Interim Chief Executive
Committee members are confident that "we will, by the end of the year, have identified and placed a new CEO," said Murphy, who is the board chairman at
The timing has implications for Fairview's pending acquisition of
"When the CEO's in place, then we would expect that we would consider whether that fit [with UCare] is still a solid one for us, next year," said Murphy, who previously served as president and chief executive of the
Fairview is one of the state's largest operators of hospitals and clinics, with operating income last year of
With about 24,000 employees overall, the health system owns five community hospitals plus the
In statements Monday, both Fairview and UCare said they are "continuing work to complete due diligence and to fully evaluate the transaction."
In July, Fairview and officials with
The U has said it's now looking for partnerships with other organizations, with a possible focus on outpatient care.
During the call with investors, Murphy said that Fairview and the U still have a very close working relationship under an existing affiliation agreement.
"We collectively decided not to move forward with a complete marriage, but we are still -- I like to frame it as significant others," he said. "We felt that the merger as it had been envisioned some time ago was probably best put on hold [to] just focus on the relationship that we have now, and just build on that."
UCare is an HMO that sells individual health insurance policies, plus coverage that's part of the
Last year, UCare eliminated more than 200 jobs after losing the bulk of its business in the
When the Fairview-UCare deal was announced in April, the parties said that UCare would join Fairview's health plan division, which includes the
In January, Fairview increased from 50 percent to 100 percent its ownership of PreferredOne. The health system took over after providing a loan of
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