Bankrupt Doctors Community Healthcare Corp., Scottsdale, Ariz., has been granted the right to try to buy back four hospitals it is managing under debtor-in-possession provisions, including 303-bed Greater Southeast Community Hospital, Washington, and 364-bed Michael Reese Hospital and Medical Center, Chicago. The company filed for bankruptcy last November after its primary financier, National Century Financial Enterprises, collapsed. Doctors Community subsequently sold one of its five hospitals. Its bid to buy the four remaining hospitals out of bankruptcy will be evaluated against competing offers after bidding closes Dec. 5. The system has offered $40 million to $60 million in cash for the properties, said Thomas Reardon, Doctors Community chief restructuring officer and independent outside director. Reardon said competing bids have been made but he was unable to disclose information about them at this time. He called the bankruptcy court's approval of the auction process a "big, big step forward in getting these hospitals out of bankruptcy." The other hospitals are 109-bed Hadley Memorial Hospital, Washington, and 155-bed Pacifica Hospital of the Valley, Sun Valley, Calif. -- by Michael Romano
Doctors Community to bid for hospitals in auction
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