Cedar Rapids hospital now approved to get loans after flood - KWWL - Eastern Iowa Breaking News, Weather, Closings

Cedar Rapids hospital now approved to get loans after flood


by Seth Bohnker

CEDAR RAPIDS (KWWL) - On June 13, Mercy Medical Center, 701 10th Ave. SE, evacuated its patients due to flooding that compromised the hospital's emergency systems. 

The hospital returned to full operations July 2, although some departments operated in temporary locations. All major building repairs have been completed and all services and departments are now operating in their permanent locations. 

Mercy has estimated that total flood-related will cost more than $66 million.  Mercy has filed insurance claims and expects to be reimbursed for the property and business interruption losses. 

Bond ratings indicate an institution's ability to repay debt.  As a matter of protocol, when institutions experience a natural disaster they are often placed on CreditWatch by Standard & Poor's while the organization recovers. 

With restoration of flood damaged areas at Mercy now complete, Standard & Poor's Ratings Services has removed Mercy from CreditWatch and has affirmed its A+ rating for borrowing. 

A+ is one of the highest ratings assigned to an institution of Mercy's size.  Mercy's A+ rating allows the hospital to access capital at reasonable rates needed to fund facility and equipment additions, replacement and improvements.

Online Reporter: Seth Bohnker

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