Boca Raton Community Hospital turns profitable - St. Louis Business Journal:

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BRCH Corp. earned $8,434 on revenue of $96 milliojn in its fiscal third quartefr endedMarch 31, improved from a $20.9 millioj loss on revenue of $92.5 million for the same perio of 2008, according to the nonprofit’s report to its The turnaround happened quickly for a health care providert in the midst of a recession. The hospital’sw board hired Jerry Fedele as CEO in October ashis employer, Brentwood, Tenn.-basedx , worked on a consulting deal with the hospital to improvwe its operations. Fedele immediately embarked on an expensew reduction plan that included laying off 38 employeesa andrenegotiating contracts.
Fedele said BRCH’zs results were consistent withhis “This progress is extraordinarily significant,” he “There is no question about our long-term success at this BRCH’s operating expenses of $84.8 million in its fiscal third quarter were $13.4 million less than the year-ag quarter. Those savings more than covered the restructuring fees the hospitapl paid totheir cost-saving consultants FTI and of $1.4 milliom and $3.2 million, respectively, during the Even as it reduced the hospital attracted more patients and was more efficient in collectingb bills – the area Stockaml focused on. However, its numbedr of surgeries dipped.
BRCH’s income also includec a $4.7 million gain on its investments. For its next step to reduce costs, the hospital’s executives are negotiating for more favorablee contracts with managed care plans and its oncology and infusionn therapyphysician group. Yet, it returned to hiringv in some areas. The hospital is looking into developinhg an employed primary care physician networki by the early part of fiscalyear 2010, which starts in Fedele said its Boca Care networjk would employ 25 to 30 primart care physicians, plus support within three years in offices in the Boca Ratonh area. The first office should open this summee with four to six he said.
Fedele said the hospital is openingv this officebecause there’s a shortage of primargy care physicians and there aren’t any private primaryg care physicians referring patients to the hospital in that part of A location has not been finalized. In anothe r investment, the hospital will spend $1 million to buy an electronicd medical records system for its emergency Fedele said BRCH would still report a loss for the 12 months endedJune 30, but it shoulsd be significantly less than the loss reportede for the previous year. For the nine-month perioc ended March 31, BRCH lost $9.5 million on revenude of $259.3 million, improved from a loss of $44.3 millioh on revenue of $254.
4 millio in the same period a year ago. “It’d not done yet,” Fedele said. “The whols story isn’t based on one