Steward Health Care recently declared bankruptcy and is planning to sell all of its U.S. hospitals in order to pay off its $9 billion debt. The company, which owns 31 hospitals across the country, including nine in Massachusetts, aims to auction off its assets to the highest bidder. Steward’s attorney mentioned during a bankruptcy hearing that the company hopes to keep all hospitals operational in the long term, but there are concerns about supply shortages and unpaid bills.
Despite the bankruptcy filing, both the company and Massachusetts officials have reassured that there should be no disruptions to daily operations at the hospitals. Auctions for the hospitals are scheduled for June 28 for locations outside of Florida and July 30 for the Florida hospitals. Steward, headquartered in Dallas, operates hospitals in eight states.
The situation at Steward Health Care has been under scrutiny for unpaid bills and potential supply shortages in its hospitals, as highlighted in a CBS News investigation. Governor Maura Healey condemned the situation, attributing it to greed, mismanagement, and lack of transparency on the part of Steward’s leadership in Dallas. In response, Governor Healey has set up a hotline and website for patients seeking information or assistance regarding the bankruptcy.