Prime Healthcare Services Receives Acquisition Approval for St. Mary's Hospital

Prime Healthcare Services Receives Acquisition Approval for St. Mary's Hospital

07-23-2014

On Wednesday, July 23th, New Jersey Superior Court Judge Margaret Mary McVeigh approved the sale of St. Mary's Hospital to Prime Healthcare Services. The decision follows approval for the acquisition from both the NJ Attorney General's Office and the State Department of Health & Senior Services.

"Prime Healthcare Services is excited to partner with St. Mary's Hospital and is committed to delivering high-quality healthcare in Passaic and the surrounding communities while preserving the hospital's charity care initiatives," said Prem Reddy, M.D., FACC, FCCP, Chairman, President and CEO of Prime Healthcare Services. "Our clinical and operational expertise has helped earn our system and hospitals awards and accolades that have made us nationally renowned, and we plan on guiding St. Mary's in similar fashion."

"This is a special day for St. Mary's Hospital, and its patients and employees. I'm very pleased with the outcome of the court proceeding and receiving the order today," said Edward J. Condit, President & CEO of St. Mary's Hospital.

"Prime Healthcare had already invested in St. Mary's, bringing new technology and capital improvements," said Luis Leon, President of Operations for Prime Healthcare Services. "Prime Healthcare's motto is 'Saving Hospitals, Saving Jobs and Saving Lives,' and we plan to continue that at St. Mary's and help it become one of the best hospitals in the state and in the country."

Prime Healthcare is investing more than $80 million in St Mary's Hospital with this sale. St. Mary's serves Passaic, Clifton, Wallington, Carlstadt, Rutherford/East Rutherford, and many other surrounding towns.

Some of the key points of the acquisition will include:

  • Prime Healthcare will keep St Mary's as a 269 bed acute care facility
  • Investing $30 million in capital improvements in the Hospital
  • Maintaining charity care levels for patients in need of financial assistance
  • Hiring all existing employees; maintaining physician base
  • Upholding the existing Collective Bargaining Agreement with JNESO
  • Honoring the Catholic Ethical & Religious Directives

"Prime Healthcare is patient-focused and quality driven," said Mr. Condit. St. Mary's will now join a system which boasts top rankings in quality across the country. This acquisition will strengthen St. Mary's financially so it may dedicate more of its resources to providing even better community care."

Prime Healthcare has been recognized as one of the "15 Top Health Systems" three times in the past six years, based on the quality of care and patient satisfaction. Since 2003, Prime Healthcare hospitals were ranked among the "100 Top Hospitals" 27 times. Prime Healthcare owns and or operates 28 hospitals in eight states and has more than 30,000 employees.

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