The upgrade is a result of several factors, most notably the hospital's comprehensive debt recapitalization and permanent direct debt payment. In addition, the credit agency noted the hospital's significant financial turnaround. Moody's unfavorably viewed Mercy Hospital's small size in a very competitive market. The outlook revision to positive reflects the significant turnaround Mercy Hospital had in the last fiscal year. Moody's expects the improvements to continue. More articles on healthcare finance: California hospital weighs closure of nursing facility Avadyne Health adds to board: 4 things to know Mayo Clinic Care Network hospital in Kentucky renews contract with IT company