The parent companies of Delnor Hospital in Geneva and Central DuPage Hospital in Winfield said Friday that they have signed a definitive agreement to merge their operations into a powerhouse in the western suburbs with a combined $1 billion in annual revenue.

The deal comes as the health care overhaul law is being implemented over the next four years, triggering a wave of consolidation of hospitals and doctor practices across the country. Hospitals are looking to gain care economies of scale, pool resources to invest in information systems and clinical programs and gain negotiating leverage with insurance companies who pay them. Get the full story »