Ms. Bai, who also is on the faculty of the Williams School of Commerce, Economics, and Politics, included 2013 financial data from three Toledo hospitals in the study.

Based on that data, ProMedica Toledo Hospital was not profitable in 2013 and lost $150 on each patient at discharge, she said.

Mercy Health St. Vincent Medical Center was in the black that year, as was St. Anne Hospital. In fact, St. Anne was the most profitable of all three, bringing in $379 per patient, which was still quite average when looking at hospitals across the country, she said.

By comparison, the most profitable hospital in the national study was Gundersen Lutheran Medical Center in La Crosse, Wis., a nonprofit, which generated more than $4,000 per patient at discharge, she said.

Not surprisingly, the study found public hospitals and very small hospitals (those with 50 or fewer beds) made the least amount of money. The study concluded that hospitals are earning substantial amounts of money in areas not related to patient care.

Size of system matters

Mercy Health St. Vincent Medical Center, St. Anne, and St. Charles hospitals in the Toledo area are part of a much larger company. The parent company, Mercy Health (formerly Catholic Health Partners), is the largest health system in Ohio. It has 23 hospitals, multiple physician groups, and locations in Ohio and Kentucky.

ProMedica is a regional health system, with 14 hospitals and multiple physician offices in northwest Ohio and southeastern Michigan. ProMedica also owns three separate Paramount health insurance companies. With 17,000 employees, its the largest employer in Toledo. Paramount has about 327,000 members.

The University of Toledo Medical Center is a much smaller public university-owned health system. With just one stand-alone hospital, the multimillion dollar health system did not have great financial results in the fiscal year that included part of 2014 and a portion of 2015. UTMC, unlike the other hospitals in town, runs on a fiscal calendar from July 1 to June 30, said David Morlock, chief executive officer.

With a slim operating margin of just 0.4 percent, the hospital systems operating income was just more than $1 million at the end of the 2015 fiscal year.

In the current fiscal year, which ends in about two weeks, the hospital is showing signs of a rebound, Mr. Morlock said. At the end of March this year, its operating margin had increased to 1.6 percent.

We have effected a pretty positive operating margin turnaround, Mr. Morlock said.

He attributed the better numbers to a small increase in market share for the hospital and more patients visiting the physician groups owned by UTMC.

Its not surprising that UTMC is not performing as well as the other hospital systems in Toledo, Mr. Slates said.

It is a teaching hospital and small compared to the others. And they have a different mission, he said.

UTMC is a part of the University of Toledo, so some of its financial information cant be reported separately, Mr. Morlock said.

The two big hospital systems in Toledo, Mercy Health and ProMedica, are pretty close in terms of financial performance, but it appears ProMedica is more profitable, Mr. Slates said.

ProMedica is more profitable than Mercy because their operating margins are higher. That means that they make more money from their operations, he said.

He noted that the three Paramount insurance companies, which are owned by ProMedica, are contributing to the companys overall profit margins and likely are what is giving ProMedica the edge over Mercy.

HealthSpan Partners, an insurance company and medical provider that was affiliated with Mercy Health, which is Mercys parent company, was recently taken over by Medical Mutual of Ohio.

Mercy Health decided to exit the insurance business because HealthSpan was losing money, Mercy officials said. Because of unexpected significant losses related to discontinuing that business this year, Mercy Healths bond rating was downgraded by Moodys Investors Service on Thursday, from A1-stable to A2-negative outlook. The downgrade means it will cost them more to borrow money.

The hospital systems performance in 2015 was down over prior years, and the system is expecting moderate declines in profit margins in 2016, according to the Moodys report.

Toledo is Mercy Healths second largest market, but the Toledo region is underperforming compared with others around Ohio, the report said.

Mercy Health officials said they have addressed all the issues that led to the downgrade.

We remain well positioned to retain strong credit ratings in the future, Mercy officials said in a statement.

In 2015, Mercys parent company earned $4.3 billion in operating or patient revenue. The Toledo regions portion of those earnings, which includes hospitals in Toledo, Tiffin, Defiance, and Willard, was $989 million.

After doing things such as adjusting for expenses, depreciation on major purchases, paying interest on loans, and paying taxes, Mercys actually had a net loss of more than $6 million in the Toledo region.

The company took a big hit in its investments, which contributed to the negative numbers, said Matt Love, Mercy Healths senior vice president of finance for the northern region.

If you look at your own retirement accounts, last year was a bad year so that is primarily investment returns, Mr. Love said.

Overall, however, 2015 was a strong year for Mercy Health, he said.

Reserves build up

For ProMedica, 2015 also appeared to be a solid year for the company. It ended 2015 with $2 billion in patient revenue from its health-care operations. When combined with revenue from the Paramount insurance companies, it brought in some $3.1 billion. Net income for the two entities combined was $123 million for 2015.

According to ProMedicas financial documents, revenue for its health-care operations in 2015 increased $21.6 million over the same period in 2014. They attribute the growth partly to increases in outpatient procedures.

In 2016, however, the company apparently is sensing some troubling signs. In late May, ProMedica offered buyouts to 1,200 older employees to reduce costs.ProMedica officials declined to provide specifics about the early retirement package and said terms will be tailored to individual employees. They have 45 days to decide.

ProMedicas operating income declined by $27.5 million in the first three months of 2016 when compared to the prior period in 2015.

The companys financial report said that decline was driven by significant expenses from an electronic health record launch, a decline in operating performance, the start-up of additional urgent care centers, and more philanthropy.

ProMedica officials said early retirement packages, however, were not directly related to declining operating income in the first part of 2016.

Both ProMedica and Mercy Health officials said it is important that they continue to invest money into improving their facilities and equipment to stay competitive.

Mercy Health announced last March plans for a $34 million renovation project at St. Vincent Medical Center to expand emergency room and surgical services. The health system has also increased its reach into the suburbs by building free-standing emergency rooms in Sylvania and Perrysburg.

Were building smaller outposts that make access easier and enhance convenience, said Mercy Health spokesman Megan Manahan. I think our investments are prudent in that manner.

Many hospitals are issuing bonds and going into debt to finance expansion projects, Ms. Bai said.

They call it the medical technology arms race, she said. They feel compelled to have the latest and the greatest.

Hospital systems are using a combination of bonds, donations, and cash reserves to finance expansion and building projects, Mr. Slates said.

Its a common practice for nonprofit hospitals to borrow money, said Nickolas Vitale, UTMC chief financial officer, who oversees a public hospital.

They can borrow at tax-exempt rates which are really low, he said, speaking of ProMedica and Mercy Health.

Just as families put money in savings accounts for big-ticket items, hospitals transfer some of the money earned after paying all expenses into their own much more complex savings accounts to accumulate cash, Mr. Love said.

A portion of the companys net income at the end of the year gets converted to cash, said Gary Akenberger, interim CFO and senior vice president of finance at ProMedica.

ProMedica, which just announced this week plans to buy much of the Marina District in East Toledo for $3.8 million from Dashing Pacific Group Ltd., and soon thereafter sell it to the Metroparks of the Toledo Area, is also in the midst of several other capital projects. The health company, which is also refurbishing the former steam plant along the downtown riverfront into its new headquarters a $50 million project as well as building a patient tower at Toledo Hospital, has been saving money for years for these projects, he said.

ProMedica had $363 million in cash reserves, and Mercy Healths parent company had some $147 million in cash at the end of 2015.

We have been good financial stewards. We have appropriate cash reserves to withstand the bad years, Mr. Akenberger said.

What hospitals decide to do with cash reserves is totally up to them, Ms. Bai said. Some may wonder why they dont return some of their profits back to patients in the form of decreased charges, she said.

Why would any business lower the price if there is no pressure for them to do it? she asked.

Providing medical care is very expensive, Mr. Slates said. Local hospitals are operating on slim margins, and they are vulnerable to very slight changes in revenue.

If things go bad for a year, it doesnt take much for that margin to slip, he said.

Contact Marlene Harris-Taylor at:This email address is being protected from spambots. You need JavaScript enabled to view it.,419-724-6091, or onTwitter @marlenetaylor48.

Suning Holdings Group acquired a 68.55 percent majority share of Inter Milan.

Inter Milans new owners Suning Holdings Group have pledged that they will invest money into the club in the hope of returning them back to the top.

The Chinese retail giant acquired a 68.55 percent majority share of the Nerazzurri earlier this week, becoming the first Chinese owners of a Serie A club.

Suning Holdings Group chairman Zhang Jindong said at the time he was excited and thrilled to be taking control of a club with such a history, and now vice-president Weimin Sun has promised the owners will be doing their utmost to return Inter to their former glories.

Inter have won a total of 18 Serie A titles in their long and illustrious history, but the last came in 2010 while they finished 24 points behind winners Juventus in the 2015-16 season.

We will certainly invest in Inter, we will help the club and provide as many resources as possible to bring them back to the top or to a level even higher than before, Sun is quoted by Mediaset as telling Inter Channel.

The situation will get more and more interesting and rosy. It is a challenge but were confident we can do it, thanks to constant investments, the support of Inters Chinese fans and the clubs own managerial skills.

Inter coach Roberto Mancini, meanwhile, has admitted he was kept in the dark about the sale of the club to the new owners.

In an interview with Radio DeeJay, Mancini said former majority shareholder Erick Thohir only told him about the sale recently.

I talked with Thohir a few days ago, and he explained the situation, but like everybody else, before that I knew absolutely nothing, he said. I am just the manager, so he had no reason to call me to say I am doing this or that.

I genuinely dont know much about it and will talk when the situation is clearer. As for my own future, people have been asking for months, but Im definitely staying.

Mancini added he is looking forward to having more funds to spend -- within the limits imposed by financial fair play -- having previously thought Inter would only be able to get free transfers.

Ohio Treasurer John Mandel announced June 1 that Ohio is the first state to launch STABLE accounts.

The accounts will help those with disabilities save and invest money without losing eligibility for certain public benefit programs such as Medicaid, SSI or SSDI. Earnings in STABLE Accounts are not subject to federal income tax, so long as funds are spent on qualified disability expenses.

According to a news release from Mandel#x2019;s office, STABLE Accounts have similar features to normal bank accounts, but are also investment accounts, similar to 529 college savings accounts or 401(k) retirement accounts. When a participant deposits money into their STABLE Account, the money can be invested in different options chosen by the participants. While participants can still withdraw and spend money as needed, a STABLE Account also allows money to grow and to save long-term for disability expenses.

STABLE Accounts are made possible by the federal Achieving a Better Life Experience (#x201c;ABLE#x201d;) Act passed by Congress in 2014.

Latte lovers rejoice: Your daily pilgrimage to Starbucks will not financially doom you, despite what you've been told.

The idea goes that if you had the discipline to forgo regular, small indulgences like your $5 Flat White, you could save all that money, invest it, and retire a millionaire.

The concept, popularized by savings guru David Bach, feels good because it's pointed, controllable and concrete.

Yet as personal finance author Helaine Olen explains in her book Pound Foolish: Exposing the Dark Side of the Personal Finance Industry, the numbers behind the idea just don't add up.

"Bach, whether by design or true belief, had concocted a catchy slogan that appealed to our desire for a quick and easy fix," Olen writes, "but one that bore little relation to economic reality."

Americans buy more than 4 million drinks at Starbucks every day, and Bach put forth that the savings from a daily $5 Starbucks order could amount to nearly $2,000 a year. If invested in stocks at at an 11% average annual return, Bach figured one could turn that coffee money into more than $2 million by age 65.

Cut coffee, invest money, make millions. Could it be so simple?

As Olen notes, the math here is murky. An 11% average annual return is generous when the average yearly rate of return for the Dow Jones Industrial Average showed 9% through much of the last century, she said, and taxes and inflation aren't factored in, either.

The team at Lifehacker used an actual "Latte Factor Calculator" to run its own numbers, and the results were less impressive. Five dollars saved daily and invested at an 8% annual return over 30 years comes to about $225,000.

That's a lot of money, but not enough to retire on.

All savings add up, of course. But Olen argues weve fixated on our $5 lattes - easy, if insufficient targets -  over more consequential and unforeseeable costs like hospital bills, job losses and divorce.

So sip from that white and green cup in relative peace. It alone likely isn't enough to make or break your financial future.

[h/t Slate]

Follow Josh Hafner on Twitter: @joshhafner