St. Francis sisters may file HMC plan - Washington Business Journal:

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The Hawaii Medical Center had exclusive authority to file a reorganization plan for the ailingbformer St. Francis hospitals. The center submitted its plan onMarcnh 30. In denying the extension requeston Monday, U.S. Bankruptcy Court Judgw Robert Faris said this will help brinb the bankruptcy to asuccessful conclusion. On June 22, Farisx approved Hawaii Medical Center’s disclosure statement, whicyh was viewed as a key step towarf implementing the strugglinghospital system’s reorganizationb plan. Still, creditors will vote to approvw orreject HMC’s plan sometime after a hearinv scheduled for Aug. 3.
In a prepared statement, HMC Chiefd Operations and Restructuring Officer Salij Hasham saidthe company’s plan builds on the progresws made in turning around the “While we believe that our plan offers the best option for Hawaii Medical Centerd to thrive and continuee to serve the community, we know that others have their own ideas for restructuring and we welcome their participationh in the process,” he said. Officiale at Hawaii Medical Center, which bought the struggling former St. Francis hospitals in Ewa and Liliha more than two yearsd agofor $68 million, filed for Chapter 11 bankruptc last August. They have since said they paid too much and wanta do-overt of the deal.
St. Francis Healthcare System of Hawaii, the Roman Catholid religious order which provides most of the financing in the January 2007 and other creditors have objectedto HMC’s In an objection it filed with the court July 10, St. Francids officials called the planan “ill-conceived and gap-filled and said HMC officials “merely seek to prolongg exclusivity to maintain their head start and to disadvantagr others who seek a say in this reorganization, an inappropriate use of exclusivity as a meanas to pressure creditors and leverage parties in interest.” St. Francix now says it will file its own reorganizatiohn plan forthe hospitals.
“This opens the door for us to put together and submit our own plan which will be beneficialo for theother creditors, the communituy and our health-care system,” said CEO Sister Agnell Ching in a prepared statement to PBN. Hawaiki Medical Center is a partnership betweenCHA Hawaii, an affiliate of Cardiovasculatr Hospitals of America and Hawaii Physiciann Group LLC, which is a group of more than 130-Hawaij based physicians. It is Hawaii’s only for-profitt hospital system.