Healthscope chief executive Tino La Spina has outlined the three core issues the business is facing.
“One is there’s too much secured debt and that’s being addressed,” La Spina said.
“The other is the rentals that the company are paying … are out of the market. [They are] too high. That will get addressed as part of this process.
“The third, as is widely spoken about, is the industry structure with private health insurers basically having squirrelled away billions and not putting it back to the private sector. That is a fight for another day.
“Here we talk about a process to address the first two. As the most efficient operator in the hospital sector, I believe that we can, we will be in good stead to be able to address the third issue.”
He confirmed that the leaders and landlords would “take a haircut” to help reduce the $1.6 billion in debt, but workers would not.
He said the $100 million from Westpac and Commonwealth Bank was fantastic support, but he did not think they would need the additional facility.