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UNITED STATES
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 6, 1997
ARBOR HEALTH CARE COMPANY
(Exact name of registrant as specified in its charter)
DELAWARE 0-22178 34-1469604
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(State or other jurisdiction (Commission (IRS Employer
of incorporation) File Number) Identification No.)
1100 SHAWNEE ROAD, P. O. BOX 840, LIMA, OHIO 45802-0840
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: 419-227-3000
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ITEM 5. OTHER EVENTS
The Registrant on January 6, 1997 closed the acquisitions of Adult
Services Unlimited, Inc. ("ASUI") and Health Poconos, Inc. ("HPI") effective
January 1, 1997. Combined 1996 sales of the two companies were approximately
$2.8 million.
The purchase price of $3.2 million for the ASUI and HPI businesses was
paid with cash of $1.5 million and promissory notes of $1.7 million. The
acquisitions will be treated as purchases for accounting and financial
reporting purposes.
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ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS.
(a) Financial Statements of Businesses Acquired.
None required.
(b) Pro Forma Financial Information.
None required.
(c) Exhibits.
1. Press Release, dated January 14, 1997, of Arbor Health
Care Company.
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SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, as
amended, the Registrant has duly caused this Report to be signed on its behalf
by the undersigned thereunto duly authorized.
ARBOR HEALTH CARE COMPANY
By: /s/ DENNIS R. SMITH
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Dennis R. Smith, Senior Vice President - Finance
and Chief Financial Officer
Dated: January 17, 1997
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1 Press Release, dated January 14, 1997,
of Arbor Health Care Company. 6
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EXHIBIT 1
For further information contact:
Pier C. Borra
Chairman, President and Chief Executive
Officer (419) 227-3000
FOR IMMEDIATE RELEASE
Stefanie King
Edelman Financial
(212) 704-8291
ARBOR HEALTH CARE ENTERS OUTPATIENT REHABILITATION MARKET
LIMA, OHIO, January 14, 1997 -- Arbor Health Care Company (Nasdaq: AHCC) today
announced the acquisition of two Comprehensive Outpatient Rehabilitation
Facilities ("CORF's"), Adult Services Unlimited, Inc. and Health Poconos, Inc.,
which serve the northeastern Pennsylvania market.
A CORF is a specialized outpatient facility organized to deliver comprehensive,
case managed, interdisciplinary rehabilitation services under physician
directive including physical therapy, occupational therapy, speech therapy,
psychological services and social work.
Adult Services Unlimited, Inc. and Health Poconos, Inc. provide general,
job-related injury and geriatric rehabilitation. The facilities also offer
specialty programs in pulmonary rehabilitation, chronic pain management and
arthritis rehabilitation. In 1996, the combined facilities serviced over 1,300
patients with over 12,000 visits and had combined revenues of $2.8 million.
These acquisitions, which are part of Arbor's strategy to provide outpatient
rehabilitation services, will be managed by James S. Crawford, Vice President
of Outpatient Rehabilitation. Mr. Crawford has held several senior level
positions in the healthcare industry, including CEO of Learning Services
Corporation, a provider of residential neurorehabilitation services. He most
recently served as Executive Vice President of Ambulatory Healthcare
Corporation of America, an outpatient rehabilitation, ambulatory surgery and
physician practice company.
Commenting on the announcement, Pier C. Borra, Chairman, President and Chief
Executive Officer, stated, "This acquisition is a natural extension of our
traditional subacute strategy. These facilities utilize the same clinical
models used in Arbors's inpatient subacute units. Therefore, we believe we will
be successful in offering low-cost rehabilitation services to managed care
payors, Medicare patients and physicians as a viable alternative to traditional
outpatient services."
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Mr. Borra continued, "This acquisition is consistent with our geographic
strategy of focusing on specific, targeted locations. We believe there is
additional opportunity to expand our presence in comprehensive outpatient
rehabilitation in regional markets through additional acquisitions as well as
internal development because of the significant demand of outpatient
rehabilitation for the job injury and geriatric markets."
Arbor Health Care Company provides subacute medical services, including medical
rehabilitation, ventilator weaning and respiratory therapy, and complex medical
services such as cardiac recovery, infusion therapy and wound care, as well as
basic health care services for geriatric or chronically ill patients. The
Company operates 30 licensed nursing centers in five states with a total of
3,578 beds. Arbor's Pharmacy Division, with operations in Ohio and Florida,
serves approximately 23,900 beds, including 3,300 Arbor beds.
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