The board of 330-bed Carraway Methodist Medical Center, Birmingham, Ala., signed a letter of intent to sell the struggling hospital to GP Medical Ventures, Nashville, a hospital operator and developer. The deal is expected to close by early 2006, according to a memo sent to employees from Thomas Litz, Carraway's chief executive officer. At deadline, Tom Gallagher, CEO of GP, had not returned calls. On its Web site, the company says it works with local physicians and hospitals. Carraway, once a three-hospital system, began searching for a buyer in 2001 and sold two of its hospitals in 2002. The remaining hospital, Carraway Methodist, lost $75 million from 2000 to 2004, according to the American Hospital Directory, which compiles public data on U.S. hospitals. In June 2004, creditors granted Carraway a five-year forbearance on $103 million in outstanding bonds. -- by Melanie Evans
Ala. hospital finds buyer after years of trying
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