Novi, Mich.-based Trinity Health and Newtown Square, Pa.-based Catholic Health East, both Catholic health systems, have signed a non-binding letter of intent to come together in a unified health system.
The consolidation would create a health system serving individuals in 21 states with 82 hospitals, 89 continuing care facilities and home health and hospice programs. The resulting system would have annual operating revenue around $13.3 billion and assets of about $19.3 billion, according to the release.
Joseph Swedish, president and CEO of Trinity Health, would become president and CEO of the potential new organization, and Judith Persichilli, president and CEO of CHE, would become executive vice president of the new organization, according to the release. Until then, both executives would retain their current titles and responsibilities.
Leaders of both organizations feel the partnership extends their missions, addresses the changing healthcare environment and aims to preserve Catholic healthcare for the future, according to the release. "A unified ministry allows us to better leverage our talents and size, and to use our resources more effectively in furtherance of our mission," said Dennis Fitzpatrick, chairperson of Catholic Health East's board of directors. "Together, we will have a greater ability to influence and transform healthcare at the national level."
The development of the consolidation is in its preliminary phase. Over the next few months, the systems' boards and management will pursue the potential consolidation and conduct due diligence with a goal of reaching a definitive agreement in spring 2013, according to the release.
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The consolidation would create a health system serving individuals in 21 states with 82 hospitals, 89 continuing care facilities and home health and hospice programs. The resulting system would have annual operating revenue around $13.3 billion and assets of about $19.3 billion, according to the release.
Joseph Swedish, president and CEO of Trinity Health, would become president and CEO of the potential new organization, and Judith Persichilli, president and CEO of CHE, would become executive vice president of the new organization, according to the release. Until then, both executives would retain their current titles and responsibilities.
Leaders of both organizations feel the partnership extends their missions, addresses the changing healthcare environment and aims to preserve Catholic healthcare for the future, according to the release. "A unified ministry allows us to better leverage our talents and size, and to use our resources more effectively in furtherance of our mission," said Dennis Fitzpatrick, chairperson of Catholic Health East's board of directors. "Together, we will have a greater ability to influence and transform healthcare at the national level."
The development of the consolidation is in its preliminary phase. Over the next few months, the systems' boards and management will pursue the potential consolidation and conduct due diligence with a goal of reaching a definitive agreement in spring 2013, according to the release.
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