In June 1996, two of New York City's leading medical establishments, Mount Sinai Medical Centerand New York University Medical Center announced that they would merge, creating a health care powerhouse with $2.2 billion in revenues. Their size would help them navigate financial risk and negotiate with payors from a position of strength. In the end, however, they couldn't come to terms on combining the faculty and programs of their respective medical schools: the merger's compelling financial logic was defeated by the institutional pride of irascible academics.
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