Fitch Revises Clarian Health Oblig Grp (Indiana) Series 2003E&G to 'AAA/F1+'

NEW YORK--(Business Wire)--
Effective May 22, 2008, Fitch Ratings will confirm the 'AAA'
long-term rating and assign an 'F1+' short-term rating to the
$174,975,000 Indiana Health and Educational Facility Financing
Authority, taxable hospital revenue bonds (Clarian Health Obligated
Group), consisting of $65,600,000 series 2003E and $109,375,000 series
2003G. The rating actions are taken in connection with the conversion
of the interest rate on the bonds from an auction rate to a weekly
rate, the provision of two separate standby bond purchase agreements
(SBPAs) to provide liquidity support for each respective series while
in the weekly rate mode, and the reoffering of the bonds.

The long-term 'AAA' rating assigned to both series of bonds will
continue to be based on the support of two municipal bond insurance
policies provided by Financial Security Assurance Inc., which insures
scheduled payments of principal and interest. The insurance policies
extend to the maturity date of the bonds, March 1, 2033 for both
series. The short-term 'F1+' rating will be based on the liquidity
support of the two SBPAs provided by Dexia Credit Local, acting
through its New York Branch.

The SBPAs provide for the payment of the purchase price of
tendered bonds during the weekly mode, and are sized to cover the
principal portion of the purchase price and 35 days of interest at the
maximum interest rate of 15%, based upon a year of 365 days. Both
SBPAs expire on May 22, 2011, unless such date is extended, or upon
the occurrence of certain events of termination as specified in the
SBPAs. The short-term ratings will expire upon any expiration or
termination of the SBPAs. The remarketing agent for the series 2003E
bonds is Merrill Lynch, Pierce, Fenner & Smith Incorporated and
Citigroup Global Markets Inc. for the series 2003G bonds.

The bonds will be reoffered at a weekly interest rate on May 22,
2008, the conversion dates for both series of bonds. After the
conversions and reoffering, the bonds may also be converted to a
daily, quarterly, long-term, commercial paper, fixed or auction rate
mode. While bonds bear interest in the weekly rate mode, interest is
payable on the first business day of each month, commencing June 2,
2008. During the weekly rate mode, holders have the option to tender
their bonds on any business day, following the required prior notice
to the tender agent, trustee and remarketing agent. The bonds are
subject to mandatory tender: (1) during a commercial paper rate mode,
on each repurchase date; (2) upon conversion of the interest rate; (3)
upon expiration of the SBPAs without replacement or upon termination
following receipt of notice of an event of default under the SBPAs;
and (4) upon substitution of the SBPAs. Optional and mandatory
redemption provisions also apply to the bonds pursuant to the terms of
the authorizing documents.

Bond proceeds were used to finance the cost of the acquisition,
construction and equipping of two suburban hospitals known as Clarian
West and Clarian North.

Fitch's rating definitions and the terms of use of such ratings
are available on the agency's public site, www.fitchratings.com.
Published ratings, criteria and methodologies are available from this
site, at all times. Fitch's code of conduct, confidentiality,
conflicts of interest, affiliate firewall, compliance and other
relevant policies and procedures are also available from the 'Code of
Conduct' section of this site.

Fitch Ratings, New York
Trudy Zibit, +1-212-908-0689
Cindy Stoller, +1-212-908-0526 (Media Relations)

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