-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, PPT0PpTNxiJ63nAjZp69cPmGFbuZKdn7XRBH9NMB00M8pwi1h2NRqSLHmjcU08Z4 LSrVufI1Ld/uhj63R601ew== 0001010549-02-000579.txt : 20021015 0001010549-02-000579.hdr.sgml : 20021014 20021015171457 ACCESSION NUMBER: 0001010549-02-000579 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 20020930 ITEM INFORMATION: Acquisition or disposition of assets ITEM INFORMATION: Financial statements and exhibits FILED AS OF DATE: 20021015 FILER: COMPANY DATA: COMPANY CONFORMED NAME: GREENBRIAR CORP CENTRAL INDEX KEY: 0000105744 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-SKILLED NURSING CARE FACILITIES [8051] IRS NUMBER: 752399477 STATE OF INCORPORATION: NV FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-08187 FILM NUMBER: 02789688 BUSINESS ADDRESS: STREET 1: 14185 DALLAS PKWY STREET 2: STE 650 CITY: DALLAS STATE: TX ZIP: 75240 BUSINESS PHONE: 9724078400 MAIL ADDRESS: STREET 1: 14185 DALLAS PKWY STREET 2: STE 650 CITY: DALLAS STATE: TX ZIP: 75204 FORMER COMPANY: FORMER CONFORMED NAME: WESPAC INVESTORS TRUST DATE OF NAME CHANGE: 19900605 FORMER COMPANY: FORMER CONFORMED NAME: MEDICAL RESOURCE COMPANIES OF AMERICA DATE OF NAME CHANGE: 19920703 8-K 1 green8k093002.txt 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): September 30, 2002 Greenbriar Corporation ----------------------------------- (Exact name of registrant as specified in its charter) Nevada 0-8187 75-2399477 - ------------------------ --------------------- ------------------- (State of incorporation) (Commission File No.) (IRS Employer Identification No.) 4265 Kellway Circle, Addison, Texas 75244 ---------------------------------------------------------- (Address of principal execute offices, including zip code) (972) 407-8400 ---------------------------------------------------- (Registrant's telephone number, including area code) Item 2. Acquisition or Disposition of Assets - --------------------------------------------- On September 30, 2002 the Company concluded and closed the sale of two assisted living communities. In addition an unconsolidated partnership, in which the Company is a 56% limited partner, sold its two assisted living communities. The purchasing entities are all related by common ownership. The purchasing entities are all unrelated to the Company or any of its officers or directors. On September 30, 2002 the Company sold its retirement community in Harlingen, Texas and it's assisted living community in Sherman, TX . In addition the Corinthians Real Estate Investors L.P., a partnership where Greenbriar is a 56% limited partner, sold its one retirement and one assisted living community which were both located in Carrollton, Texas The sale of the Company owned communities will net the Company $379,000 in cash and $1,269,000 in notes due in one year bearing 12% interest. The interest is paid monthly. The Company will record a loss on the sale of the property of $2,347,000 The partnership received approximately $2,900,000 in notes from the sale of its communities. These notes are due September 30, 2004 and bear interest at 12%. The interest is paid monthly. The Partnership will recorded deferred income of approximately $2,400,000 which will be recognized when the notes are paid. Item 7. Financial Statements and Exhibits. ------------------------------------------- The following pro forma financial information regarding this transaction are filed with this report. (a) Unaudited Pro Forma Financial Statements ---------------------------------------- The accompanying pro forma consolidated balance sheet as of June 30, 2002 presents this transaction as though it had taken place on June 30, 2002. The accompanying pro forma consolidated statements of operations present earnings (losses) as though the transaction had taken place on January 1, 2001. Pro Forma Consolidated Balance Sheet-June 30, 2002 (Unaudited)........4 Pro Forma Consolidated Statement of Operations- Six Months Ended June 30, 2002 (Unaudited).........................6 Pro Forma Consolidated Statement of Operations- Twelve Months Ended December 31, 2001 (Unaudited)..................7 Explanatory Notes to Consolidated Financial Statements................8 (b) Exhibits None -2- 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 hereunto duly authorized. October 15, 2002 GREENBRIAR CORPORATION By: /s/ Gene S. Bertcher ------------------------ Gene S. Bertcher Executive Vice President -3-
Greenbriar Corporation Pro Forma Consolidated Balance Sheet June 30, 2002 (Amounts in Thousands) As Properties Consolidated Reported Sold Notes Pro Forma -------------------- -------- Assets Current Assets Cash and Cash Equivalents $ 1,056 379 2 $ 1,435 Accounts receivable-trade 68 68 Receivables from affiliated partnership 101 101 Prepaid expenses 116 (10) 1 106 Notes Receivable 1,269 1,269 2 Other current assets 904 (8) 1 896 -------------------- -------- Total Current Assets 2,245 1,630 3,875 Notes receivable, from sale of properties 6,400 6,400 Less deferred gains (6,090) (6,090) -------------------- -------- 310 310 Notes receivable from affiliate partnership 1,600 1,600 Deferred Income Tax Benefit 2,350 2,350 Property and Equipment, At Cost Land and improvements 3,522 (1,348) 1 2,174 Buildings and improvements 28,763 (8,747) 1 20,016 Equipment and furnishings 3,052 (606) 1 2,446 -------------------- -------- 35,337 (10,701) 24,636 Less accumulated depreciation 6,346 (1,795) 1 4,551 -------------------- -------- 28,991 (8,906) 20,085 Deposits 1,693 (14) 1 1,679 Goodwill and other intangibles 543 (282) 1 261 -------------------- -------- $ 37,732 $ (7,572) $ 30,160 ==================== ========
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Greenbriar Corporation Pro Forma Consolidated Balance Sheet June 30, 2002 (Amounts in Thousands) As Properties Consolidated Reported Sold Notes Pro Forma -------------------------- ----------- Liabilities and Stockholders' Equity Current Liabilities Current maturities of long-term debt $ 4,407 $ 4,407 Accounts payable-Trade 862 862 Accrued expenses 810 (17) 1 793 Other current liabilities 949 (132) 1 817 -------------------------- ----------- Total Current Liabilities 7,028 (149) 6,879 Long-Term Debt 11,788 (5,736) 1 6,052 Financing Obligations 10,815 10,815 Other Long-Term Liabilities 326 326 -------------------------- ----------- Total Liabilities 29,957 (5,885) 24,072 Stockholders' Equity Preferred Stock 1 1 Common stock $.01 par value; authorized, 100,000 shares; 359 shares issued and outstanding 75 75 Additional Paid-In Capital 56,827 56,827 Accumulated Deficit (46,761) (1,687) 3 (48,448) -------------------------- ----------- 10,142 (1,687) 8,455 Less stock purchase notes receivable (Including $2,250 from related parties) (2,367) (2,367) -------------------------- ----------- Total Equity 7,775 (1,687) 6,088 -------------------------- ----------- $ 37,732 ($ 7,572) $ 30,160 ========================== ===========
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Greenbriar Corporation Pro forma Consolidated Statement of Operations For the Six Month Period Ended June 30, 2002 (Amounts in Thousands, except per share data) As Properties Pro forma Consolidated Reported Sold Adjustments Notes Pro Forma ----------------------------------------- ----------- Revenue Assisted Living Operations $ 5,474 $ (1,274) $ 4,200 Operating Expenses Assisted living operations 3,069 (828) 2,241 Lease expense 813 -- 813 Facility depreciation and amortization 704 (238) 466 General and administrative 869 -- 869 ----------------------------------------- ----------- 5,455 (1,066) 4,389 ----------------------------------------- ----------- Operating profit (loss) 19 (208) (189) Other expense (income) Interest and dividend income 230 -- 230 Interest expense (1,312) 318 (994) Net gain (loss) on the sale of assets (19) -- (19) Earnings (Loss) due to partnership (413) 393 (20) ----------------------------------------- ----------- (1,514) 711 (803) ----------------------------------------- ----------- NET LOSS (1,495) 503 (992) Net loss allocable to common stockholders $ (1,495) $ 503 (992) ========================================= =========== Loss per share Basic and diluted $ (4.17) $ (2.77) Weighted average number of common shares outstanding 358 Basic and diluted 358
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Greenbriar Corporation Pro forma Consolidated Statement of Operations For the Twelve Month Period Ended December 31, 2001 (Amounts in Thousands, except per share data) As Properties Pro forma Consolidated Reported Sold Adjustments Notes Pro Forma ----------------------------------------------------------------------- Revenue Assisted Living Operations $ 30,861 $ (2,015) $ 28,846 Operating Expenses Assisted living operations 19,484 (1,401) 18,083 Lease expense 3,139 -- 3,139 Facility depreciation and -- amortization 2,794 (335) 2,459 Termination of employment contracts 1,349 -- 1,349 General and administrative 4,875 -- 4,875 Write-down of assets 1,887 -- -- 1,887 ----------------------------------------------------------------------- 33,528 (1,736) -- 31,792 ----------------------------------------------------------------------- Operating profit (loss) (2,667) (279) -- (2,946) Other expense (income) Interest and dividend income 265 (8) 150 4 407 Interest expense (4,958) 473 (4,485) Earnings (Loss) due to partnership 67 5 67 Other expense (income), net 16,602 49 -- 16,651 ----------------------------------------------------------------------- 11,909 514 217 12,640 ----------------------------------------------------------------------- Earnings (loss) before income taxes 9,242 235 217 9,694 Income tax expense 2,824 -- -- 2,824 ----------------------------------------------------------------------- NET EARNINGS (LOSS) 6,418 235 217 6,870 Preferred stock dividend requirement (160) -- -- (160) ----------------------------------------------------------------------- Net earnings (loss) allocable to common stockholders $ 6,258 $ 235 $ 217 $ 6,710 Earnings (loss) per share Basic and diluted $ 15.53 $ 16.65 Weighted average number of common shares outstanding Basic and diluted 403 403
-7- Greenbriar Corporation Notes to Consolidated Pro Forma Financial Statements Note 1: To reflect the sale of the Company owned properties discussed in Item 2 Note 2: To reflect the cash and notes received from the sale of the Company owned properties discussed in Item 2 Note 3: To reflect the loss from the sale of the Company owned properties Note 4: To reflect the interest from the notes received from the sale of the Company owned properties. The loss has not been included in the Pro Forma Statements of Operations because it does not have a continuing impact on the Company. Note 5: To reflect the Company's portion of the interest income earned from the notes received by the partnership for the sale of its property -8- -----END PRIVACY-ENHANCED MESSAGE-----