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Steward Health Care filed for bankruptcy. How will you be impacted?

May 7, 2024
in News
Steward Health Care filed for bankruptcy. How will you be impacted?
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Will the bankruptcy filing impact you or your healthcare needs? Share with us.


Governor Maura Healey (right) and Health and Human Services Secretary Kate Walsh (left) held a news conference at the Massachusetts State House regarding Steward Health Care’s bankruptcy filing. (David L Ryan/Globe Staff)

Steward Health Care, the nation’s largest private, for-profit hospital chain, filed for Chapter 11 bankruptcy on Monday after months of financial instability.

Based in Dallas, Steward currently operates more than 30 hospitals in a handful of states across the country, including eight in Massachusetts.

Under Chapter 11 of the U.S. bankruptcy code, Steward will move to restructure its debt under court supervision and said it will continue running its hospitals. 

“Steward Health Care has done everything in its power to operate successfully in a highly challenging health care environment. Filing for Chapter 11 restructuring is in the best interests of our patients, physicians, employees, and communities at this time,” Dr. Ralph de la Torre, chief executive officer of Steward, said in a statement.

To continue operating, Steward said it is “finalizing the terms” of $75 million in “debtor-in-possession financing” from Medical Properties Trust, an Alabama-based real estate investment trust that bought Steward’s Massachusetts hospital buildings in 2016. Steward said it expects to receive $225 million more if it meets certain conditions.

“Steward’s hospitals, medical centers and physician’s offices are open and continuing to serve patients and the broader community and our commitment to our employees will not change,” the company added in its statement.

Steward employs tens of thousands of workers, including 16,000 in Massachusetts. In a joint statement regarding the bankruptcy filing, the Massachusetts Nurses Association and healthcare union 1199SEIU said the potential loss of any of Steward’s facilities will have “devastating consequences for hundreds of thousands of residents from the South Shore to southern New Hampshire.”

“However, Steward going through the process of reorganization provides an opportunity for other stakeholders to take long-awaited action and center the voices of caregivers and patients,” the two groups added in the statement.

State officials created a website to provide information and resources for patients, workers and community members as they navigate the bankruptcy filing.

We want to know: Will Steward’s bankruptcy filing impact you or your healthcare needs?

If you’re a patient, Steward employee, or a concerned community member, we want to hear your thoughts.

Tell us by filling out the form or e-mailing us at [email protected], and your response may appear in a future Boston.com article.

How will Steward Health Care’s bankruptcy filing impact you?

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Copyright for syndicated content belongs to the linked Source : The Boston Globe – https://www.boston.com/community/tell-us/2024/05/06/steward-health-care-filed-for-bankruptcy-how-will-you-be-impacted/

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