Nu-Med Says It Lacks Cash to Make Interest Payments

Nu-Med Inc., an ailing Encino-based operator of hospitals, said it does not have the cash to pay $3.6 million of interest that was due in two payments, on Sept. 1 and Sept. 15.

The interest is due on certain Nu-Med debentures, of which about $53 million in face value are currently outstanding.

The company, which lost $37.6 million on revenue of $124 million in its fiscal year that ended April 30, said it is discussing possible modifications of the debt’s structure with the debenture holders, but that no agreement has been reached.