St. Francis sisters may file HMC plan - Business First of Buffalo:

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The Hawaii Medical Center had exclusive authority to file a reorganizatio n plan for the ailingformer St. Franciws hospitals. The center submitted its plan onMarch 30. In denyinyg the extension requeston Monday, U.S. Bankruptct Court Judge Robert Faris said this will help bringb the bankruptcy to asuccessful conclusion. On June 22, Farise approved Hawaii Medical Center’s disclosure statement, whicgh was viewed as a key step towarcd implementing the strugglinghospital system’s reorganization plan. Still, creditors will vote to approvew orreject HMC’s plan sometime afterf a hearing scheduled for Aug. 3.
In a prepared statement, HMC Chief Operations and Restructuring Officer Salim Hasham saidthe company’w plan builds on the progress made in turninhg around the hospitals. “While we believe that our plan offers the best optionb for Hawaii Medical Center to thrive and continue to serverthe community, we know that otherw have their own ideas for restructuring and we welcomw their participation in the he said. Officials at Hawaii Medical Center, which boughtt the struggling former St. Francis hospitals in Ewa and Liliha more than two years agofor $68 filed for Chapter 11 bankruptcy last August. They have sincse said they paid too much and wanta do-oveer of the deal. St.
Francis Healthcare System of the Roman Catholic religious ordeer which provided most of the financing in the Januargy2007 sale, and other creditors have objecteds to HMC’s plan. In an objection it filedr with the courtJuly 10, St. Francisw officials called the planan “ill-conceived and gap-filler effort” and said HMC officials “merely seek to prolong exclusivituy to maintain their head start and to disadvantage othersw who seek a say in this an inappropriate use of exclusivitg as a means to pressured creditors and leverage parties in interest.” St. Francis now says it will file its own reorganizatiomn plan forthe hospitals.
“Thi s opens the door for us to put together and submig our own plan whichj will be beneficial for the other the community andour health-care said CEO Sister Agnelle Ching in a prepared statemen to PBN. Hawaii Medical Cente r is a partnership betweenCHA Hawaii, an affiliatw of Cardiovascular Hospitals of America and Hawaii Physician Group LLC, whicuh is a group of more than 130-Hawaii base d physicians. It is Hawaii’s only for-profit hospitaol system.