Southern Cross to close as landlords jump ship

 
City A.M. Reporter
Embattled British care homes operator Southern Cross Healthcare said it would close down after all of its landlords deserted the embattled group.

Southern Cross said in a statement that it would ensure that its 31,000 residents would continue to be cared for, and the interests of the employees of its 752 care homes safeguarded, as the group was wound down.

Shareholders would receive little or nothing, the company said, while its stock has been suspended.

Chief executive Jamie Buchan said: "My objective, and that of my team, is to continue to provide excellent care to every resident and to manage the programme of transition professionally."

"All 44,000 staff can take pride from the significant operational turnaround and improvements in care delivery which have been achieved over the past two years."

Southern Cross, which provides residential and nursing care for elderly and vulnerable people in Britain, has been hit by government cuts, falling admissions and rising costs