HMC/CAH Consolidated Inc., Owner of I-70 Community Hospital, Emerges from Bankruptcy
Rural hospital owner HMC/CAH Consolidated Inc., the owner and operator of I-70
Community Hospital emerged from Chapter 11 bankruptcy on Jan. 17, 2013. HMC/
CAH’s exit from bankruptcy ended its 15 months of intense reorganization and HMC/
CAH emerged stronger financially with all 12 hospitals intact. HMC/CAHs facilities
are located in rural communities across the United States.
The major cornerstone of the reorganization plan was a consensus reached by creditors
who voted for HMC/CAH’s reorganization plan that was ultimately approved by the
bankruptcy court. In addition, HMC/CAH orchestrated the sale of its management
rights to a new company named Rural Community Hospitals of America, LLC that
will operate independent of HMC/CAH.
Larry Arthur, formerly the CEO of HMC/CAH, has now become the CEO of Rural
Community Hospitals of America. Mr. Arthur noted that “HMC/CAH will emerge
from bankruptcy a stronger organization.” Mr. Arthur also noted his appreciation for
the community and for the hospital employees “without their support our emergence
from bankruptcy would not have been possible.”
Mr Arthur also noted that “through the reorganization process, HMC/CAH has
significantly reduced its debt and emerged with a sustainable capital structure. Our
exit from bankruptcy will provide liquidity to meet our working capital and capital
This press release was provided by HMC/CAH Consolidated, Inc.