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Local Press Release

MEDIA INQUIRIES CONTACT:
Jessica Rosenberg
jrosenberg@hadassah.org
(212) 303-8140

Hadassah Reaffirms its Commitment to the Hadassah Medical Organization, the People of Jerusalem and the Israeli Public

In the wake of Hadassah Medical Organization's announcement that it must restructure, HWZOA resolves to help the hospitals emerge from their financial crisis; Assures supporters that all contributions to HMO will be used solely for intended purposes

February 13, 2014 (New York, NY)—The national board of Hadassah, the Women's Zionist Organization of America (HWZOA) sent a message this week to the Hadassah Medical Organization (HMO) and those it serves expressing solidarity during HMO's restructuring process. HMO's board announced on February 7 that it would apply to the Court for a relief under Section 350 of Israeli Companies Law.

Commenting on the situation, Hadassah National President Marcie Natan said, "These past days have been trying and have provoked understandable worry in Israel and among supporters of HMO worldwide. At this difficult time, the board of HWZOA is steadfast in our support for HMO. We stand with the doctors, nurses, staff and administrators who make the hospitals among the best in the world, and with the people of Israel whom they serve. We will do our part to help HMO recover and believe that the Government of Israel, the employees of HMO and the hospital's many other stakeholders will do the same. During this time, patient care will remain at the highest level, as we are accustomed to expect. We are certain that in the end, HMO will emerge from this crisis stronger and positioned for a bright future."

The decision to restructure was reached by HMO's board and management after it became clear that mounting deficits would make it impossible to meet its full financial obligations to employees, suppliers, creditors and others. Under the Section 350 process, which is similar but not identical to Chapter 11 in the United States, HMO will receive temporary relief from some of its financial obligations. During this period, court appointed trustees will work with the hospital's management and board to enact a recovery plan, which must be approved by the court. All contributions from donors to HMO are secure and will be used solely for the purposes for which they are given.

In addition to its expression of support for HMO, Hadassah's board also committed to continuing to provide its members and supporters with regular updates from Jerusalem related to the recovery process. HWZOA launched a dedicated page on its website at www.hadassah.org/HMOupdate with news and information and will also send out messages and alerts as needed through its Facebook page, Twitter feed, email lists and press releases.

Noted Natan, "During this crisis, we have been deeply moved by the outpouring of support for HMO. Prime Minister Netanyahu perhaps said it best when he declared to the Knesset members that as they have always come to Hadassah for healing, now we will heal them. At HWZOA, we are going to do all we can to make sure those who are deeply invested in HMO have information during this critical time so that they, too, can support this hard but necessary healing process."

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