Steward Health Care Files for Bankruptcy, Selling 31 Hospitals in the US

Steward Health Care, a privately-owned company, recently declared bankruptcy and announced that it will be selling all 31 of its hospitals in the U.S., including nine in Massachusetts. The company hopes to keep all hospitals open long-term and avoid any interruptions in day-to-day operations by auctioning off the hospitals to help pay down its $9 billion debt. Auctions for hospitals outside of Florida will be held on June 28, while the nine Florida hospitals will be auctioned off on July 30.

Based in Dallas, Steward operates hospitals in eight states and has been the subject of a CBS News investigation that revealed unpaid bills and a risk of shortages in potentially lifesaving supplies. Massachusetts Governor Maura Healey has launched a hotline and website for patients with questions about the situation and has criticized Steward’s leadership in Dallas for greed, mismanagement, and lack of transparency that led to the bankruptcy filing. She emphasized the importance of preventing similar situations in the future.

Overall, Steward Health Care’s decision to sell all of its U.S. hospitals is a response to the company’s significant debt and aims to ensure the long-term operation of its healthcare facilities. Governor Healey has been vocal about the need for accountability and transparency in healthcare management to prevent similar financial crises in the future.