SUMMIT-ALTA BATES MERGER ON HOLD: CALIF. FILES ANTITRUST LAWSUIT TO BLOCK DEAL BETWEEN HOSPITALS IN SAN FRANCISCO BAY AREA.

Modern Healthcare, August, 1999 by Bellandi, Deanna

A merger between two of the largest hospitals in the San Francisco Bay area was put on hold last week after the state sued to block the deal.

California Attorney General Bill Lockyer filed an antitrust lawsuit Aug. 10 in federal court to stop the merger of 420-bed Summit Medical Center, Oakland, and 555-bed Alta Bates Medical Center, Berkeley, part of Sacramento, Calif.-based Sutter Health system.

The two planned to merge Aug. 11.

Lockyer, who filed the lawsuit in U.S. District Court in Oakland, is treading where federal antitrust enforcers opted not to go.

In July, the Federal Trade Commission decided not to challenge the proposed merger after conducting a joint investigation of the deal with the attorney general, according to a...

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