Filing Alert: Fitzgibbon Hospital Chapter 11
John Fitzgibbon Memorial Hospital, Inc., a Marshall, MO-based not-for-profit community hospital and healthcare system, filed for Chapter 11 protection on Apr...
John Fitzgibbon Memorial Hospital, Inc. and its debtor affiliate⁽¹⁾, a Marshall, MO-based not-for-profit community hospital and healthcare system, filed for Chapter 11 protection on Apr. 21 in the U.S. Bankruptcy Court for the Western District of Missouri.
The debtors attribute the filing to structural headwinds in rural healthcare, reporting over $36 million in cumulative losses since 2018. Persistent liquidity constraints were exacerbated by elevated contract labor costs, the pandemic-driven suspension of high-margin elective procedures, and a shift in payer mix toward Medicare Advantage plans, which lengthened reimbursement cycles and increased denials and administrative burdens. The debtors also cite anticipated Medicaid pressure under the recent ‘OBBBA’ legislation. After missing December 1, 2025 principal and interest payments on their Series 2010 and 2016 health facilities revenue bonds, the debtors received notices of default from the master trustee on December 23, 2025.
Following an unsuccessful 2024 sale and marketing process, the filing is intended to support a court-supervised sale of substantially all assets. The debtors are pursuing a bifurcated marketing process, having re-engaged Juniper Advisory on January 22, 2026 to market substantially all assets with a focus on the 60-bed acute care facility, and engaged Healthcare Transactions Group on February 18, 2026 to market the 99-bed skilled nursing facility. The debtors have filed a motion seeking authority to use cash collateral to fund operations during the Chapter 11 cases and maintain patient care.
The company reports $10 million to $50 million in both assets and liabilities. The filing indicates that there will be funds available for distribution to unsecured creditors. The case number is 26-40689.
⁽¹⁾ Fitzgibbon Health Services.
Top Unsecured Claims
Key Parties
Counsel:
- Zachary R.G. Fairlie
Spencer Fane LLP
Financial Advisor:
- Huron Consulting Group
Investment Banker:
- Juniper Advisory
- Healthcare Transaction Group
Signatories:
- Angela P. Littrell – President and CEO
Claims Agent:
- Epiq Corporate Restructuring Services, LLC