Tuesday, February 02, 2021 10:35:29 AM
Reopening Tennessee hospital a long shot, Rennova CEO says
Alia Paavola - Tuesday, September 22nd, 2020 Print | Email
Share
Reopening Jamestown (Tenn.) Regional Medical Center is central to the financial success of Rennova Health, but is nearly impossible given its current financial state, the hospital chain's CEO told News10.
Rennova Health CEO Seamus Lagan said that Rennova's business model depends on the shared resources and finances of at least three hospitals. It owns two other hospitals in Tennessee. In this regard, there is a serious financial incentive to reopen the Jamestown facility, but Rennova doesn't have the millions of dollars needed to do so, Mr. Lagan said.
In a June financial filing, the health system said it was more than $49 million in debt, and was spending about $2 for every $1 in revenue it generated.
In the last two years, employees at Rennova's hospitals said the company has routinely missed payroll and allowed supplies to dwindle to dangerous levels. Eventually, Rennova closed the Jamestown facility after regulators pulled its Medicare contract.
Despite the financial struggles, Mr. Lagan said he is committed to making Rennova financially solvent.
"It's not because we're stubborn or stupid. We do see opportunity for this business to succeed," Mr. Langan told News10. "There have been times that it would have been easier to throw the towel in."
More articles on healthcare finance:
Cook County Health seeks $23M funding boost to help reverse some cuts
Outlook remains negative for US for-profit hospitals, Moody's says
9 hospitals ending services, closing departments
Recent RNVA News
- Form 8-K - Current report • Edgar (US Regulatory) • 06/17/2024 12:46:02 PM
- Form NT 10-Q - Notification of inability to timely file Form 10-Q or 10-QSB • Edgar (US Regulatory) • 05/16/2024 08:15:33 PM
- Epazz, Inc. (OTC Pink: EPAZ) US Navy Collaboration with ZenaDrone • InvestorsHub NewsWire • 11/16/2023 12:32:07 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 10/31/2023 08:40:35 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 08/21/2023 08:30:32 PM
- Form 10-Q - Quarterly report [Sections 13 or 15(d)] • Edgar (US Regulatory) • 08/15/2023 12:52:37 PM
FEATURED POET Wins "Best Optical AI Solution" in 2024 AI Breakthrough Awards Program • Jun 26, 2024 10:09 AM
HealthLynked Promotes Bill Crupi to Chief Operating Officer • HLYK • Jun 26, 2024 8:00 AM
Bantec's Howco Short Term Department of Defense Contract Wins Will Exceed $1,100,000 for the current Quarter • BANT • Jun 25, 2024 10:00 AM
ECGI Holdings Targets $9.7 Billion Equestrian Apparel Market with Allon Brand Launch • ECGI • Jun 25, 2024 8:36 AM
Avant Technologies Addresses Progress on AI Supercomputer-Driven Data Centers • AVAI • Jun 25, 2024 8:00 AM
Green Leaf Innovations, Inc. Expands International Presence with New Partnership in Dubai • GRLF • Jun 24, 2024 8:30 AM