Fitch Rates Partners HealthCare System (Massachusetts) $700MM 2007G Bonds 'AA'.

TAMPA, Fla. -- Fitch Ratings has assigned an 'AA' rating to Partners HealthCare System (Partners) 2007 series G bonds listed below and affirms the 'AA' rating on the $1.45 billion outstanding bonds. Fitch also affirms its 'F1+' rating on approximately $42 million of Partners HealthCare System's

debt that is backed by self-liquidity. The ratings on the series 2007 G-1, G-2, G-3, and G-4 bonds are underlying ratings as these bonds will be insured by either FGIC or Financial Security Assurance, whose insurer financial strengths are rated 'AAA' by Fitch. In addition, several outstanding issues are insured by Ambac Assurance Corp., Financial Security Assurance, Inc., and MBIA Insurance Corp., whose insurer financial strengths are each rated 'AAA' by Fitch. The Rating Outlook is Stable.

--$75,000,000 Massachusetts Health and Educational Facilities Authority revenue bonds (Partners HealthCare System), FGIC-insured auction rate securities series G-1;

--$75,000,000 Massachusetts Health and Educational Facilities Authority revenue bonds (Partners HealthCare System), FSA-insured auction rate securities series G-2;

--$75,000,000 Massachusetts Health and Educational Facilities Authority revenue bonds (Partners HealthCare System), FGIC-insured auction rate securities series G-3;

--$75,000,000 Massachusetts Health and Educational Facilities Authority revenue bonds (Partners HealthCare System), FSA-insured auction rate securities series G-4;

--$100,000,000 Massachusetts Health and Educational Facilities Authority revenue bonds (Partners HealthCare System), index put bonds series G-5;

--$219,975,000 Massachusetts Health and Educational Facilities Authority revenue bonds (Partners HealthCare System), fixed-rate bonds series G-6;

--$80,000,000 Massachusetts Health and Educational Facilities Authority revenue bonds (Partners HealthCare System), enhanced index put bonds (privately placed through Citigroup).

The par amount of the G-5 and G-6 bonds is subject to change. Partners has not determined the allocation between the series G-5 and G-6 bonds at the time of this press release.

Bond proceeds will be used to fund $520 million in capital expenditures, including a portion of the purchase of the Charles River Plaza property ($100 million of which will be funded with the issuance of taxable bonds), refund certain outstanding bonds in the amount of approximately $140 million, fund the cost of insurance, fund a capitalized interest fund of approximately $26.4 million and pay cost of issuance on the bonds. The fixed-rate bonds will be priced the week of June 4th, and the variable-rate bonds will be priced the week of June 25 through negotiation led by JPMorgan and Bear, Stearns & Co, Inc.