(PHILADELPHIA) – The University
of Pennsylvania Health System (UPHS) entered into an
agreement today to purchase Graduate
Hospital from Tenet
Healthcare Corporation (NYSE:
THC).
UPHS will continue Graduate’s 80-year tradition of providing
quality health care to its community by converting the hospital
into a comprehensive rehabilitation center and operating it in partnership
with Good
Shepherd Rehabilitation Network. Once Graduate Hospital is refurbished,
it will also house a long-term acute care hospital and provide enhanced
educational and research opportunities related to the science of
rehabilitation medicine. The purchase is expected to be complete
by March 30, 2007. The financial terms were not disclosed at this
time.
“The development of these specialized services at Graduate
Hospital is an important step for UPHS to meet the current and future
needs of patients throughout the Delaware Valley,” said Ralph
W. Muller, chief executive officer of the University of
Pennsylvania Health System.
Muller added, “This facility will expand our ability to offer
the finest rehabilitative care to a greater number of patients across
a wider geographic area.”
“We are delighted to have found a buyer for Graduate Hospital
that will continue to provide the community with much-needed health
care services at that site,” said Trevor
Fetter, Tenet’s president and chief executive officer.
“UPHS’ plan for the hospital made the best sense for
our patients, our physicians, our employees and our community.”
UPHS also announced today that it has formed a joint venture with
Good Shepherd Rehabilitation Network to develop Graduate into one
of the region’s largest and most comprehensive rehabilitation
facilities. Good Shepherd Penn Partners will convert the hospital.
Construction is expected to begin after the sale is complete and
take approximately 15 months, and the new facility will open to
patients in the summer of 2008.
“Together with Good Shepherd, we will soon be providing a
continuum of care through nationally accredited inpatient and outpatient
rehabilitation programs and services that have been shown to return
patients to their highest potential of functional independence,”
added Muller.
“The transfer in ownership and conversion of Graduate Hospital
into a long term acute care and rehabilitation facility is good
for the community and the health care delivery system in Southeastern
Pennsylvania,” said Edward
G. Rendell, Governor, Commonwealth of Pennsylvania. “UPHS
and Tenet should be congratulated for the careful and sensitive
planning that has gone into this transaction. Ultimately this change
will also result in continued job opportunities in Philadelphia.
In the meantime, the state will work with Penn and Tenet to ensure
that any worker who may be affected in the short term by this transfer
and conversion process, will have the opportunity to find other
employment.”
Graduate Hospital employees will have the opportunity to pursue
a transfer to other Tenet hospitals or to UPHS for positions for
which they are qualified, or apply for positions at the new facility
when it reopens. Job fairs, employment counseling and appropriate
severance will be provided by Tenet to those employees who do not
receive offers of comparable employment at other Tenet or UPHS facilities.
Conversion plans have been carefully designed to minimize the disruption
of patient care services. During construction, patients who would
have been previously treated at Graduate Hospital will be able to
receive care at one of at least five nearby hospitals, including:
The Hospital of the University
of Pennsylvania, Pennsylvania
Hospital, Hahnemann
University Hospital, Thomas
Jefferson University Hospital and Penn
Presbyterian Medical Center. As Graduate converts to an advanced
rehabilitation center, an urgent care center will be open to meet
the health care needs of the immediate surrounding community.
Tenet announced
(PDF) on June 29, 2006 that Graduate Hospital would be sold.
###
Tenet Healthcare Corporation, through its subsidiaries,
owns and operates acute care hospitals and related health care services.
Tenet’s hospitals aim to provide the best possible care to
every patient who comes through their doors, with a clear focus
on quality and service. Tenet can be found on the World Wide Web
at www.tenethealth.com.
PENN Medicine is a $2.9 billion enterprise dedicated
to the related missions of medical education, biomedical research,
and high-quality patient care. PENN Medicine consists of the University
of Pennsylvania School of Medicine (founded in 1765 as the nation's
first medical school) and the University of Pennsylvania Health
System.
Penn's School of Medicine is ranked #2 in the nation for receipt
of NIH research funds; and ranked #3 in the nation in U.S. News
& World Report's most recent ranking of top research-oriented
medical schools. Supporting 1,400 fulltime faculty and 700 students,
the School of Medicine is recognized worldwide for its superior
education and training of the next generation of physician-scientists
and leaders of academic medicine.
The University of Pennsylvania Health System includes three hospitals,
all of which have received numerous national patient-care honors [Hospital
of the University of Pennsylvania; Pennsylvania Hospital, the nation's
first hospital; and Penn Presbyterian Medical Center]; a faculty practice
plan; a primary-care provider network; two multispecialty satellite
facilities; and home care and hospice. Some of
the statements in this release may constitute forward-looking statements.
Such statements are based on Tenet’s current expectations
and could be affected by numerous factors and are subject to various
risks and uncertainties discussed in Tenet’s filings with
the Securities and Exchange Commission, including Tenet’s
annual report on Form 10-K for the year ended Dec. 31, 2005, Tenet’s
quarterly reports on Form 10-Q and periodic reports on Form 8-K.
Do not rely on any forward-looking statement, as Tenet cannot predict
or control many of the factors that ultimately may affect Tenet’s
ability to achieve the results estimated. Tenet makes no promise
to update any forward-looking statement, whether as a result of
changes in underlying factors, new information, future events or
otherwise.
Penn Medicine is one of the world’s leading academic medical centers, dedicated to the related missions of medical education, biomedical research, and excellence in patient care. Penn Medicine consists of the Raymond and Ruth Perelman School of Medicine at the University of Pennsylvania (founded in 1765 as the nation’s first medical school) and the University of Pennsylvania Health System, which together form a $7.8 billion enterprise.
The Perelman School of Medicine has been ranked among the top medical schools in the United States for more than 20 years, according to U.S. News & World Report's survey of research-oriented medical schools. The School is consistently among the nation's top recipients of funding from the National Institutes of Health, with $425 million awarded in the 2018 fiscal year.
The University of Pennsylvania Health System’s patient care facilities include: the Hospital of the University of Pennsylvania and Penn Presbyterian Medical Center—which are recognized as one of the nation’s top “Honor Roll” hospitals by U.S. News & World Report—Chester County Hospital; Lancaster General Health; Penn Medicine Princeton Health; and Pennsylvania Hospital, the nation’s first hospital, founded in 1751. Additional facilities and enterprises include Good Shepherd Penn Partners, Penn Home Care and Hospice Services, Lancaster Behavioral Health Hospital, and Princeton House Behavioral Health, among others.
Penn Medicine is powered by a talented and dedicated workforce of more than 40,000 people. The organization also has alliances with top community health systems across both Southeastern Pennsylvania and Southern New Jersey, creating more options for patients no matter where they live.
Penn Medicine is committed to improving lives and health through a variety of community-based programs and activities. In fiscal year 2018, Penn Medicine provided more than $525 million to benefit our community.