Tower Health has recorded a massive loss on the five hospitals it acquired in the region in 2017, including Brandywine, Phoenixville hospitals as well as Montco’s Pottstown Hospital, and the soon-to-close Jennersville Hospital, writes Harold Brubaker for The Philadelphia Inquirer.
The Berks County nonprofit reported a $370.7 million loss on the hospitals, urgent care centers it acquired in 2018, along with St. Christopher’s Hospital for Children hospital it bought in 2019 in a joint venture with Drexel University, for the fiscal year ended June 30.
Four years ago, Tower paid $426 million for the acquisition of these five hospitals across the collar counties.
The write-down on the hospitals was $292.9 million, or almost 80 percent of the total. The financially troubled health system had already previously recorded a $23.6 million loss on Brandywine.
These losses have prompted Tower to announce the closure of Jennersville Hospital in West Grove effective on January 1.
The health system also had a preliminary agreement to sell both Chestnut Hill Hospital and a number of its urgent care centers to Trinity Health Mid-Atlantic.
Currently, the nonprofit is still looking for a way to keep Brandywine open.
Read more about Pottstown Hospital and Tower Health in The Philadelphia Inquirer.
