After reporting a drop in hospital operations revenue in the third quarter of 2018, Dallas-based Tenet Healthcare Corp. closed the sale of three Chicago-area hospitals to Los Angeles-based Pipeline Health.
What you should know:
1. Tenet sold Louis A. Weiss Memorial Hospital, Westlake Hospital and West Suburban Medical Center in a deal that was announced in July 2018. In early 2018, the company sold MacNeal Hospital in Berwyn, Ill., to Chicago-based Loyola Medicine.
2. Tenet has been shifting its investment portfolio over the past several years. The company sold nine hospitals between August 2017 and April 2018, after more than doubling its platform of ambulatory care centers with its 2015 investment in Addison, Texas-based United Surgical Partners International.
3. While Tenet’s hospital operations "fell short" in the third quarter of 2018, the company's ambulatory performance remained strong.
Tenet Executive Chairman and CEO Ronald A. Rittenmeyer said about the results: "My view as CEO is that we had a solid quarter in Conifer and USPI, and we fell short in hospital operations. … Make no mistake, growth and operational excellence are my top priorities as it relates to hospital operations. While we had some headwinds in all the malpractice settlements this quarter, as well as an impact from prior hospital divestitures, our growth is not acceptable."
4. Notably, Tenet eliminated the president of hospital operations position following Eric Evans' departure from the role in late 2018.