Steward Health Care, which owns nine hospitals in Massachusetts, has filed for bankruptcy due to millions of dollars in debt. The company is currently undergoing a Chapter 11 restructuring process through a filing in the Southern District of Texas. Steward is finalizing the terms of debtor-in-possession financing from Medical Properties Trust to provide initial funding of $75 million and up to an additional $225 million.
According to Dr. Ralph de la Torre, CEO of Steward Health Care, this voluntary step will enable the company to continue providing necessary care to patients without any disruptions in day-to-day operations. The Massachusetts Nurses Association has expressed concern about the potential devastating consequences for residents in the affected areas. While the situation presents challenges, the reorganization process provides an opportunity for stakeholders to prioritize the voices of caregivers and patients.
Matt Schooley, a digital producer at CBS Boston who has been a member of the WBZ news team for over a decade, reported on the bankruptcy filing of Steward Health Care.
