Finance
e-Newsletter
Intelligence Unit Special Reports Special Events Subscribe Sponsored Departments Follow Us

Twitter Facebook LinkedIn RSS

Gilbert (AZ) hospital files for Chapter 11 bankruptcy

AZCentral.com, February 19, 2014

A small Gilbert hospital that was once highly profitable and served as a model for other emergency-room centers has filed for Chapter 11 bankruptcy reorganization. Gilbert Hospital executives did not return multiple calls, but an attorney said the bankruptcy filing stemmed from several factors, including a loss of financing, management changes, competition from other Gilbert hospitals and construction near the hospital that may have discouraged patients from visiting its emergency room. Pernell McGuire, the hospital's bankruptcy attorney, said the most immediate reason for the filing was a cash crunch after a lender, Stillwater Bank, seized about $1.1 million from the hospital.