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LOUISIANA HEART HOSPITAL PURSUES
BANKRUPTCY PROTECTION AND ANNOUNCES PLANS TO WIND DOWN OPERATIONS
Employees continue to receive payment as hospital prepares to close by end of month



LACOMBE, Louisiana (January 30, 2017) – Louisiana Heart Hospital (LHH) and its affiliated medical group today announced plans to file for protection under Chapter 11 of the bankruptcy code and wind down its operations within the next month.

“Despite strong quality rankings and recent volume growth, Louisiana Heart Hospital has faced significant financial challenges in recent years. Like many hospitals around the nation, we struggle to balance shrinking reimbursements with rising operating costs,” said Scott Boudreaux, Chief Executive Officer of Louisiana Heart Hospital & Medical Group. “After many months of careful consideration and review of all available options, it has become clear we can no longer sustain the continued losses and have no choice but to cease operations.”

“This is not a decision we take lightly. As we move forward, we will work to ensure a smooth and orderly transition for patients while attempting to minimize the impact for our employees and physicians.”

The hospital has begun the process of notifying regulators, Emergency Management Services officials and other healthcare providers in the community of its plans. The LHH Emergency Room will remain open for a time and staff continues to provide care to hospital patients as operations wind down.

LHH has been in active discussions with potential buyers in recent months, however no agreement has been reached to date. The hospital and its owners are seeking the bankruptcy court’s approval of a $4.2 million debtor-in possession loan, which will be used to fund continued payment of accrued employee salaries and benefits through the wind-down period. The funds are also intended to assist employed physicians in the near term as they transition to independent practice.

“Having recently received CMS 4 Star status, this is most certainly not the outcome any of us or our investors wanted, and we deeply regret the personal impact this decision will have on our patients, employees and physician partners,” said Boudreaux.

Care for current inpatients will not be interrupted. Patients are encouraged to contact their physician if they have any question about upcoming scheduled procedures.

About Louisiana Heart Hospital
Opened in 2003, Louisiana Heart Hospital is nationally recognized for excellence in the treatment of cardiovascular disease and injuries affecting the spine. The 134-bed acute care hospital also offers a full range of inpatient and outpatient medical, surgical and diagnostic services covering more than 35 specialties including orthopedics, vascular and general surgery, gastroenterology, and neurology.