Windemere Shakeup Follows Severe Strain of Financial Losses

Leaders at the Martha's Vineyard Hospital announced yesterday
that the administrator of the Windemere Nursing Home and
Rehabilitation Center has resigned.

Tom Dresser, who took over the top post at Windemere eight months
ago, resigned for personal reasons and to pursue other professional
interests, according to a WNR board member who spoke with the Gazette
late yesterday. WNR Inc. is the corporate name for Windemere.

Hospital chief financial officer Tim Walsh has taken over as acting
director at Windemere. Mr. Walsh will also continue with his duties
as CFO for both institutions. Mr. Walsh's background includes a
degree in nursing home administration.

Windemere has been plagued by financial problems for years. The
problems have continued to worsen despite changes in both management
and ownership.

Late last year the hospital took over ownership of the nursing home,
using hospital funds to pay off a $2.5 million bond. In December a
management company that was running the nursing home left, and the
hospital hired Mr. Dresser as the administrator.

Last month hospital managers reported continued operating losses at
the nursing home for the first six months of the year. Windemere
posted a $260,000 operating loss between Jan. 1 and June 30, more
than five times the projected loss of $47,000.

Senior managers said the losses can be traced to stubborn labor
shortages and the need to hire expensive outside agency help to staff
the nursing home.

Early this summer the WNR board voted to eliminate outside contract labor.