The Sound Shore Medical Center in New Rochelle. / File photo by Matthew Brown / The Journal News
Written by
Jane Lerner
NEW ROCHELLE
— Sound Shore Medical Center and Mount Vernon Hospital have filed for
bankruptcy as part of a plan to be acquired by a Bronx hospital,
officials said Wednesday.
The plan would let both Westchester County hospitals remain open and operate as part of Montefiore Medical Center while the application is before U.S. Bankruptcy Court.
The Sound Shore Health System, which includes Mount Vernon Hospital, has signed an “asset purchase agreement” with Montefiore for the Bronx hospital to buy its assets as well as some of its debts, according to a statement.
The deal includes the Helen and Michael Schaffer Extended Care Center in New Rochelle. Both hospitals said they expect to close the deal by the end of the year. Terms were not disclosed.
While the case is making its way through Bankruptcy Court, Sound Shore and Mount Vernon will continue to provide uninterrupted care for patients.
Workers at Sound Shore and Mount Vernon were told of the plan during meetings Wednesday afternoon with CEO John Spicer.
“It was very positive,” said Kathy Santoiemma, a nurse for 36 years. “There aren’t going to be any layoffs, and they are going to come in and fix things up and even expand services. We are very happy and relieved.”
Montefiore long has been mentioned as a possible suitor for the financially weakened Sound Shore system, which includes Mount Vernon — considered the most likely hospital in the region to close. Westchester Medical Center in Valhalla had said it was exploring a plan to merge with Sound Shore, but the Valhalla hospital said this month that it was ending those talks.
Montefiore has been increasing its presence in Westchester. It recently bought a large office building in Tarrytown for its computer and business departments. Montefiore has outpatient facilities in Yonkers and Hartsdale.
“Montefiore has always been in search of a Westchester strategy, and this may give it to them,” said Kevin Dahill, president of Northern Metropolitan Hospital Association.
The plan would let both Westchester County hospitals remain open and operate as part of Montefiore Medical Center while the application is before U.S. Bankruptcy Court.
The Sound Shore Health System, which includes Mount Vernon Hospital, has signed an “asset purchase agreement” with Montefiore for the Bronx hospital to buy its assets as well as some of its debts, according to a statement.
The deal includes the Helen and Michael Schaffer Extended Care Center in New Rochelle. Both hospitals said they expect to close the deal by the end of the year. Terms were not disclosed.
While the case is making its way through Bankruptcy Court, Sound Shore and Mount Vernon will continue to provide uninterrupted care for patients.
Workers at Sound Shore and Mount Vernon were told of the plan during meetings Wednesday afternoon with CEO John Spicer.
“It was very positive,” said Kathy Santoiemma, a nurse for 36 years. “There aren’t going to be any layoffs, and they are going to come in and fix things up and even expand services. We are very happy and relieved.”
Montefiore long has been mentioned as a possible suitor for the financially weakened Sound Shore system, which includes Mount Vernon — considered the most likely hospital in the region to close. Westchester Medical Center in Valhalla had said it was exploring a plan to merge with Sound Shore, but the Valhalla hospital said this month that it was ending those talks.
Montefiore has been increasing its presence in Westchester. It recently bought a large office building in Tarrytown for its computer and business departments. Montefiore has outpatient facilities in Yonkers and Hartsdale.
“Montefiore has always been in search of a Westchester strategy, and this may give it to them,” said Kevin Dahill, president of Northern Metropolitan Hospital Association.
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