Pascack Valley Hospital, Westwood, N.J., said it will file for Chapter 11 bankruptcy and begin the process to close permanently.
The 154-bed hospital has suffered several years of significant operating losses and a non-reversible liquidity crisis, officials said in a news release.
Losses were in excess of $50 million over the past four years, including 2007. The operating loss in 2006 was $21.9 million and is projected to be more than $16 million this year.
Officials said efforts to find a strategic partner over the past year failed. Complete closure of the hospital, which requires approval from the state health department, is expected by year-end.
Ongoing, significant declines in patient volume and revenue make this bankruptcy and liquidation decision unavoidable, said Jane Connorton, Pascacks president and chief executive officer, in a news release. Pascack Valley has operated since 1959 on a 20-acre campus in Bergen County. -- by Cinda Becker
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