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St. Luke’s Hospital will return to an independent stand-alone community hospital under terms that ProMedica filed with the Federal Trade Commission today.
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Legal battle over St. Luke’s Hospital ends

The Blade

Legal battle over St. Luke’s Hospital ends

ProMedica will provide year of transition services

St. Luke’s Hospital will return to an independent stand-alone community hospital under terms that ProMedica filed with the Federal Trade Commission today.

ProMedica submitted a formal application and divestiture agreement with the FTC, bringing to an end a legal battle with the federal agency to keep the Maumee hospital under the ProMedica umbrella. The document is subject to FTC approval.

ProMedica was ordered last year to start the process of unwinding its 2010 acquisition of St. Luke’s, after fighting an FTC order to divest all the way to the U.S. Supreme Court.

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The FTC challenged ProMedica’s takeover of St. Luke’s on the basis that it would be illegal and anti-competitive for two systems to merge, leaving the Toledo area with just two other health providers, Mercy Health and the University of Toledo Medical Center.

Under ProMedica's proposed agreement, the 182-bed hospital will again become an independent hospital, with its own board of directors and staff. It will retain its contract with ProMedica-affiliated insurer Paramount.

ProMedica will provide a year of transition services to St. Luke’s, such as helping it migrate to its own information technology system.

“After a period of time for public comment, and the FTC approves the agreement, ProMedica and St. Luke’s then will finalize the deliverables to transition St. Luke’s to an independent hospital. This entire process may take a number of months,” ProMedica said in a written statement.

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During the transition, nothing will change for St. Luke’s customers and patients. They can continue to see their doctors and the hospital will function as normal, said Tedra White, ProMedica spokesman.

The FTC will appoint a third-party monitor to oversee the divestiture process. No financial details were available in today’s filing.

Contact Marlene Harris-Taylor at: mtaylor@theblade.com, 419-724-6091, or on Twitter @marlenetaylor48.

First Published May 3, 2016, 10:06 p.m.

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