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What happens when a sale is not an option…affiliate.

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Ken Marlow, Partner at McDermott Will & Schulte, and Farley Reardon, Managing Director at Juniper Advisory, examine how hospitals and health systems are responding to mounting financial pressure and limited strategic options. As changes to Medicaid and supplemental funding strain operations, many independent systems are unable to pursue full integration or sale.

The article highlights affiliation as a flexible alternative, enabling clinical and operational alignment that expands access to resources, enhances services, and improves financial performance while preserving independence. It also outlines key considerations, including contractual complexity, long-term flexibility, and strategic tradeoffs.