Promise Healthcare Group, Operator Of 14 Long-Term Care Hospitals, Files For Bankruptcy

Boca Raton, Florida-based hospital and nursing home chain organization Promise Healthcare Group (Promise) recently filed for Chapter 11 bankruptcy. Chapter 11 is a chapter of Title 11, the United States Bankruptcy Code, which permits reorganization under the bankruptcy laws of the United States.

After years of financial struggles, Promise recently reported being more than $565 million in combined debt due to what it cites as industry dynamics and under-performing facilities. Specifically, Promise leadership points to changes in Medicare reimbursements—particularly sharply declining rates—as the reason for its financial issues. The organization plans to sell some or all . . .