CHICAGO - Unable to access the frozen credit market to refund $60 million of bonds that were about to convert to auction-rate mode, a Kalamazoo, Mich.-based hospital last week turned to its parent company to purchase $40 million of the debt and used an emergency bridge loan to buy the remaining $20 million.

The decision by Bronson Healthcare Group, parent of Bronson Methodist Hospital, to purchase the debt could take an 18% bite out of BHG's total operating cash - illustrating how the current market turmoil is hurting some nonprofit health care providers.

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