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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
DATE OF REPORT (DATE OF EARLIEST EVENT REPORTED): JANUARY 27, 1999
BIRMAN MANAGED CARE, INC.
(EXACT NAME OF REGISTRANT AS SPECIFIED IN ITS CHARTER)
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DELAWARE 333-11957 62-1584092
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(STATE OR OTHER JURISDICTION (COMMISSION FILE NUMBER) (IRS EMPLOYER IDENTIFICATION NO.)
OF INCORPORATION)
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1025 HIGHWAY 111 SOUTH, COOKVILLE, TENNESSEE 38501
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(ADDRESS OF PRINCIPAL EXECUTIVE OFFICES) (ZIP CODE)
REGISTRANT'S TELEPHONE NUMBER, INCLUDING AREA CODE: (931) 372-7800
NOT APPLICABLE
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(FORMER NAME OR FORMER ADDRESS, IF CHANGED SINCE LAST REPORT
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ITEM 5. OTHER EVENTS.
PRESS RELEASE: On January 27, 1999, the Company released a press
release, a copy of which is attached hereto as Exhibit "99.1", and incorporated
herein by this reference.
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS.
(c) EXHIBITS
99.1 Press Release of Birman Managed Care Inc., dated
January 27, 1999
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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 thereunto duly authorized.
BIRMAN MANAGED CARE, INC.
January 28, 1999 /s/ DAVID N. BIRMAN
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David N. Birman
Chairman of the Board, President and
Chief Executive Officer
January 28, 1999 /s/ SUE D. BIRMAN
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Sue D. Birman
Executive Vice President
(Principal Accounting Officer)
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Exhibit 99.1
NEWS FROM: BIRMAN MANAGED CARE, INC. (Nasdaq: BMAN)
Birman Contact: John Foley or Jerry Freisleben
Managed Care, Inc. FOLEY/FREISLEBEN LLC
700 So. Flower St. #1100
Los Angeles CA 90017
213/892-6322
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BIRMAN MANAGED CARE ANNOUNCES
SUBSTANTIAL EXPENSE REDUCTIONS --
EXPECTS RAPID RETURN TO PROFITABILITY
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COOKEVILLE, TENNESSEE, JANUARY 27, 1999 -- Birman Managed Care, Inc.
(Nasdaq: BMAN), a physician-driven health care consulting and management
company, today announced that it has implemented substantial overhead and cost
reductions which are intended to spur a rapid return to profitability.
These latest measures, totaling in excess of $200,000 per month,
represent about 25 percent of the company's total expenses. Additional smaller
expense cuts have been identified and are expected to be implemented by the end
of February 1999. With these economies, the company expects to record a profit
from continuing operations in February and March of this year. It is also
anticipated that the company will incur a small one-time charge for severance
expenses in the third quarter ended March 31, 1999.
David N. Birman, M.D., the company's chairman, president and chief
executive officer, commented: "Our mandate is to restore the company to
sustained profitability as swiftly as possible. These measures will return the
company to a profitable level of operations without reducing our ability to
generate revenues. We are actively engaged in late-stage negotiations for
several new hospital contracts and contract renewals which we expect to
announce over the next 30 to 60 days." (more)
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BIRMAN MANAGED CARE, INC. PAGE TWO
Dr. Birman continued: "It is our belief that our rededication to our
core physician-to-physician consulting business, coupled with these stringent
expense reductions, will enable us to emerge as a leaner, more focused and
successful company with an improved outlook for profitable growth."
Birman Managed Care, Inc. is a health care consulting company with a
physician-focused core competency. Through its subsidiary, Birman & Associates,
which currently operates at 28 hospitals in 11 states, the company offers a
range of compliance products and quality management services customized for
health care providers including hospitals and physician offices. The company
also operates Hughes & Associates, a provider of licensed pre-certification and
utilization review services to self-insured employer groups and insurers.
The information contained herein includes "forward looking statements"
as defined in the Private Securities Litigation Reform Act of 1995. The
statements that "the company expects" and statements by Dr. Birman addressing
future operations are considered to be "forward looking" for purposes of the
Act. Investors are cautioned that forward-looking statements involve risks and
uncertainties, including general economic conditions, delays and risks
associated with the performance of contracts, consumer and industry acceptance
and regulatory risks.
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