HealthSouth Executes Letter of Intent To Purchase Walton Rehabilitation Hospital in Augusta, Georgia
BIRMINGHAM, Ala., Oct. 24, 2012 /PRNewswire/ -- HealthSouth Corporation (NYSE: HLS) today announced it has executed a letter of intent to acquire Walton Rehabilitation Hospital, a 58-bed inpatient rehabilitation hospital owned by the Walton Rehabilitation Health System located in Augusta, Georgia.
"Walton Rehabilitation Hospital has a long history of providing high-quality care. The purchase of Walton Rehabilitation Hospital by HealthSouth will uniquely position the hospital to continue its well known and respected legacy as a premier provider of physical rehabilitation long into the future," said Linda Wilder, president of HealthSouth's southeast region. "We are pleased to have the opportunity to retain the Walton Rehabilitation Hospital name and serve the Central Savannah River Area."
"The result of combining a high-quality regional rehabilitation hospital with the resources of the nation's largest owner and operator of inpatient rehabilitation hospitals is a clear and focused commitment to preserve and extend access to Walton Rehabilitation Hospital's high standard of care for Augusta and the entire Central Savannah River Area," said Dennis Skelley, president and chief executive officer of Walton Rehabilitation Health System. "We are excited about how this decision will bring financial strength and advanced capabilities (including a fully integrated electronic medical record system) to Walton Rehabilitation Hospital in the years to come. The sale of the 58-bed inpatient rehabilitation hospital to HealthSouth allows Walton Foundation and Walton Community Services to focus on its mission of providing community health services, specifically independent and assisted living opportunities for persons with disabilities."
"Although HealthSouth has rehabilitation hospitals in 27 states, including four that share a border with Georgia, we do not currently have a presence in the state of Georgia," said Wilder. "The acquisition of Walton Rehabilitation Hospital will allow HealthSouth to serve a new market, complement HealthSouth's existing network of rehabilitation hospitals, and be an important start to the continued growth of that network in Georgia."
The transaction is subject to customary closing conditions as well as review by the Georgia Attorney General's office and the Georgia Department of Community Health. The parties are hopeful the transaction will be finalized during the first quarter of 2013.
Walton Rehabilitation Health System is a Joint Commission Accredited provider of physical medicine and rehabilitation throughout the Central Savannah River Area. Services range from inpatient to outpatient programs to community re-entry, assisted living, pain management, and affordable housing opportunities for persons recovering from brain and spinal injuries, stroke, amputation and pain. Walton includes Walton Rehabilitation Hospital, Walton Outpatient Therapy Center, Walton Community Services, Walton Pain Center, Walton Behavioral Medicine Center, Walton Foundation for Independence and partners with Walton Options for Independent Living.
HealthSouth is the nation's largest owner and operator of inpatient rehabilitation hospitals in terms of patients treated and discharged, revenues and number of hospitals. Operating in 27 states across the country and in Puerto Rico, HealthSouth serves patients through its network of inpatient rehabilitation hospitals, outpatient rehabilitation satellite clinics and home health agencies. HealthSouth's hospitals provide a higher level of rehabilitative care to patients who are recovering from conditions such as stroke and other neurological disorders, orthopedic, cardiac and pulmonary conditions, brain and spinal cord injuries, and amputations. HealthSouth can be found on the Web at www.healthsouth.com.
Statements contained in this press release which are not historical facts, such as those relating to the likelihood, timing and effects of the completion of this acquisition, are forward-looking statements. In addition, HealthSouth, through its senior management, may from time to time make forward-looking public statements concerning the matters described herein. All such estimates, projections, and forward-looking information speak only as of the date hereof, and HealthSouth undertakes no duty to publicly update or revise such forward-looking information, whether as a result of new information, future events, or otherwise. Such forward-looking statements are necessarily estimates based upon current information, involve a number of risks and uncertainties, and relate to, among other things, future events, HealthSouth's plan to repurchase its debt or equity securities, its business strategy, its financial plans, its future financial performance, or its projected business results or model, or its projected capital expenditures. Actual events or results may differ materially from those anticipated in these forward-looking statements as a result of a variety of factors. While it is impossible to identify all such factors, factors which could cause actual events or results to differ materially from those estimated by HealthSouth include, but are not limited to, any adverse outcome of various lawsuits, claims, and legal or regulatory proceedings involving the Company, including the Houston HHS-OIG investigation; breaches of security in or failures of HealthSouth's information systems; significant changes in its management team; its ability to successfully complete and integrate de novo developments, acquisitions, investments, and joint ventures consistent with its growth strategy; the possibility that this acquisition will experience unexpected delays; the risk of a significant adjustment to the purchase price; changes, delays in (including in connection with resolution of Medicare payment reviews or appeals), or suspension of reimbursement for its services by governmental or private payors; changes in the regulation of the healthcare industry at either or both of the federal and state levels, including as part of national healthcare reform and deficit reduction; competitive pressures in the healthcare industry generally or in a specific market and HealthSouth's response thereto; its ability to obtain and retain favorable arrangements with third-party payors; its ability to attract and retain nurses, therapists, and other healthcare professionals in a highly competitive environment with often severe staffing shortages and the impact on HealthSouth's labor expenses from potential union activity and staffing shortages; general conditions in the economy and capital markets; the increase in the costs of defending and insuring against alleged professional liability claims and our ability to predict the estimated costs related to such claims; and other factors which may be identified from time to time in HealthSouth's SEC filings and other public announcements, including its Form 10‑K for the year ended December 31, 2011 and Forms 10-Q for the quarters ended March 31, 2012 and June 30, 2012.
Walton Rehabilitation Hospital Contact:
Danielle Wong Moores, 706 496-5956, firstname.lastname@example.org
SOURCE HealthSouth Corporation