S&P rates Emergency Medical notes B-

Standard & Poor's said that it assigned a B- issue-level rating and 6 recovery rating to Emergency Medical Services Corp.'s proposed $950 million of senior notes due 2019.

The company is using the proceeds from the notes as part of the financing of the leveraged buyout transaction by Clayton, Dubilier and Rice.

The rating reflects expectations that it will face ongoing exposure to reimbursement risk in both its ambulance transportation and physician staffing businesses and high levels of uncompensated care that contribute to relatively thin operating margins, the agency said.

The rating considers the company's fair business risks, given expectations of modest revenue growth, reflecting new contracts, acquisitions and, to a smaller extent, same-store growth, the agency added.

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