Navigation Links
MedCath Corporation Announces Completion of Sale of Equity Interest in Joint Venture
Date:1/5/2009

CHARLOTTE, N.C., Jan. 5 /PRNewswire-FirstCall/ -- MedCath Corporation (Nasdaq: MDTH), a healthcare provider focused on high acuity healthcare services, predominately the diagnosis and treatment of cardiovascular disease, today announced the completion of the sale of its ownership in a joint venture in its MedCath Partners division. MedCath had previously indicated during its fourth quarter earnings call on November 13, 2008, that its partner had provided notification of its intent to acquire MedCath's ownership in the joint venture, as allowed in the joint venture's operating agreement following the venture's 10th anniversary. The sale was completed December 31, 2008.

MedCath received $6.9 million in cash for its 51% ownership interest in the joint venture. For the twelve month period ended September 30, 2008, the joint venture contributed $11.2 million in net revenue, $3.3 million in Adjusted EBITDA and $1.6 million in minority interest expense to MedCath's consolidated earnings. MedCath will continue to provide certain medical equipment to its former partner via a long-term lease, which will contribute $0.7 million in net revenue and Adjusted EBITDA annually. MedCath intends to use the proceeds from the sale for general corporate purposes.

Use of Non-GAAP Financial Measures

This release contains measures of MedCath's historical financial performance that are not calculated and presented in conformity with generally accepted accounting principles ("GAAP"), including Adjusted EBITDA. Adjusted EBITDA represents MedCath's income from continuing operations before interest expense; interest and other income, net; income tax expense; depreciation; amortization; share-based compensation expense; pre-opening expenses; loss on disposal of property, equipment and other assets; loss on early extinguishment of debt; equity in net earnings of unconsolidated affiliates; and minority interest share of earnings of consolidated subsidiaries. MedCath's management uses Adjusted EBITDA to measure the performance of the company's various operating entities, to compare actual results to historical and budgeted results, and to make capital allocation decisions. Management provides Adjusted EBITDA to investors to assist them in performing their analyses of MedCath's historical operating results. Further, management believes that many investors in MedCath also invest in, or have knowledge of, other healthcare companies that use Adjusted EBITDA as a financial performance measure. Because Adjusted EBITDA is a non-GAAP measure, Adjusted EBITDA, as defined above, may not be comparable to other similarly titled measures of other companies.

MedCath Corporation, headquartered in Charlotte, N.C., is a healthcare provider focused on high acuity services with the diagnosis and treatment of cardiovascular disease being a primary service offering. MedCath owns an interest in and operates nine hospitals with a total of 676 licensed beds, located in Arizona, Arkansas, California, Louisiana, New Mexico, South Dakota, and Texas. MedCath is in the process of developing its tenth hospital, which is anticipated to open in fall 2009, in Kingman, Ariz. In addition, MedCath and its subsidiary MedCath Partners provide services in diagnostic and therapeutic facilities in various states.


'/>"/>
SOURCE MedCath Corporation
Copyright©2009 PR Newswire.
All rights reserved

Related medicine news :

1. MedCath Corporation Reports Fourth Quarter Earnings and Outlook for Fiscal 2008
2. MedCath Corporation to Present at the BMO Capital Markets 2007 Focus on Healthcare Conference
3. MedCath Corporation to Present at the 26th Annual JPMorgan Healthcare Conference
4. MedCath Corporation to Hold Conference Call on First Quarter Results
5. MedCath Corporation Reports First Quarter Earnings
6. MedCath Plans 60-bed Expansion at TexSAn Heart Hospital
7. MedCath Announces Venture With Two New Jersey Hospitals
8. MedCath Corporation to Present at the Raymond James 29th Annual Institutional Investors Conference
9. MedCath Corporation to Present at the Citi 2008 Small and Mid-Cap Conference
10. MedCath Enters Definitive Agreement to Sell Dayton Heart Hospital to Good Samaritan Hospital-Dayton
11. MedCath Announces Acquisition of Ownership in Arizona Cath Lab
Post Your Comments:
*Name:
*Comment:
*Email:
(Date:2/13/2016)... ... February 13, 2016 , ... ... Data Management Solution Providers list for its expertise in eClinical Solutions. DDi has ... to serve the technology needs of global clients. DDi provides smarter technology for ...
(Date:2/12/2016)... (PRWEB) , ... February 12, 2016 , ... ... organization devoted exclusively to funding innovative lymphoma research and serving the lymphoma community ... hosted over 250 members of South Florida’s philanthropic community at its 10th anniversary ...
(Date:2/12/2016)... ... 12, 2016 , ... Coco Libre, the maker of coconut water beverages with ... Style Lounge Event. Coco Libre will offer musicians and celebrities the company’s signature Organic ... The invitation-only gifting suite, held this year at the W Hollywood Hotel, has become ...
(Date:2/12/2016)... ... February 12, 2016 , ... Fisher House Foundation Chairman and CEO Kenneth Fisher ... Military Support Alliance president Scott Bensing, and Peggy Kearns Director, VA Southern Nevada Healthcare ... System. This will be the first Fisher House in Nevada, and will provide ...
(Date:2/12/2016)... Pittsburgh, PA (PRWEB) , ... February 12, 2016 ... ... serving families of the Pittsburgh metro area, celebrates the beginning of the latest ... help children develop social skills through art. Donations to this worthy cause are ...
Breaking Medicine News(10 mins):
(Date:2/12/2016)... SAN JOSE, Calif. , Feb. 12, 2016  SI-BONE, Inc., ... Implant System ® ("iFuse"), a minimally invasive surgical (MIS) device ... announced that National Government Services, Inc. (NGS), the Medicare Administrative Contractor ... Illinois , Maine , ... Hampshire , New York , ...
(Date:2/12/2016)... SEOUL, South Korea , Feb. 12, 2016 ... today announced they will form a partnership to ... medicine in cancer. The goal of the collaboration ... with Macrogen,s high-throughput Next Generation Sequencing capabilities toward ... Laboratory Improvement Amendments (CLIA) of 1988 by the ...
(Date:2/12/2016)... 12, 2016  Apellis Pharmaceuticals, Inc., today ... million Series D preferred stock financing, co-led ... Capital Group and venBio Global Strategic Fund, ... IB Investment, and Epidarex Capital. The proceeds of ... advance clinical trials in the Company,s ongoing ...
Breaking Medicine Technology: