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Despite Bankruptcy, Penobscot Valley Hospital Isn’t Making Many Changes to How It Runs

Submitted by jhartgen@abi.org on

When Penobscot Valley Hospital entered bankruptcy in January amid a drop in patients in recent years, it planned to cut the number of doctors that staff the 25-bed facility, the Lincoln, Maine-based hospital said in a court filing this month, the Bangor Daily News reported. But the hospital has changed that plan after seeing a surprising uptick in patient visits this year. Now, it intends to maintain its existing services and staffing levels, according to CEO Crystal Landry. It now employs around 116 people. “We have no plans to make any changes to our service lines,” she said last week. However, at least two of the hospital’s creditors are unhappy with that position and said the facility will have to make some operational changes if it hopes to pay back its debts and stay in business. In January, Penobscot Valley Hospital sought chapter 11 protection after accruing up to $10 million in debt to creditors, including the U.S. Department of Agriculture, the Maine Department of Health and Human Services, Machias Savings Bank and the federal Centers for Medicare and Medicaid Services.