Allina Hospitals and Clinics continued its corporate restructuring last week with the announcement that two employees who helped guide the company during its search for a new chief executive officer are leaving the Minneapolis-based organization.
David Jones and Marvin Dehne, who helped lead Allina since its split from its health plan, Medica, last year, will not be working under Richard Pettingill, who was named president and CEO of the system in October. Jones, 58, who served as chief financial officer, is retiring in early 2003. Dehne, 56, who was executive officer and president of the hospitals division, is seeking opportunities elsewhere, a spokeswoman said.
Allina, which has 14 hospitals and 42 medical clinics, will be considering candidates to fill the CFO position. Dehne's duties will be taken over by Pettingill, 54.
"When a new leader comes on board, he tends to re-create things," Allina spokeswoman Kendra Calhoun said. "Dick has a clear vision of where he wants to go. He has done a lot of listening."
The change in management structure did not affect Allina's bond ratings, although analysts said they believed the departure of Dehne and Jones increased Allina's short-term credit risk.
In a research note last week, Moody's Investors Service said Jones and Dehne provided "continuity and stability at the highest management levels." Their departures could prompt more managers to leave, which could pose a challenge because much of the management team has left in the past 15 months, analysts said.
Moody's said Allina likely would overcome the transition without experiencing permanent credit deterioration.