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Butler Health System, Excela Health merger official

The Tower entrance at Butler Memorial Hospital on a rainy January afternoon. Shane Potter/Butler Eagle

A merger between Butler Health System and Excela Health has been finalized as of Sunday, officially creating a new health system serving Western Pennsylvania.

The definitive agreement and other legal documentation had been submitted to the state and federal government for review, according to a Tuesday news release from Butler Health System.

The agreement includes Butler Memorial Hospital, Clarion Hospital, Frick Hospital, Latrobe Hospital and Westmoreland Hospital. The latter three hospitals are in Westmoreland County.

The new health system will employ approximately 7,300 people and have more than 1,000 physicians and practitioners that serve a population of 750,000.

Ken DeFurio, former president and CEO of BHS, will be the president and CEO of the new system.

John Sphon, CEO of Excela, will retire in March, but will serve in an advisory capacity at the new system for several months. He will then remain a trustee for the system.

According to DeFurio, the merger was a large investment of time by the administrators of both health systems.

“Over the past year, both boards invested an immense amount of work, time and energy to determine if this merger made sense,” DeFurio said. “We now look forward to implementing the opportunities that we’ve identified and discovering new ones.”

Sphon, too, said the merger will change the entire region.

“It marks a turning point that will change the landscape of health care in our region for the betterment of both Excela and Butler and, most importantly, the patients we will serve together,” Sphon said.

Jordan Grady, president of the Butler County Chamber of Commerce, said in June when the merger was in its early stages that he is optimistic about the future of health care in the county.

“I look forward to the economic expansion and job creation the merger could bring,” Grady said. “The merger with Excela will continue expanding health care and providing for the residents of Butler County.”

Ken DeFurio, former president and CEO of BHS, will be the president and CEO of the new system.
John Sphon, CEO of Excela Health, will retire in March.
The Tower entrance at Butler Memorial Hospital on a rainy January afternoon. Shane Potter/Butler Eagle

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