Steward Bankruptcy Senate Hearing To Go Forward

Key Points

• A Senate hearing will be held to investigate the bankruptcy of Steward Health Care System.
• The hearing will focus on the impact of the bankruptcy on patients, employees, and communities.
• The hearing will also examine the role of private equity firms in Steward's financial troubles.

Senate to Hold Hearing on Steward Bankruptcy

The Senate Judiciary Committee has announced that it will hold a hearing on the bankruptcy of Steward Health Care System.

The hearing is scheduled for Wednesday, March 8, 2023, at 10:00 AM in the Hart Senate Office Building.

The hearing will examine the impact of the bankruptcy on patients, employees, and communities. It will also examine the role of private equity firms in Steward's financial troubles.

Steward Health Care System

Steward Health Care System is a for-profit hospital chain based in Dallas, Texas.

The company operates 39 hospitals in nine states, including Massachusetts, Pennsylvania, and Texas.

Steward filed for bankruptcy in March 2022.

Impact of Bankruptcy

The bankruptcy has had a significant impact on patients, employees, and communities.

Many patients have lost access to care as Steward hospitals have closed or reduced services.

Thousands of employees have been laid off.

And communities have been left to deal with the loss of vital healthcare services.

Role of Private Equity Firms

Private equity firms have played a significant role in Steward's financial troubles.

In 2010, a private equity firm called Cerberus Capital Management acquired Steward for $1.1 billion.

Cerberus then loaded Steward with debt and extracted large sums of money from the company.

Hearing Details

The Senate Judiciary Committee hearing will be open to the public.

The hearing will be livestreamed on the committee's website.

Witnesses who are scheduled to testify include:

• Michael Thomas, CEO of Steward Health Care System
• Marjorie McKeithen, President of the Massachusetts Nurses Association
• David Blumenthal, President of the Commonwealth Fund