April 7, 2011
CONTACT: Dwight Angell
[email protected]
313.850.3471
Henry Ford Health System Continues
Strong Growth and Financial Performance
DETROIT - For the eighth consecutive year, Henry Ford Health System experienced positive revenue growth and net income in 2010.
Henry Ford reported total revenues of $4.08 billion in 2010, an increase of $115 million from the $3.96 billion total revenues in 2009. Overall, Henry Ford reported $60.1 million net income for 2010 as compared to $30.4 million in 2009.
"Despite the continued economic challenges in Michigan last year, Henry Ford was able to improve on our positive financial position and we continue to grow," says Nancy Schlichting, chief executive officer of Henry Ford Health System.
Schlichting said that the non-profit system increased admissions by 2.6 percent from 2009 to 2010, the highest of any health system in southeast Michigan, according to the Southeast Michigan Data Exchange. The average of all hospitals reporting their admissions was a 0.9 percent decrease.
Schlichting says Henry Ford's market share has jumped 31 percent in five years and revenues have nearly doubled in the last 10 years.
Reflecting its growth and financial stability, Henry Ford's "A" rating with a stable outlook was re-affirmed by Standard and Poor's last fall.
However, economic conditions continue to increase demand for uncompensated medical care for Henry Ford as well as other area hospitals. Most of that growth came in charity care.
"In 2010, Henry Ford provided nearly $200 million in uncompensated care, up 15 percent from $173 million in 2009," says James Connelly, executive vice president and chief financial officer for Henry Ford.
In addition to reporting positive financial performance in 2010, the health system also achieved the following:
• Henry Ford Health System announced a major $1 billion community redevelopment project over the next 10 -20 years - south of the Henry Ford Hospital campus from West Grand Boulevard to I-94.
• Henry Ford West Bloomfield Hospital, which opened two years ago, is now larger than 21 southeast Michigan hospitals in terms of annual admissions (11,238 admissions).
• Henry Ford Hospital introduced the Air Med 1 aeromedical helicopter as a new service for transporting critically ill and trauma patients to its facility from within a 150-mile radius in Michigan and Ontario.
- Henry Ford Hospital was recognized as a finalist in the American Hospital Association- McKesson Quest for Quality program.
• Community Care Services, the Henry Ford subsidiary responsible for post-acute care, home care, pharmacy and retail health, continues to experience substantial growth, opening a new dialysis center in Toledo and increasing its pharmacy business including Pharmacy Advantage and overall prescriptions.
• Health Alliance Plan members rated HAP "Highest in Member Satisfaction among Commercial Health Plans in Michigan" for the fourth consecutive year, according to the J.D. Power.
• The launch of the Henry Ford Physician Network, a coordinated system of care delivery that aligns Henry Ford Medical Group physicians, regional hospital employed physicians, private practice physicians, hospitals and ancillary services around collaborative initiatives for clinical integration and quality improvement efforts. The establishment of the HFPN helps position the organization for health reform.
• The Henry Ford Medical Group implemented the system's outstate growth strategy and made connections with hundreds of physicians in other states. The Medical Group is also forging a strong academic affiliation with Wayne State University's School of Medicine.
- The transformation of Henry Ford Cottage Hospital into an ambulatory center.
• Henry Ford Wyandotte Hospital's Center for Health Services received the Press Ganey Summit Award for the second year in a row for Ambulatory Surgery and Outpatient Services, indicating sustained performance for four years at or above the 95th percentile.
• The addition of 12 telemetry beds, the construction of an open MRI and opening of 20 more beds at Henry Ford Wyandotte Hospital.
• Henry Ford Macomb Hospital - Clinton Township was only one of two Michigan hospitals recognized with the Gold Plus Award for Stroke Care by the American Heart Association.
• The opening of the Acute Care for the Elderly Unit at Henry Ford Macomb Hospital -Warren Campus, one of only two such units to open in southeast Michigan.
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Henry Ford Health System, one of the country's largest health care systems, is a national leader in clinical care, research and education. It includes the 1,200-member Henry Ford Medical Group, six hospitals, the Health Alliance Plan, 32 primary care centers and many other health-related entities throughout southeast Michigan. In 2010, Henry Ford provided nearly $200 million in uncompensated care. Henry Ford also is a major economic driver in Michigan and employs more than 23,000. The health system is led by CEO Nancy Schlichting. To learn more, visit HenryFord.com