Winter Harbor LLC

Forum Health

Healthcare System Reorganizes Under Bankruptcy Protection

 

Forum Health is a operator of four hospital facilities and numerous ambulatory clinics, laboratories, and diagnostic and imaging centers, dating back to 1881. At full operation, Forum Health employed a staff of nearly 4,000. Forum Health saw annual revenues of $450 million.

Our Role

Winter Harbor served as Chief Restructuring Officer to develop a strategic reorganization plan and guide Forum Health through Chapter 11 bankruptcy protection.

  • Assisted the health system with liquidity management.

  • Identified and implemented performance-improvement initiatives.

  • Developed a strategic restructuring plan and a business plan.

  • Led lender negotiations.

  • Led process to sell all assets in a Section 363 bankruptcy sale.

  • After the sale, administered on a substantively consolidated basis the Debtors’ seventeen estates as the Liquidating Trustee.

Engagement Outcome

At the outset of our engagement, Forum Health was struggling with cutting operational costs, repaying debt, selling assets and retaining manager-level staff. Forum Health turned to Winter Harbor professionals to assist them with developing a strategic restructuring plan, which included filing for bankruptcy protection. Our professionals partnered with Forum Health executives to continue day-to-day operations at their four medical centers, as they led negotiations with lenders and liquidated assets through a Section 363 bankruptcy sale. Forum Health was successfully sold in the bankruptcy asset sale, creditor and other claims were resolved through negotiation and court rulings, and proceeds were distributed to creditors.