Rural/Metro officially files Chapter 11 bankruptcy

[Carlos Danger]

Yup.

Which translates into screwing their creditors.

My opinion is, Warburg Pincus, the investment firm that bought them (purely to make money), pushed for this to happen. That way, they can get rid of debt they don't want to pay, and become more profitable. Which means the investment firm makes more money.

I have a problem with the way that works. Why should people and businesses who are owed money have to settle for less of it, when it was Rural/Metro's business decisions that have landed them there.

I'm glad I'm not working there anymore.

Good question.

In theory, bankruptcy judgements are supposed to take that into account and come up with a deal that is not-too-unfair to the creditors. It's not intended to be a "get out of jail free card" as much as it is a way to come up with a deal that causes everyone involved the least amount of pain. Losing money to a bad investment is a risk creditors accept when they decide to loan money, and an important part of a free market. The alternative could be that the creditors get nothing at all, if the company doesn't declare bankruptcy and then can't re-organize and eventually just goes completely under.

In actual practice, you can unfortunately get situations like this, where powerful execs with knowledgeable legal staffs exploit the law for personal benefit.

 

[dhump4free]

They haven't gone on strike yet. I know that many people around here aren't interested in crossing the picket line. With the company's current issues I'm interested to see how a strike would affect the financially. They are offering $500 on top of the regular hourly wage... though many here are skeptical that it would materialize.

"Well, it's was $500 for a 24hr shift, but you were put out of service at 23 hours and 20 minutes so you don't get it."

And beyond that, it's a close community up here. We're not interested in f***ing over our friends in Santa Clara when all they want is a fair deal.

Last I heard one guy had signed up to help out up there. For me I'm not crossing the picket line because it's your business and it's your right to strike. I wouldn't want the same happening to me down here when I'm trying to change something.

And I understand the skepticism about the extra pay. I can't tell you the number of times I haven't gotten a C7 and was never compensated for it.

 

[DrankTheKoolaid]

Patients still deserve to be taken care of and any true health care provider will realize that, and would never look down on a "scab" coming on to cover the units.

I think EMS should follow what Canada did last year when they went on strike. Continue doing patient care and not do a single bit of billing paper work or anything else

 

[RocketMedic]

My dad and I were talking about strikes today, in particular the Gold Cross strike. Our consensus was that even if they win...they lose. I don't see R/M NY or Gold Cross keeping their contracts after these troubles.

 

[DPM]

My dad and I were talking about strikes today, in particular the Gold Cross strike. Our consensus was that even if they win...they lose. I don't see R/M NY or Gold Cross keeping their contracts after these troubles.

This^

R/M in Santa Clara county is already having trouble. Before they filed chapter 11 the county was worried about them just upping sticks and leaving the county so I'm sure recent events haven't made them feel any better. And as a company that's already in financial difficulty, what would the monetary knock on be if they were to strike? Can Rural / Metro Santa Clara, or Rural / Metro West afford it?

I can see a lot of people losing their jobs if R/M forfeits their Santa Clara contract. I think the likelihood of this happening would be greatly increased if the worker's strike and the company has to try and provide coverage from other agencies. Industrial action could be the straw that breaks the camel's back, leaving a lot of these guys unemployed.

 

[Pavehawk]

Just to keep things in perspective, RM in Orlando is hiring a bunch of EMTs and medics. Like many companies that file a Chap 11, RM stands to come out of the reorganization stronger and in better financial health.

After the recent events in OK, the company that might need to worry is PP. With AMR expanding into that market, and a stronger RM coming out of a BK in a year or so they could find themselves facing even more competition... and that's not even factoring in Falack.

Should be interesting!!

 

[Aprz]

This^

R/M in Santa Clara county is already having trouble. Before they filed chapter 11 the county was worried about them just upping sticks and leaving the county so I'm sure recent events haven't made them feel any better. And as a company that's already in financial difficulty, what would the monetary knock on be if they were to strike? Can Rural / Metro Santa Clara, or Rural / Metro West afford it?

I can see a lot of people losing their jobs if R/M forfeits their Santa Clara contract. I think the likelihood of this happening would be greatly increased if the worker's strike and the company has to try and provide coverage from other agencies. Industrial action could be the straw that breaks the camel's back, leaving a lot of these guys unemployed.

Somebody has to do the job. I doubt they have to worry about being unemployed.

 

[Aprz]

More news on Rural/Metro Santa Clara.

Already facing bankruptcy, Santa Clara County's troubled ambulance provider is preparing a plan to cut short its five-year contract, on which the company claims to be losing $5 million annually.

http://www.mercurynews.com/politics...-county-ambulance-providers-travails-may-open

I wonder if it's actually gonna happen, and if so, what changes will be made to the contract if Rural/Metro continues to be the exclusive operating agency.

 

[terrible one]

Didn't R/M underbid that contract but quite a lot?

 

[SandpitMedic]

Did Falck buy them yet?

 

[PotatoMedic]

My understanding is they would rather watch them go under then take over.

 

[PotatoMedic]

http://www.wbir.com/story/news/local/2013/12/17/rural-metro-emerge-from-bankruptcy/4071281/

They will emerge and we shall all see what is going to happen.

 

[RocketMedic]

Just to keep things in perspective, RM in Orlando is hiring a bunch of EMTs and medics. Like many companies that file a Chap 11, RM stands to come out of the reorganization stronger and in better financial health.

After the recent events in OK, the company that might need to worry is PP. With AMR expanding into that market, and a stronger RM coming out of a BK in a year or so they could find themselves facing even more competition... and that's not even factoring in Falack.

Should be interesting!!

^ This: Paramedics Plus is a vestigial organ on the body of the juggernaut that is ETMC. Even a regional operator like Acadian could seriously outbid them, to say nothing of AMR.

 

[lightsandsirens5]

^ This: Paramedics Plus is a vestigial organ on the body of the juggernaut that is ETMC. Even a regional operator like Acadian could seriously outbid them, to say nothing of AMR.

That is one way of putting it.

I do know that around HQ, in East Texas, ETMC has shut down a ton of stations and reassigned or let go some employees. I wonder what the national picture looks like for them.

Anyhow, as some have stated, I would not be surprised to see RM come out of this much better than how they went in.

 

[gclol]

If that's the case I don't see them staying in alco county if they are trimming fat in there own state, they budgeting so much in alco county since there is no money here in this county without a IFT side.