St. Mary's Medical Center of Evansville (Ind.) and Welborn Memorial Baptist Hospital in Evansville have received federal antitrust clearance for their merger.
Indiana Attorney General Jeff Modisett expects to complete a separate antitrust review by mid-October, his spokesman said.
The hospitals signed a letter of intent in March but have yet to reach a definitive agreement (March 16, p. 52).
St. Mary's, a 380-bed affiliate of St. Louis-based Daughters of Charity National Health System, will acquire 296-bed Welborn, a local not-for-profit, for an undisclosed price. Proceeds will go to a not-for-profit community foundation.
The hospitals have about 60% of inpatient admissions in Evansville and draw patients from approximately 30 counties in southwest Indiana, southeast Illinois and western Kentucky.
Reproductive services now offered at Welborn, which include contraception, sterilization and infertility treatment, will be discontinued following the merger.
For 1997, Welborn lost $1.7 million on patient revenues of $88 million. For its fiscal year ended June 30, 1998, St. Mary's posted net income of $29.2 million on revenues of $186.6 million.