A bankruptcy judge has approved the liquidation plan of Christ Hospital in Jersey City, N.J., meaning the 367-bed hospital is set to exit Chapter 11 bankruptcy after 16 months of reorganization, according to a Law360 report.
Christ Hospital filed for Chapter 11 bankruptcy in February 2012 after Ontario, Calif.-based Prime Healthcare withdrew its bid to purchase the hospital and convert it to a for-profit entity. The hospital was also experiencing high rates of charity care, high pension costs and "oppressive" managed care contracts with payers, according to the report. However, for-profit Hudson Holdco, now CarePoint Health based in Hudson County, N.J., eventually acquired Christ Hospital in July 2012 for $45.3 million.
U.S. Bankruptcy Judge Morris Stern approved Christ Hospital's exit plan, which included a settlement for unpaid pension obligations.
At least nine hospitals filed for bankruptcy in 2012, and through the first half of 2013, five more hospitals have done the same.
Christ Hospital filed for Chapter 11 bankruptcy in February 2012 after Ontario, Calif.-based Prime Healthcare withdrew its bid to purchase the hospital and convert it to a for-profit entity. The hospital was also experiencing high rates of charity care, high pension costs and "oppressive" managed care contracts with payers, according to the report. However, for-profit Hudson Holdco, now CarePoint Health based in Hudson County, N.J., eventually acquired Christ Hospital in July 2012 for $45.3 million.
U.S. Bankruptcy Judge Morris Stern approved Christ Hospital's exit plan, which included a settlement for unpaid pension obligations.
At least nine hospitals filed for bankruptcy in 2012, and through the first half of 2013, five more hospitals have done the same.
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