S&P: InSight ratings unaffected

Standard & Poor's said Tuesday that its ratings and outlook on InSight Health Services Holdings Corp. (B+/ negative/--) will not be affected by the company's plan to acquire 22 diagnostic imaging centers from Cardinal Health Inc.

The $48 million transaction will require new debt but is already factored into the company's current credit profile.

S&P said InSight has adequate funding resources. As of Dec. 31, a $50 million senior secured revolving credit facility was undrawn. The company also had nearly $28 million in cash and $25 million available under a delayed-draw term loan. Furthermore, the indenture governing the company's $225 million 9 7/8% senior subordinated notes, which mature in 2011, permits it to issue up to $100 million of additional notes, subject to covenant constraints.

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