In a major shakeup in the Arizona healthcare landscape, Dallas-based Steward Health Care has thrown four hospitals onto the sales block. These moves come on the heels of the company's Chapter 11 bankruptcy protection filing, as reported by ABC15. The troubled company, now grappling with a $9 billion debt load, is shedding all 31 of its hospital properties nationwide.

Steward's decision has put a spotlight on the company's Arizona facilities which include Florence Hospital in Florence, Mountain Vista Medical Center in Mesa, St. Luke’s Behavioral Health Center in Phoenix, and Tempe St. Luke’s Hospital in Tempe. In the announcement of the bankruptcy filing, which took a dive into the company's troubles for the first time on May 6, Arizona Attorney General Kris Mayes has ramped up efforts to investigate the circumstances leading to the financial nosedive. This information was detailed by the Business Journal.

Complicating the sale is Steward's aborted deal with Optum, owned by UnitedHealth Group, to sell its physician group. Announced in March, this deal has been derailed by the bankruptcy proceedings, leaving many to wonder about the fate of Steward's provider groups and other nonhospital assets. "Arizonans deserve to know more about the circumstances that led to Steward’s bankruptcy filing. I am deeply concerned about the potential impact this could have on Arizona patients and medical providers,” Mayes stated, signalling her intention to keep a close watch over proceedings, ensuring continuous operation of the facilities, and safeguarding medical services.

During a bankruptcy hearing on May 7, a statement by Steward attorney Ray Schrock highlighted the company's ambition to close on the sales by summer—a timeline that includes auctioning off its Florida hospitals on July 30 and those outside the Sunshine State on June 28. Confirming fighting to ensure that employees and vendors will be paid what they are owed, while running what buyers would be blocked from due to antitrust laws, Mayes said she will protect patient and employee confidentiality during the transition. A loan to the tune of $75 million has been already approved by U.S. Bankruptcy Judge Chris Lopez, with Steward looking to seek an additional $225 million.