Oakwood CEO responds to Vanguard purchase

Oakwood Healthcare President and CEO Brian Connolly provided the following comments on the proposed acquisition of Vanguard Health Systems by Tenet Healthcare: 

• This potential deal provides further evidence of rapid consolidation in the health care industry. Organizations are coming together to leverage their balance sheets, improve cost structure and expand their market presence. Make no mistake about it; these are strategic and economic tactics in an era of rapid change and uncertainty in healthcare. 

• The Detroit Medical Center, owned by Tenet, would create a powerful new competitor in our market. Tenet is highly experienced in this industry and Michigan would be an attractive target for them.
• Oakwood is marking our 60th year of being community owned and community operated. Key decisions about this organization and the way in which we meet the needs of the people of this region are made by governing boards made up of men and women who live in this region and get their care at Oakwood. We believe local governance makes a positive difference in the care we provide. 

• As I have said before, Bigger is bigger, not necessarily better. Size is only valuable where you can leverage value from it. Bigger is only good if you can bring more value. 

• Oakwood has been preparing for health reform and these types of market changes by demonstrating its costs and quality truly adds value to payers and employers, and by working closely with all of our physicians. 

• We will be watching this acquisition closely as we continue to do all we can to improve the health of our community and the health of our business.