Counting the cost

Coalinga Regional Medical Center will close its doors as of June 15. CEO Wayne C. Allen has scrutinized the situation, noting that the recent trend of monthly losses of roughly $400,000 per month over the past 11 months. The total of loss racked up in this fiscal year beginning from July until March was $4.6 million.
“This is unsustainable,” said Allen. “This was more than a wake-up call. This is devastating.”
The board and former CEO Sharon Spurgeon who retired early in April, dealt with the monthly losses by burning through the cash on hand, then turning to credit, and finally by not paying outstanding bills they had with vendors.
(Continued in Coalinga Press Vol.1 Issue 4)

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