Tripping debt covenants.
In the current economy, many hospitals are changing their debt structure or taking on new debt. Healthcare financial managers should avoid tripping their debt covenants by creating a risk budget that includes covenant considerations. Tactical management of the risk budget may be necessary and requires understanding how decisions and market influences affect both sides of the balance sheet.
Courson
William M
WM
Lancaster Pollard Investment Advisory Group, Columbus, OH, USA. wcourson@lancasterpollard.com
Hahn
Tanya K
TK
D002017:Budgets; D002202:Capital Financing / Q000458:organization & administration*; D005377:Financial Management, Hospital / Q000191:economics / Q000458:organization & administration*; D014481:United States