Community Health Systems sells its last West Virginia hospital

Community Health Systems sells its last West Virginia hospital

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Community Health Systems sold Plateau Medical Center in Oak Hill, West Virginia, to Vandalia Health in a $92 million deal that closed Saturday.

The transaction marks Community Health’s exit from West Virginia. It sold the 122-bed Greenbrier Medical Center in Ronceverte in January.

Franklin, Tennessee-based Community Health announced the pending deal in January for Charleston, W.Va.-based Vandalia to take over the 25-bed hospital, physician clinics and outpatient operations

The for-profit system continues to trim its footprint as it redirects resources to pay down debt and reinvest in partnerships. In February, Chief Financial Officer Kevin Hammons told investors on an earnings call the system is “engaged in continuing discussions” about other possible transactions.

Reducing contract labor costs is another priority for the system, which has 78 affiliated hospitals and more than 1,000 care sites across 15 states. Those costs dropped by more than 40% last year.

In 2022, Community Health reported net income of $46 million, compared with $230 million a year earlier.  Revenue declined 1.3% to $12.2 billion, and expenses rose 3.9% to $11.4 billion.

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