Phoenixville Hospital Furloughs Come On Heels Of $4B Acquisition Deal

Map of Pennsylvania highlighting Chester County

Map of Pennsylvania highlighting Chester County (Photo credit: Wikipedia)

Editor’s note:  Thanks for going there, Evan!  I was complaining about this very thing today.  They have billions to spend on buying more hospitals but then turn around and cut jobs.  Makes no sense to me!  You would think the time to buy would be if you were flush with cash.  Now they will own two hospitals in Lancaster once this deal goes through as well.

PHOENIXVILLE — One day after Pottstown Memorial Medical Center furloughed 30 employees for 90 days, The Mercury has confirmed that similar furloughs occurred at Phoenixville Hospital.

Phoenixville Hospital spokesperson Lori Cunningham confirmed Thursday that the full-time equivalent of 24 employees in “clinical, non-clinical support and administrative departments” have been furloughed.

News of the staff reduction occurs at the same time that the company that owns both hospitals, Tennessee-based Community Health Systems Inc., is planning a $3.9 billion purchase of Florida-based Health Management Associates Inc., which also operates hospitals around the country.

Cunningham said the furloughs at Phoenixville, which she described as “not scheduling a small number of employees in various departments,” have “no definitive time line.  As always, staffing is dependent upon patient volume and clinical needs.”

Read more:   http://www.pottsmerc.com/article/20130731/NEWS01/130739803/phoenixville-hospital-furloughs-come-on-heels-of-4b-acquisition-deal#full_story

Tennessee Hospital Chain Acquiring Heart Of Lancaster And Lancaster Regional Owner Health Management Associates In $7.6 Billion Deal

Map of Pennsylvania highlighting Lancaster County

Map of Pennsylvania highlighting Lancaster County (Photo credit: Wikipedia)

A Tennessee-based hospital chain has agreed to buy Health Management Associates for $7.6 billion, it was announced Tuesday.

The acquisition would make Community Health Systems a company with 206 hospitals and 31,000 beds in 29 states.

Among those hospitals would be two local HMA facilities, Lancaster Regional and Heart of Lancaster.

The price includes the assumption of $3.7 billion in HMA debt.

Read more: http://lancasteronline.com/article/local/877230_Tennessee-hospital-chain-acquiring-Heart-of-Lancaster-and-Lancaster-Regional-owner-Health-Management-Associates-in–7-6-billion-deal.html#ixzz2aY1BWRIG

What Lancaster County’s 4 Hospitals Made In Profits In 2012

Map of Pennsylvania highlighting Lancaster County

Map of Pennsylvania highlighting Lancaster County (Photo credit: Wikipedia)

The bottom line is starting to look healthier for local hospitals, which saw profits of between $7 million and $65 million in 2012 after some recent lean years.

All four hospitals saw an increase in profits, with two sister hospitals here seeing the biggest leap, according to a new state report.

All of the hospitals also had robust profit margins, according to the report by the Pennsylvania Health Cost Containment Council.

One local hospital official, however, said things might not be as good as they appear, due to the fact that the data included in the report does not include losses from hospital-owned physician practices.

Read more: http://lancasteronline.com/article/local/849894_What-Lancaster-County-s-4-hospitals-made-in-profits-in-2012.html#ixzz2TQB2Ff8W

’60 Minutes’ Report Critical Of Health Management Associates

A national health-care chain that operates two hospitals in Lancaster County has come under fire after an investigative TV news program aired allegations that profits — and not patient care — motivated many of the company’s decisions in the emergency room.

CBS correspondent Steve Kroft on “60 Minutes” Sunday charged Health Management Associates with running unnecessary tests and admitting patients without cause — all to drive up revenue.

Based in Naples, Fla., HMA is the nation’s fourth-largest for-profit hospital chain.  Locally, HMA operates Lancaster Regional Medical Center at 250 College Ave. and Heart of Lancaster Regional Medical Center in Lititz.

Danielle Gilmore, director of marketing for Lancaster Regional, declined to discuss the CBS report, instead sharing a statement issued by HMA’s corporate office in Naples.

Read more: http://lancasteronline.com/article/local/788776_-60-Minutes–report-critical-of-Health-Management-Associates.html#ixzz2E1Aur9Zx