North Carolina Health System reports big losses
Carolinas HealthCare System reported a loss of more than $111.8 million for the first half of the year, citing the sagging performance of the financial markets. For the same period last year, Carolinas HealthCare reported net income of $137.7 million. The first-half loss stemmed from a $154 million drop in the value of the hospital system’s investments. Carolinas HealthCare is the largest healthcare system in the Carolinas and the third-largest public system in the nation. The system owns, leases or manages 22 hospitals in the Carolinas.
California hospital employees OK new union
Approximately 1,450 employees at Stanford Hospital & Clinics and Lucile Packard Children’s Hospital have elected to be represented by the United Healthcare Workers West union. The Service Employees International Union Local 715 formerly represented the employees. Stanford officials said the hospitals were forced to withdraw recognition of Local 715 in late July because the international union directed the leadership of Local 715 to transfer employee representation to United Healthcare Workers without the employees’ consent.
Kindred Healthcare cuts losses at two hospitals
Kindred Healthcare, Inc., a Louisville, Ky.-based healthcare services company, plans to dispose of two of its unprofitable long-term acute care hospitals. Kindred has signed a $22.3 million deal to acquire for resale the real estate associated with its 79-bed Kindred Hospital Northeast-Braintree in Braintree, Mass., from Health Care REIT, Inc. Upon completion of the transaction, Kindred intends to close the hospital and sell the real estate. Kindred is also marketing Kindred Hospital Modesto in Modesto, Calif.
New York Health System builds women's hospital
Construction has begun on a $300 million hospital at the Long-Island Jewish Medical Center campus in Queens, N.Y., which will focus on women’s healthcare services. Katz Women’s Hospital will be part of the North Shore-LIJ Health System, the nation’s third-largest, non-profit, secular healthcare system. The structure will be an 88-private-room facility equipped with amenities to accommodate both patients and family members and a range of maternity and women’s health services. The project is scheduled for completion in 2011.