Universal to buy three Calif. hospitals

Universal Health Services, King of Prussia, Pa., said it signed an agreement to purchase the assets of three-hospital Vista Health System, Corona, Calif. Terms were not disclosed. Reports published in February identified Universal as the likely buy of the financially troubled not-for-profit system, which is being managed by Cambio Health Solutions, Brentwood, Tenn. Vista lost $36.9 million from 1999 through 2001. Last year, the system recorded a net loss but posted $20.5 million in operating earnings, said James Braley, a Cambio vice president. As part of the agreement with Universal, Vista and its subsidiaries filed for Chapter 11 bankruptcy protection, Braley said. The deal requires approval from bankruptcy court and California's attorney general and isn't expected to close sooner than year-end, he said. -- by Vince Galloro