FRANKLIN, Tenn.--(BUSINESS WIRE)--Feb. 16, 2017--
Community Health Systems, Inc. (NYSE:CYH) announced today that
subsidiaries of the Company have signed a definitive agreement to sell
eight hospitals and their associated assets to subsidiaries of Steward
Health Care LLC. Facilities included in the transaction are 119-bed
Wuesthoff Health System-Melbourne in Melbourne, Fla.; 298-bed Wuesthoff
Health System-Rockledge in Rockledge, Fla.; 154-bed Sebastian River
Medical Center in Sebastian, Fla.; ValleyCare Health System of Ohio,
with 355-bed Northside Medical Center in Youngstown, 311-bed Trumbull
Memorial Hospital and 69-bed Hillside Rehabilitation Hospital in Warren;
258-bed Sharon Regional Health System in Sharon, Pa. and 254-bed Easton
Hospital in Easton, Pa.
The transaction is expected to close in the second quarter of 2017,
subject to customary regulatory approvals and closing conditions. The
Company will apply proceeds of the transaction to pay down debt.
Commenting on the announcement, Wayne T. Smith, chairman and chief
executive officer of Community Health Systems, Inc., said, “This
transaction is a significant step in our strategic work to optimize our
portfolio and operations for the future. These hospitals play an
important role in their communities and can benefit from Steward Health
Care’s community-based care model going forward.”
The Company will provide an update on its divestiture activity during
its fourth quarter and year-end 2016 earnings call. The conference call
is scheduled to begin at 10:00 a.m. Central time, 11:00 a.m. Eastern
time, on Tuesday, February 21, 2017. A live broadcast of the conference
call will be available online at www.chs.net.
About Community Health Systems, Inc.
Community Health Systems, Inc. is one of the largest publicly traded
hospital companies in the United States and a leading operator of
general acute care hospitals in communities across the country. The
Company, through its subsidiaries, owns, leases or operates 158
affiliated hospitals in 22 states with an aggregate of nearly 27,000
licensed beds. The Company’s headquarters are located in Franklin,
Tennessee, a suburb south of Nashville. Shares in Community Health
Systems, Inc. are traded on the New York Stock Exchange under the symbol
“CYH.” More information about the Company can be found on its website at www.chs.net.
Statements contained in this news release regarding potential
transactions, operating results, and other events are forward-looking
statements that involve risk and uncertainties. Actual future events or
results may differ materially from these statements. Readers are
referred to the documents filed by Community Health Systems, Inc. with
the Securities and Exchange Commission, including the Company’s annual
report on Form 10-K, current reports on Form 8-K and quarterly reports
on Form 10-Q. These filings identify important risk factors and other
uncertainties that could cause actual results to differ from those
contained in the forward-looking statements. The Company undertakes no
obligation to revise or update any forward-looking statements, or to
make any other forward-looking statements, whether as a result of new
information, future events or otherwise.
View source version on businesswire.com: http://www.businesswire.com/news/home/20170216006096/en/
Source: Community Health Systems, Inc.
Community Health Systems, Inc.
Larry Cash, 615-465-7000
President of Financial Services and Chief
Ross W. Comeaux, 615-465-7012
Director – Investor Relations
Senior Vice President, Corporate
Communications, Marketing and Public Affairs