SEXTON RESIGNS

James Sexton, president of St. Francis Medical Center in Cape Girardeau, has resigned to take a job as CEO of North Iowa Mercy Health Center and Network.

Sexton announced his resignation Tuesday afternoon. His last day at St. Francis will be Feb. 5.

Merger talks between St. Francis and Southeast Missouri Hospital will continue as scheduled, said Harry Rediger, chairman of the board of directors at St. Francis.

"Jim has successfully led us through this year's preliminary merger talks, which I would like to emphasize, will continue," Rediger said. The St. Francis board must decide if a new CEO is needed to fill Sexton's place. If the proposed merger would proceed quickly, a new chief officer might not be necessary, Rediger said.

"Some questions are really up in the air right now," he said.

The joint study committee, which is considering the merger, awaits a ruling from Missouri's Attorney General concerning the affiliation.

"We feel we are going to get an opinion from the Attorney General in the next couple of weeks," Rediger said. "That's what we're really waiting for."

James Wente, administrator at Southeast Missouri Hospital, learned of Sexton's leaving Tuesday afternoon. He wasn't sure what impact Sexton's leaving would have on merger plans.

"I wish Jim the greatest of success," Wente said. "He is a fine administrator, and he will be missed."

Sexton said the proposed merger had no impact on his decision to leave.

"It's an opportunity I just couldn't pass up," Sexton said.

He was approached earlier this month and asked if he would consider applying for the job in Iowa. Sexton was one of seven initial finalists before being selected.

North Iowa Mercy Health Center is a private, not-for-profit organization located in Mason City, Iowa. The organization generated $222 million in gross patient revenues in 1998. St. Francis generated about $155 million.

In addition to administering the hospital, Sexton will have responsibility over a network of 11 hospitals in a 16-county region.

The Iowa hospital completed a merger five years ago, he explained.

"They accomplished what they set out to do," Sexton said. "They reduced medical costs."

Mason City has the lowest health care costs in the United States, Sexton said.

Sexton has been president and CEO at St. Francis for two years. He came to Cape Girardeau from Fond du Lac, Wis., following the merger of two hospitals there.

"We recognized Jim's talent when we hired him," Rediger said. "We've had two outstanding years and Jim has contributed greatly to that success."

The first year was spent rebuilding St. Francis's internal operation, Sexton said.

The second year has focused on merger talks.

"We are waiting to hear the Attorney General's opinion," Rediger said. "For now we will bide our time. After we get an opinion, I feel will be fairly close to making a decision on the merger and leadership."