STAT+: Hospitals have been financially propping up medical schools, but now it’s squeezing their bottom lines
Before Banner Health agreed to shore up a pair of financially struggling medical schools, leaders framed such partnerships as a “must” for Arizona.
It’s come with a hefty price tag. Financial statements show the Phoenix-based health system has dedicated roughly $2 billion to the schools and a faculty medical group it bought as part of the deal, which closed in 2015. Meanwhile, Banner’s operating margin has slipped from 5% before the deal to 1%.
Continue to STAT+ to read the full story…
