Health care is being hit hard by the current recession and most providers are seeing declining revenues and volumes. In an effort to save money, some patients are putting off higher margin elective procedures and others are responding to increased co-pays by not seeking care at all. In response, health care providers have cut thousands of jobs, minimized annual working capital expenditures, and either postponed or outright cancelled major construction projects. Many of these construction projects were desperately needed in order to upgrade or replace buildings that have reached obsolescence. These projects will now be deferred and when the time does come to renovate/replace, it will most likely be much more expensive.
Length: 3 pages (PDF 130 kB)