Banks seek 'immediate payment' on Indiana hospital bonds; CEO considers options

Siemens Bank and Huntington Bank are seeking payment on two bonds sold by Logansport (Ind.) Memorial Hospital after its recent financial performance, the Pharos-Tribune reported April 28.

The banks sought "immediate payment" in April, but the hospital was able to push back the payment to May, Logansport Memorial CEO David Ameen told the publication.

The hospital is considering using its cash on hand to pay back the bonds, but that would leave it with under 20 days of cash.

"We would have to be very careful on how we spend our dollars in the future," according to Mr. Ameen, who told the Tribune he would prefer the hospital to have 180 days cash on hand to ensure it can make payroll and supply payments in case of any unforeseen financial challenges.

Logansport Memorial is also talking with local banks about the possibility of a credit line. 

"Our plan is to be here for a long time," Mr. Ameen told the news outlet. "If some kind of financial difficulty came up, then we would have to look at other directions but right now our hope is we can work through all of our financial obligations and be able to meet them."

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