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SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934
October 21, 1997
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(Date of Report; Date of Earliest Event Reported)
Raytel Medical Corporation
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(Exact name of registrant as specified in its charter)
Delaware
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(State or other jurisdiction of incorporation)
0-27186 94-2787342
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(Commission File Number) (IRS Employer Identification No.)
2755 Campus Drive, Suite 200, San Mateo, CA 94403
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(address of principal executive offices) (Zip Code)
(650) 349-0800
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(Registrant's telephone number, including area code)
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ITEM 5. OTHER EVENTS.
On October 9, 1997, Raytel Medical Corporation (the "Company") entered
into a Management Services Agreement with The Baptist Hospital of Southeast
Texas located in Beaumont, Texas. Pursuant to the Agreement, Raytel will develop
the Raytel Heart Center at the hospital, and will be responsible for the day-to
day operations of providing the complete range of inpatient and outpatient
cardiovascular care in the Raytel Heart Center. A copy of the press release
announcing the completion of the agreement is attached as Exhibit 99.1 and is
incorporated herein by reference.
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS.
(a) Financial statements of business acquired:
Not applicable.
(b) Pro forma financial information.
Not applicable.
(c) Exhibits:
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Exhibit No. Description
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99.1 Press release dated October 9, 1997
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
RAYTEL MEDICAL CORPORATION
Dated: October 21, 1997 By: /s/ E. Payson Smith, Jr.
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E. Payson Smith, Jr.
Senior Vice President and
Chief Financial Officer
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EXHIBIT INDEX
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Exhibit No. Description
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99.1 Press release dated October 9, 1997
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RAYTEL MEDICAL CORPORATION
EXHIBIT 99.1
NEWS RELEASE
FOR IMMEDIATE RELEASE
APPROVED BY: E. Payson Smith, Jr., CFO
Contacts: E. Payson Smith, Jr., CFO
(415) 349-0800
Morgan-Walke Associates
Chris Danne, Todd Friedman, Doug Sherk
(415) 296-7383
Sandy Badurina, Josh Passman
(212) 850-5600
RAYTEL MEDICAL CORPORATION ANNOUNCES AGREEMENT TO DEVELOP HEART
CENTER AT THE BAPTIST HOSPITAL OF SOUTHEAST TEXAS IN BEAUMONT
SAN MATEO, CA/October 9, 1997 - Raytel Medical Corporation (NASDAQ:RTEL) today
announced it has completed an agreement with the Baptist Hospital of Southeast
Texas, a member of the "Five-Star" hospital network in Beaumont, TX, to develop
the Raytel Heart Center at the hospital. The agreement continues Raytel's
strategy of acquiring physician practices and developing heart centers in
communities where those practices are located. Raytel currently manages
Southeast Texas Cardiology Associates, a leading cardiology practice in the
Beaumont region.
The heart center agreement will enable Raytel to deliver the complete
range of inpatient and outpatient cardiovascular care to the 500,000 residents
of Southeast Texas, a metropolitan region encompassing the Texas cities of
Beaumont, Port Arthur, and Orange. Integrated heart centers represent an
innovative method of delivering high quality, cost-effective cardiac care.
Under the agreement, Raytel will manage the heart center, which will provide
the entire continuum of cardiovascular services, including diagnostic,
therapeutic and patient wellness programs. Amongst other duties, Raytel will
be responsible for the day-to-day operations of the heart center, including
administrative support, information systems management, marketing and public
relations activities. Raytel's relationship with Baptist Hospital parallels its
standard heart center operating model. The initial term of the agreement is
ten years.
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Dick Bader, Chairman and CEO of Raytel commented, "I am delighted that
we have come to an agreement with Baptist Hospital. The hospital's excellent
reputation in Southeast Texas and its association with other hospitals in
Southeast Texas will enable us to establish a standard of care consistent with
the highest protocols in the nation."
Allan Zinberg, President and COO of Raytel, added, "Our existing
relationships with physician practices in the Beaumont area made this agreement
a natural fit for both Raytel and the hospital, and our management team is
anxious to begin developing and operating our newest heart center."
David Parmer, President and CEO of Baptist Hospital, added, "This
agreement is a tremendous positive for the residents of Southeast Texas. At
Baptist Hospital, we have always prided ourselves on the high level of care we
deliver to our patients. This agreement will allow us to extend our coverage of
the region, while making sure that high quality cardiac care is affordable and
available to our entire community."
Raytel, headquartered in San Mateo, CA, is developing a network of
integrated heart centers that are associated with existing hospitals and
physician practices. These center integrate cardiologists and other physicians
with the facilities through a set of diagnostic and therapeutic protocols
designed to provide a high level of care at a competitive price. Integrated
heart centers represent an innovative method of delivering high quality,
cost-effective cardiac care. Raytel provides a variety of medical services,
focusing on the needs of patients with cardiovascular disease and is the leading
provider of remote cardiac monitoring and testing services utilizing
transtelephonic technology in the United States.
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