, according to a management presentation Tuesday.
CHE Trinity, which is headquarted in Michigan but maintains a regional office in Newtown Square, also provided some financial details for the first time since the merger was announced last fall.
Cost savings from the elimination of duplicate operations and other changes are projected to be between $250 million and $300 million. Targeted revenue gains are in the range of $100 to $150 million, CHE Trinity said.
On a pro forma basis, CHE Trinity had $13.1 billion in revenue for the 12 months ended March 31. Its operating margin was 2.4 percent. Longer term, CHE Trinity hopes to have a 3 percent to 4 percent operating margin, the presentation said.