Vanguard, Resurrection move to acquire two hospitals

Chicago-based Resurrection Health Care and Nashville Tenn.-based Vanguard Health Systems have entered into a non-binding letter of intent to transfer ownership of Westlake Hospital and West Suburban Medical Center to affiliates of Vanguard.

“We are pleased that Vanguard will continue to serve these communities,” said Sandra Bruce, Resurrection Health Care president and CEO. “Vanguard’s corporate structure provides access to capital that is far greater than what Resurrection would be able to invest in today’s difficult economy.”

Under terms of the proposed transaction, Vanguard will continue to operate Westlake Hospital and West Suburban Medical Center as acute care facilities under their existing names, maintain all graduate medical education programs and establish governance structures that ensure continued local input on community services provided by the hospitals.

“We have provided care in the Chicago area for the last decade and are excited to expand our ability to serve communities in the western suburbs,” said Charlie Martin, Chairman and CEO of Vanguard. “Through MacNeal Hospital we have become familiar with communities served by West Suburban and Westlake, and look forward to working with Resurrection to build upon their many years of commitment at West Suburban and Westlake.”

Vanguard said it will assure that each Hospital provides at least the same level of charity care discounts and services to Medicaid patients as well as continue the existing policies on indigent and charity care. The hospitals will continue to follow Ethical and Religious Directives for Catholic Health Care Services. The Archdiocese of Chicago has been fully informed of the agreement.

“The Resurrection Health Care board of directors and sponsors wish to stress that our decisions have been guided by a sensitivity to the impact this change will have on our employees, physicians, community supporters and the public at large,” said Sister Patricia Ann Koschalke, CSFN, chair of the Resurrection Health Care Sponsorship Board. “We are pleased that Vanguard shares a similar mission and philosophy of caring, so that the good work of these institutions can continue to grow.”