WEST READING, Pa. - Berks County-based Tower Health is said to be considering a plan to sell all six of its Philadelphia-area hospitals.
The Philadelphia Inquirer reports that Tower chairman Tom Work told investors this week that the board will consider "any and all" options to shed debt, with the goal of preserving Reading Hospital.
The paper said that Tower Health's flagship hospital in West Reading turned a profit of $66 million in fiscal year 2020, but the other medical centers, including Pottstown Hospital in Montgomery County, lost close to $400 million in the past two years.
Last month, Tower's credit rating was downgraded by Fitch and Standard and Poor over concerns about those other hospitals as well as losses incurred during the COVID-19 pandemic.
In a written statement, Tower Health told 69 News that there are no assets "currently in negotiations for any transaction." Tower said it is "taking aggressive actions to address its financial recovery" and it "remains focused on meeting the healthcare needs of the patients and communities" it serves.
Tower Health bought Brandywine, Chestnut Hill, Jennersville, Phoenixville, and Pottstown hospitals from Tennessee-based Community Health Systems in 2017.
In addition, it partnered with Drexel University last year to purchase St. Christopher's Hospital for Children.
Earlier this year, Tower Health, which has long been one of Berks County's largest employers, announced plans to eliminate 1,000 positions, citing the financial strains of the pandemic.