Thursday, November 02, 2006

Shannon Triad Merger Deal Off

Just three days after Triad CEO Denny Shelton bragged to the investment community about the San Angelo deal, the Shannon Health System Board pulled the plug on the two week old intent to merge creating one for-profit hospital in town. The Standard Times has a report on why.

While relieved that the Shannon mission remains intact, I hoped the merger process would go a bit longer, giving the community time and space to discuss the issues. Health care is very difficult under the Bush health care agenda thus driving such combinations. Citizens in San Angelo could have become more aware of the challenges institutions face and this case could help educate Texans and the greater country.

We will miss that chance, but Mr. Shelton has the opportunity to conduct an even larger stock repurchase with the Shannon deal going down.

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