Physicians for a Healthy Hospital includes around 125 physicians and says it has around $1 million in an escrow account. Valley Health says, as a condition of sale, the physicians must partner with a “nationally recognized healthcare organization,” according to the report.
Valley Health has been under U.S. Bankruptcy Court protection for 18 months but continues to lose money. According to the report, the hospital district owes bondholders around $44 million and lost nearly $7 million last fiscal year. Additionally, 2,800 unsecured creditors are owed another $22 million, which is not guaranteed to be paid.
Opponents and critics to the sale want Valley Health to open negotiations to all bidders, not solely the physician group. No sale agreement has yet been reached.
Read the Press-Enterprise’s report about the Valley Health/physician group potential sale negotiations.
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