S&P rates HCA notes BB+

Standard & Poor's said it assigned a BB+ rating to HCA Inc.'s $1 billion senior unsecured notes due 2016 and affirmed the company's BB+ corporate credit and senior unsecured debt ratings.

The outlook is stable.

These notes are being issued as a Rule 415 shelf drawdown, and proceeds will be used to repay existing debt.

S&P said the speculative-grade rating on HCA reflects the company's aggressive financial policy, which is not consistent with an investment-grade rating considering the key industry risks the company faces, such as uncertain third-party reimbursement and rising bad debt.

These factors are mitigated by the generally strong cash-generating nature of HCA's diverse hospital operations, the agency said.

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