The hospital chain has a higher foreclosure rate than average which is part of the reason the outlook is dwindling to a degree. The chain has been actively selling off non profitable hospitals as well. Prime Healthcare has been one company who has purchased several from Tenet here in California. Tenet also has the highest unemployment rate as well.
There have also been the lawsuits ongoing between Kaiser and Tenet with disputing payment amounts, whereas Tenet and others have accused Kaiser of not abiding by and paying the contracted rates when seeing out of network Kaiser patients at their facilities. The related news below has the details on some of the hospitals that were sold this year by Tenet.
Another source on the web stated the CEO had total compensation of over $10.5 million last year, including a base salary of over $1 million along with the company jet whereby only he only has to pay after the first 75 hours of personal flying a year. BD
Tenet Healthcare was bedridden on Tuesday. The hospital management company reported worse-than-expected earnings in the third quarter and 2009 doesn't look much better.
Shares of Tenet Healthcare (nyse: THC - news - people ) plummeted 36.7%, or $1.51, to $2.61, at the close Tuesday after it reported dismal third-quarter results that were only slightly helped by the sale of some investments.
The hospital management company is having trouble with patients who can't afford to pay their bills due to the turbulent American economy. Bad debt, the amount the hospital has to cover when patients are uninsured or underinsured, rose 5.8% to $163 million.