In fiscal year 2012, Boston-based Steward Health Care System lost more than $33 million, but that is still an improvement compared with the $57 million it lost in 2011, according to Steward's financials obtained by CommonWealth Magazine.
In January, the Massachusetts attorney general's office released figures on Steward's operations, showing that Steward had a net loss of $49.8 million in 2011, and coupled with other "extraordinary expenses," its loss was about $57 million. In 2010, the for-profit Steward — which is backed by private equity firm Cerberus Capital Management — acquired the struggling Caritas Christi Health System and other community hospitals in Massachusetts.
The red ink from 2012 was mostly due again to acquisition-related costs. Steward also spent $9.8 million last year on advertising, which included several TV spots during the summer Olympics.
Despite the eight-figure loss, Steward spokesman Chris Murphy told CommonWealth, "We are exactly where we expected to be in terms of quality, sustainability and financial performance."
In January, the Massachusetts attorney general's office released figures on Steward's operations, showing that Steward had a net loss of $49.8 million in 2011, and coupled with other "extraordinary expenses," its loss was about $57 million. In 2010, the for-profit Steward — which is backed by private equity firm Cerberus Capital Management — acquired the struggling Caritas Christi Health System and other community hospitals in Massachusetts.
The red ink from 2012 was mostly due again to acquisition-related costs. Steward also spent $9.8 million last year on advertising, which included several TV spots during the summer Olympics.
Despite the eight-figure loss, Steward spokesman Chris Murphy told CommonWealth, "We are exactly where we expected to be in terms of quality, sustainability and financial performance."
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