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The past year was a step in the right direction for the hospital industry as outpatient revenue and below-inflation expense increases fueled a 9% year-over-year increase in 12-month operating margins. The new numbers from advisory firm Kaufman Hall run through December and reflect operating data from 1,300 hospitals nationwide as collected by Syntellis Performance Solutions. (Muoio, 2/6)

A federal judge in Texas signed off on an agreement on Thursday that places the Crozer Health system in receivership for 30 days. The agreement will remove its parent company, Prospect Medical Holdings, and place an independent monitor to manage the health system and keep all services going. (Holden, 2/6)

A Wisconsin couple has filed a lawsuit against pharmacy benefit manager Optum Rx and Walgreens, alleging their son's death was linked to a sudden price increase in his asthma medication. The lawsuit, filed in U.S. District Court for the Eastern District of Wisconsin on Jan. 21, alleges that Cole Schmidtknecht, 22, died after being unable to afford a $500 spike in cost of his asthma medication, according to court documents obtained by Becker's. (Murphy, 2/6)

UnitedHealth Group and Amedisys dropped their request to dismiss a government antitrust lawsuit over the insurer's proposed $3.3 billion acquisition of the home health provider. In a filing Wednesday to the U.S. District Court for the District of Maryland, UnitedHealth Group and Amedisys said the Justice Department disclosed which counties it alleges would experience reduced competition under the deal, making the motion to dismiss the lawsuit at a preliminary stage moot. (Eastabrook, 2/6)

Bausch Health Companies Inc.’s years-long process of trying to separate its Bausch + Lomb Corp. eye-care business hit a roadblock Thursday when a potential sale to private equity fell through, raising questions about the parent company’s future. Bausch Health, which owns 88% of Bausch + Lomb, has been trying to complete a separation since as early as 2020, first entertaining a spinoff and then a sale. Disagreements between shareholders and lenders, as well as Bausch Health’s debt, which stands at more than $20 billion, have complicated the efforts. (Swetlitz, 2/6)

Kaiser Permanente and Tufts University have launched a joint initiative aimed at improving nutritional and dietary health, the organizations said Thursday. The Food is Medicine National Network of Excellence comprises Tufts University's Food is Medicine Institute in Medford, Massachusetts, and Oakland, California-headquartered Kaiser, along with network members such as Blue Cross and Blue Shield of North Carolina, CVS Health, Devoted Health, Elevance Health, Geisinger Health and Highmark Health. (DeSilva, 2/6)