SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C.
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 of 15(d) of the
Securities Exchange Act of 1934
June 22, 1999
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Date of Report (date of earliest event reported)
NEWCARE HEALTH CORPORATION
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Exact name of Registrant as Specified in its Charter
Nevada 0-24110 86-0594391
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State or Other Jurisdiction Commission File IRS Employer Identification
of Incorporation Number Number
6000 Lake Forrest Drive, Suite 225, Atlanta, Georgia 30328
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Address of Principal Executive Offices, Including Zip Code
(404) 252-2923
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Registrant's Telephone Number, Including Area Code
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ITEM 3. BANKRUPTCY OR RECEIVERSHIP
On June 22, 1999, the Company and certain of its subsidiaries filed
voluntary petitions for protection under Chapter 11 of the Federal Bankruptcy
Code in the United States Bankruptcy Court for the district of Massachusetts
in Worcester, Massachusetts, and are operating as debtors-in-possession. The
Company's success is dependent upon, among other things, further improvements
in operating performance, approval of various plans and initiatives by the
Bankruptcy Court, the formulation of an acceptable reorganization plan and
Bankruptcy Court approval of the reorganization plan. In general, the results,
performance or achievements of the Company and its subsidiaries is dependent
upon a number of factors including, without limitation, the following:
individual facility performance including occupancy rate and profit margin;
competition; success of operating initiatives; operating costs; retention of
employees; advertising efforts; adverse publicity; changes in business
strategy; changes in development plans; availability and cost of capital;
labor and employee benefit costs; changes in government regulations;
compliance with Year 2000 requirements by the Company and its third party
vendors; and other factors referenced in the Company's filings with the
Securities and Exchange Commission ("Commission"). These cautionary statements
by the Company should not be construed as exhaustive or as any admission
regarding the adequacy of disclosures made by the Company. The Company cannot
always predict or determine what factors would cause actual results to differ
materially from those indicated by the forward-looking statements or other
statements. In addition, readers are urged to consider statements that include
the terms "believes", "expects", "plans", or the like to be uncertain and
forward-looking. All cautionary statements should be read as being applicable
to all forward-looking statements wherever they appear.
On June 23, 1999, the Bankruptcy Court approved the Company's motions
relating to the use of cash collateral, the payment of pre-petition salaries,
wages and benefits, and entered an order approving a $1.4 million debtor-in-
possession financing facility by Healthcare Financial Partners, Inc.
SIGNATURES
Pursuant to the requirements of the Securities and Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
NEWCARE HEALTH CORPORATION
Date: July 7, 1999 By:/s/ Chris Henderson
Chris Henderson
