Sanford Health, a Sioux Falls, S.D.-based system of 23 affiliated hospitals, may soon add the 414-bed MeritCare Medical Center, Fargo, N.D., to its roster. It was announced that the boards of the two organizations have drafted a letter of intent, and details of a potential merger will be announced tomorrow at 9:30 a.m. CT. Merger discussions have been going on for more than four months.
Sanford Health, MeritCare plan to merge
In February, Roger Gilbertson, MeritCare’s first and only president and CEO, announced he would retire at the end of the year from the post that he’s held since 1993.
In May 2008, MeritCare announced it would need to cut some $15 million to $30 million from its budget. Last June, MeritCare announced that it would lay off some 90 employees, reduce work hours for 90 more, and eliminate 120 positions that were either vacant or filled by employees with “pending resignations.”
MeritCare was operating more than 30 clinics last year in North Dakota and Minnesota and has since closed or consolidated services for several of them.
Sanford Health currently has 23 affiliated hospitals, including 13 that are owned or leased and 10 that are contract-managed.
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