Steward Health Care files for bankruptcy: How will it affect patients?
Steward Health Care, one of the largest doctor-led hospital operators in the United States, has filed for bankruptcy. How will this affect its patients?
Steward Health Care, a private company based in Dallas, Texas and one of the largest physician-led hospital operators in the country, has filed for bankruptcy.
In a statement, the company announced that it had started “a judicial restructuring process by filing voluntary petitions to obtain relief under Chapter 11 of the United States Bankruptcy Code in the U.S. Bankruptcy Court of the Southern District of Texas.”
“The Company is finalizing the terms of Medical Properties Trust debtor-in-possession financing for an initial financing of $75 million and up to an additional $225 million upon compliance with certain conditions acceptable to Medical Properties Trust,” the statement says.
How will Steward Health Care’s bankruptcy affect its patients?
Steward Health Care announced that it took this voluntary step as a necessary measure to allow the company to continue providing necessary care to its patients in their communities.
According to the company, no interruption is expected in its daily operations, which will continue as normal throughout the bankruptcy process under Chapter 11.
“Hospitals, medical centers and doctors’ offices of Steward are open and continue to serve patients and the community at large and our commitment to our employees will not change,” the company added.
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“Steward Health Care has done everything in its power to operate successfully in a highly challenging healthcare environment. Filing for Chapter 11 restructuring is in our best interests- patients, doctors, employees and communities- right now,” said Steward CEO Dr. Ralph de la Torre.
“In recent months we have secured bridge financing and we have made progress in the sale of our Stewardship Health business to help stabilize operations at all of our hospitals,” he added.
For patients with any questions about this important development, you can call the information line created by the company (888) 505-1257 (toll-free) or (646) 893-5546 (international). You can also email your questions at: StewardInfo@ra.kroll.com.
Court records and other information related to the restructuring proceedings can be found at this website.