HMP Managing Director Ronald Winters provides his insight regarding the recent Chapter 11 filing of Morehead Memorial Hospital. Using Morehead as an example Winters discusses the two main drawbacks of Chapter 11 as the cost and the consequences of not being prepared with a plan. Winters urges any facility thinking about options like seeking a partner or bankruptcy to do so while they still have some amount of liquidity and unpledged assets .”When you have none left you’re not going to be able to drive an attractive transaction and you run the greatest risk of collapsing,”
The benefits of bankruptcy? How one hospital found redemption in Chapter 11
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