MONTGOMERY, Ala. (WSFA) – Jackson Hospital has received approval for its Chapter 11 bankruptcy plan, a move that allows the Montgomery facility to stay open while it restructures debt. But leaders warned Tuesday night that without new financial commitments, the hospital may not survive past October.
Representatives from Jackson Healthcare and its parent company, Jackson Investment Group, addressed the Montgomery City Council by Zoom. They said the hospital currently has about $2 million in the bank, which is not enough to keep operations running beyond the next 30 days.
“We’re adding another three to four million to the current loan,” an investor explained. “That will get the hospital through October, giving administrators time to sit down with city, county, and state leaders to work out a plan. But if there’s not a commitment by then, there is no alternative other than to close. That’s not a threat. We’re just out of money.”…