Four executives stepped down from Reno, Nev.-based Renown Health today, including the system's CEO, after a law firm conducted a comprehensive review of Renown's acquisition of a cardiology practice that led to an antitrust complaint from the Federal Trade Commission, according to a news release.
The executives who departed the organization today, effective immediately, include:
• Jim Miller, president and CEO
• Kelly Testolin, JD, general counsel
• Andy Pearl, vice president of system development
• Phil Schweber, business development administrator
The executives' resignation comes after Renown's board asked law firm Bryan Cave to conduct a review of matters relating to Renown's acquisition of Sierra Nevada Cardiology Associates in March 2011. The FTC challenged the deal last year, alleging its acquisition made Renown the employer of 88 percent of cardiologists practicing in the Reno area.
To settle the antitrust allegations, Renown agreed to release 10 cardiologists from non-compete agreements, allowing them to work at competing practices without penalties. The system also paid a combined $4.2 million to 12 cardiologists as part of the settlement.
In the release, Renown Health board chairman David C. Line said, "There is no question that things did not go as planned, and for that we are sincerely sorry. … If the execution of the SNCA transaction had been as solid as our intentions, none of this would have occurred."
Donald C. Sibery has been named interim CEO of the system. Mr. Line will assume the role of interim president. Sheryl Feutz-Harter has been named interim legal counsel.
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The executives who departed the organization today, effective immediately, include:
• Jim Miller, president and CEO
• Kelly Testolin, JD, general counsel
• Andy Pearl, vice president of system development
• Phil Schweber, business development administrator
The executives' resignation comes after Renown's board asked law firm Bryan Cave to conduct a review of matters relating to Renown's acquisition of Sierra Nevada Cardiology Associates in March 2011. The FTC challenged the deal last year, alleging its acquisition made Renown the employer of 88 percent of cardiologists practicing in the Reno area.
To settle the antitrust allegations, Renown agreed to release 10 cardiologists from non-compete agreements, allowing them to work at competing practices without penalties. The system also paid a combined $4.2 million to 12 cardiologists as part of the settlement.
In the release, Renown Health board chairman David C. Line said, "There is no question that things did not go as planned, and for that we are sincerely sorry. … If the execution of the SNCA transaction had been as solid as our intentions, none of this would have occurred."
Donald C. Sibery has been named interim CEO of the system. Mr. Line will assume the role of interim president. Sheryl Feutz-Harter has been named interim legal counsel.
More Articles on Renown Health:
Renown Health Pays $4.2M to Cardiologists Under SettlementRenown Regional in Nevada Releases 10 Cardiologists From Non-Competes Under FTC Settlement
Renown Health Settles With Nevada AG on Cardiology Practice Acquisitions