October 16, 2007
Sage Memorial Hospital Projects Breakeven For FY2007
GANADO, Ariz., Oct. 16 /PRNewswire/ -- Sage Memorial Hospital announced today that it expects its profitability to be near breakeven for FY2007. The breakeven results are attributed to Morgan and Associates' design and implementation of a turnaround plan, which offsets the $1.8 million loss projected earlier this year.
"The leadership and efforts of Mr. Morgan, Mr. Razaghi and their dedicated team of professionals have saved our hospital from the brink of bankruptcy," stated Tomicita Gorman, Chairman of Sage Memorial Hospital's Board of Directors. "The Board of Directors has made a three year commitment to Morgan & Associates and we have worked diligently along side the team from the very beginning to realize the success of the turnaround plan."
"The Board of Directors mission is to provide quality healthcare to our communities and local chapters. With the new positive results, the Board can now begin to focus its efforts on bringing the vision of a new facility into reality," continued Ms. Gorman. "To that end, we have initiated efforts to work with the local chapter leaders and Navajo Nation Council delegates, particularly Fort Defiance Council delegates, to secure funding for a new facility."
"While the final results for the year are still pending, early indications suggest that Sage Memorial Hospital may breakeven this year," commented Mr. Ahmad R. Razaghi, CEO of Morgan and Associates. "Our goal [for Sage Memorial] is to establish a stable and sustainable platform for the operations of the facilities that will allow for the long-term success of this organization," continued Mr. Razaghi.
Morgan and Associates was engaged to design and implement a turnaround strategy for Sage Memorial Hospital in advance of developing and financing a new hospital. The initial phase of the turnaround plan focused on realigning the management and administration functions to improve the operational efficiencies of the hospital and its clinics. As a part of the turnaround strategy, Morgan and Associates successfully negotiated a number of agreements including a three-year agreement with Indian Health Services to provide healthcare services. Morgan and Associates will begin working with the medical staff to implement similar efficiencies in the clinical areas of the organization. "The strategic changes made thus far [at Sage Memorial Hospital] have proved to be very beneficial for the organization," stated Mr. Manuel Morgan, President of Morgan and Associates. "These changes are in-line with our goal of continually improving the quality of care being provided to the communities served by Sage Memorial Hospital while maintaining fiscal discipline."
About Sage Memorial Hospital
Established in 1901, Sage Memorial Hospital provides medical and dental care to the residents of Ganado, AZ and surrounding communities spanning over 1,800 square miles. Sage Memorial operates a critical access hospital and three field clinics and provides healthcare to nearly 70,000 patients per year. The facilities are under the management of Navajo Health Foundation-Sage Memorial Hospital, which is the first Native American-managed comprehensive healthcare system in the U.S. The Presbytery of Grand Canyon maintains ownership of the property and buildings, and leases the facilities to the Navajo Health Foundation-Sage Memorial Hospital.
About Morgan & Associates
Morgan & Associates is a healthcare management, development and investment banking firm. The principles of the firm have extensive experience with Native American healthcare projects and management, which most recently includes the development and financing of Blue Mountain Hospital in Blanding, UT.
Sage Memorial Hospital
CONTACT: Kory Razaghi, +1-949-468-8868, [email protected], for SageMemorial Hospital