Redeemer Health to Sell or Close Pennsylvania Hospital Amid Bankruptcy
Redeemer Health's board plans to sell or close Holy Redeemer Hospital after the system and 11 affiliates filed Chapter 11 bankruptcy Nov. 1, according to a declaration filed with the petitions in the U.S. Bankruptcy Court for the Eastern District of Pennsylvania. CEO James Logue said continued operation of the 239-bed hospital is not sustainable; the hospital and its physician network lost between $31.6 million and $48.9 million annually over the past five years. Redeemer reported about $441 million in total liabilities as of April 30, 2026, and about $8.39 million in unpaid employee wages across roughly 2,770 employees, with court approval for about $700,000 on Nov. 4 to pay 29 "key" employees. The bankruptcy court held a hearing Nov. 4 on Redeemer's request to use cash collateral, and the judge entered an interim order Nov. 9 allowing it, with a final hearing scheduled for Dec. 14; the system plans to keep and invest in its older adult and life care operations, which did not file for bankruptcy.