Steward Health Care Files for Bankruptcy Protection, Vows to Maintain Florida Locations

Steward Health Care, one of the nation’s largest private hospital operators, has filed for bankruptcy protection, but has assured the public that its eight locations in Florida will remain operational. The Dallas-based company made the decision to file for Chapter 11 bankruptcy in order to continue providing essential care to its patients.

Despite the bankruptcy filing, Steward officials have stated that there will be no interruptions in day-to-day operations at their hospitals, medical centers, and physician’s offices. The company operates hospitals in eight states, including Florida, where it runs facilities such as Coral Gables Hospital, Hialeah Hospital, and North Shore Medical Center.

The company’s financial troubles have not gone unnoticed, with political figures in Massachusetts criticizing Steward for mismanagement and lack of transparency. Massachusetts Gov. Maura Healey expressed disappointment in Steward’s leadership and vowed to take steps to prevent similar situations in the future.

Steward is currently finalizing a debtor-in-possession financing agreement with its landlord, Medical Properties Trust, to secure funding for its operations. The company’s CEO, Dr. Ralph de la Torre, emphasized that the bankruptcy filing is in the best interests of patients, physicians, employees, and communities.

In an effort to stabilize its finances, Steward had previously announced a deal to sell its physician network to Optum, a subsidiary of UnitedHealth Group. However, the completion of this deal has been delayed, prompting the need for alternative methods to bridge operations.

Despite the challenges, Steward remains committed to providing quality care to its patients and communities. The company’s focus is on responsibly transitioning ownership of its Massachusetts-based hospitals, while ensuring that all hospitals remain open to treat patients.