Sutter Health's intense focus on profits - often at the expense of patients, caregivers and communities - has made the company one of the most profitable hospital systems in the nation. In 2006, Sutter reported profits of $587 million, an increase of 33 percent from the prior year. The company's 2006 profit margin of 8.1% was the highest of all California hospital systems

Some Sutter hospitals have earned such incredibly high profits that they're rare in virtually any industry. In 2006, Sutter Maternity and Surgery Center achieved a 25% operating profit margin - more than 6 times higher than the statewide average. What does this mean? For every four dollars that the hospital collected from its customers, one dollar went into the hospital's pocket as profit.

Other Sutter hospitals are not far behind. Sutter Tracy and Memorial Hospital Modesto both recorded operating profit margins of more than 20% in 2006. The massive profits generated by Sutter hospitals are what have allowed the Sutter Health Corporation to earn $2.2 billion over the past 5 years.