Supplemental Condensed Consolidating Financial Information (Tables)

3 Months Ended

Mar. 31, 2013

Supplemental Financial Information [Abstract]

Schedule of Condensed Consolidating Balance Sheet

Condensed Consolidating Balance Sheet
March 31, 2013
	Parent				Other		Non -
	Guarantor		Issuer		Guarantors		Guarantors		Eliminations		Consolidated
	(In thousands)
ASSETS
Current assets:
Cash and cash equivalents	$	-	$	-	$	163,552	$	121,496	$	-	$	285,048
Patient accounts receivable, net of allowance
for doubtful accounts		-		-		783,788		1,431,410		-		2,215,198
Supplies		-		-		257,063		113,992		-		371,055
Prepaid income taxes		-		-		-		-		-		-
Deferred income taxes		117,045		-		-		-		-		117,045
Prepaid expenses and taxes		-		65		86,017		56,284		-		142,366
Other current assets		-		-		221,807		66,264		-		288,071
Total current assets		117,045		65		1,512,227		1,789,446		-		3,418,783
Intercompany receivable		511,641		9,593,156		4,085,575		3,440,938		(17,631,310)		-
Property and equipment, net		-		-		4,625,508		2,469,626		-		7,095,134
Goodwill		-		-		2,543,898		1,864,464		-		4,408,362
Other assets, net		-		156,415		1,189,267		798,630		(469,389)		1,674,923
Net investment in subsidiaries		3,072,451		8,608,604		3,581,210		-		(15,262,265)		-
Total assets	$	3,701,137	$	18,358,240	$	17,537,685	$	10,363,104	$	(33,362,964)	$	16,597,202
LIABILITIES AND EQUITY
Current liabilities:
Current maturities of long-term debt	$	-	$	94,429	$	16,519	$	2,853	$	-	$	113,801
Accounts payable		-		48		504,788		236,339		-		741,175
Income tax payable		5,924		-		-		-		-		5,924
Accrued interest		-		109,235		294		410		-		109,939
Accrued liabilities		7,575		-		677,530		352,976		-		1,038,081
Total current liabilities		13,499		203,712		1,199,131		592,578		-		2,008,920
Long-term debt		-		8,853,561		52,372		518,450		-		9,424,383
Intercompany payable		-		5,602,211		12,137,048		7,951,231		(25,690,490)		-
Deferred income taxes		808,489		-		-		-		-		808,489
Other long-term liabilities		1,174		626,308		680,608		200,664		(469,389)		1,039,365
Total liabilities		823,162		15,285,792		14,069,159		9,262,923		(26,159,879)		13,281,157
Redeemable noncontrolling interests in
equity of consolidated subsidiaries		-		-		-		375,506		-		375,506
Equity:
Community Health Systems, Inc. stockholders’
equity:
Preferred stock		-		-		-		-		-		-
Common stock		950		-		1		2		(3)		950
Additional paid-in capital		1,187,535		1,152,914		1,259,384		530,536		(2,942,834)		1,187,535
Treasury stock, at cost		(6,678)		-		-		-		-		(6,678)
Accumulated other comprehensive (loss)
income		(126,998)		(126,998)		(26,386)		-		153,384		(126,998)
Retained earnings		1,823,166		2,046,532		2,235,527		131,573		(4,413,632)		1,823,166
Total Community Health Systems, Inc.
stockholders’ equity		2,877,975		3,072,448		3,468,526		662,111		(7,203,085)		2,877,975
Noncontrolling interests in equity of
consolidated subsidiaries		-		-		-		62,564		-		62,564
Total equity		2,877,975		3,072,448		3,468,526		724,675		(7,203,085)		2,940,539
Total liabilities and equity	$	3,701,137	$	18,358,240	$	17,537,685	$	10,363,104	$	(33,362,964)	$	16,597,202

Condensed Consolidating Balance Sheet
December 31, 2012
	Parent				Other		Non -
	Guarantor		Issuer		Guarantors		Guarantors		Eliminations		Consolidated
	(In thousands)
ASSETS
Current assets:
Cash and cash equivalents	$	-	$	-	$	271,559	$	116,254	$	-	$	387,813
Patient accounts receivable, net of allowance
for doubtful accounts		-		-		676,649		1,390,730		-		2,067,379
Supplies		-		-		254,853		113,319		-		368,172
Prepaid income taxes		49,888		-		-		-		-		49,888
Deferred income taxes		117,045		-		-		-		-		117,045
Prepaid expenses and taxes		-		115		86,628		39,818		-		126,561
Other current assets		-		-		222,424		79,860		-		302,284
Total current assets		166,933		115		1,512,113		1,739,981		-		3,419,142
Intercompany receivable		406,534		9,837,904		3,723,120		3,262,823		(17,230,381)		-
Property and equipment, net		-		-		4,660,557		2,491,316		-		7,151,873
Goodwill		-		-		2,544,195		1,863,943		-		4,408,138
Other assets, net		-		165,236		1,273,347		816,373		(627,774)		1,627,182
Net investment in subsidiaries		2,974,965		8,686,242		3,427,182		-		(15,088,389)		-
Total assets	$	3,548,432	$	18,689,497	$	17,140,514	$	10,174,436	$	(32,946,544)	$	16,606,335
LIABILITIES AND EQUITY
Current liabilities:
Current maturities of long-term debt	$	-	$	75,679	$	11,103	$	3,129	$	-	$	89,911
Accounts payable		-		74		583,865		241,975		-		825,914
Accrued interest		-		110,091		295		316		-		110,702
Accrued liabilities		7,580		-		748,010		361,103		-		1,116,693
Total current liabilities		7,580		185,844		1,343,273		606,523		-		2,143,220
Long-term debt		-		9,079,392		53,201		318,801		-		9,451,394
Intercompany payable		-		5,639,928		11,693,119		7,822,313		(25,155,360)		-
Deferred income taxes		808,489		-		-		-		-		808,489
Other long-term liabilities		1,156		809,372		675,341		180,950		(627,774)		1,039,045
Total liabilities		817,225		15,714,536		13,764,934		8,928,587		(25,783,134)		13,442,148
Redeemable noncontrolling interests in
equity of consolidated subsidiaries		-		-		-		367,666		-		367,666
Equity:
Community Health Systems, Inc. stockholders’
equity:
Preferred stock		-		-		-		-		-		-
Common stock		929		-		1		2		(3)		929
Additional paid-in capital		1,138,274		1,176,342		1,283,499		690,929		(3,150,770)		1,138,274
Treasury stock, at cost		(6,678)		-		-		-		-		(6,678)
Accumulated other comprehensive (loss)
income		(145,310)		(145,310)		(28,927)		-		174,237		(145,310)
Retained earnings		1,743,992		1,943,929		2,121,007		121,938		(4,186,874)		1,743,992
Total Community Health Systems, Inc.
stockholders’ equity		2,731,207		2,974,961		3,375,580		812,869		(7,163,410)		2,731,207
Noncontrolling interests in equity of
consolidated subsidiaries		-		-		-		65,314		-		65,314
Total equity		2,731,207		2,974,961		3,375,580		878,183		(7,163,410)		2,796,521
Total liabilities and equity	$	3,548,432	$	18,689,497	$	17,140,514	$	10,174,436	$	(32,946,544)	$	16,606,335

Schedule of Condensed Consolidating Statement of Income

Condensed Consolidating Statement of Income
Three Months Ended March 31, 2013
	Parent Guarantor		Issuer		Other Guarantors		Non - Guarantors		Eliminations		Consolidated
	(In thousands)
Operating revenues (net of contractual
allowances and discounts)	$	-	$	(3,322)	$	2,432,880	$	1,370,306	$	-	$	3,799,864
Provision for bad debts		-		-		338,431		149,683		-		488,114
Net operating revenues		-		(3,322)		2,094,449		1,220,623		-		3,311,750
Operating costs and expenses:
Salaries and benefits		-		-		919,268		657,880		-		1,577,148
Supplies		-		-		324,013		173,828		-		497,841
Other operating expenses		-		77		444,585		263,312		-		707,974
Electronic health records incentive reimbursement		-		-		(11,974)		(8,942)		-		(20,916)
Rent		-		-		40,227		31,327		-		71,554
Depreciation and amortization		-		-		128,877		63,281		-		192,158
Total operating costs and expenses		-		77		1,844,996		1,180,686		-		3,025,759
Income from operations		-		(3,399)		249,453		39,937		-		285,991
Interest expense, net		-		14,269		126,466		15,615		-		156,350
Loss from early extinguishment of debt		-		1,295		-		-		-		1,295
Equity in earnings of unconsolidated affiliates		(79,174)		(92,325)		(18,350)		-		174,169		(15,680)
Income from continuing operations before income taxes		79,174		73,362		141,337		24,322		(174,169)		144,026
Provision for (benefit from) income taxes		-		(5,812)		50,931		2,584		-		47,703
Income from continuing operations		79,174		79,174		90,406		21,738		(174,169)		96,323
Discontinued operations, net of taxes:
Loss from operations of entities sold		-		-		-		-		-		-
Loss from discontinued operations, net of taxes		-		-		-		-		-		-
Net income		79,174		79,174		90,406		21,738		(174,169)		96,323
Less: Net income attributable to noncontrolling interests		-		-		-		17,149		-		17,149
Net income attributable to Community Health Systems,
Inc. stockholders	$	79,174	$	79,174	$	90,406	$	4,589	$	(174,169)	$	79,174

Condensed Consolidating Statement of Income
Three Months Ended March 31, 2012
	Parent Guarantor		Issuer		Other Guarantors		Non - Guarantors		Eliminations		Consolidated
	(In thousands)
Operating revenues (net of contractual
allowances and discounts)	$	-	$	(1,764)	$	2,451,939	$	1,333,316	$	-	$	3,783,491
Provision for bad debts		-		-		349,311		137,145		-		486,456
Net operating revenues		-		(1,764)		2,102,628		1,196,171		-		3,297,035
Operating costs and expenses:
Salaries and benefits		-		-		898,591		626,384		-		1,524,975
Supplies		-		-		328,255		170,324		-		498,579
Other operating expenses		-		315		479,066		229,562		-		708,943
Electronic health records incentive reimbursement		-		-		(18,831)		(7,337)		-		(26,168)
Rent		-		-		37,370		29,854		-		67,224
Depreciation and amortization		-		-		115,666		58,688		-		174,354
Total operating costs and expenses		-		315		1,840,117		1,107,475		-		2,947,907
Income from operations		-		(2,079)		262,511		88,696		-		349,128
Interest expense, net		-		15,737		123,556		12,882		-		152,175
Loss from early extinguishment of debt		-		63,429		-		-		-		63,429
Equity in earnings of unconsolidated affiliates		(75,474)		(118,501)		(41,799)		-		223,761		(12,013)
Income from continuing operations before income taxes		75,474		37,256		180,754		75,814		(223,761)		145,537
Provision for (benefit from) income taxes		-		(38,218)		65,252		18,785		-		45,819
Income from continuing operations		75,474		75,474		115,502		57,029		(223,761)		99,718
Discontinued operations, net of taxes:
Loss from operations of entities sold		-		-		-		(466)		-		(466)
Loss from discontinued operations, net of taxes		-		-		-		(466)		-		(466)
Net income		75,474		75,474		115,502		56,563		(223,761)		99,252
Less: Net income attributable to noncontrolling interests		-		-		-		23,778		-		23,778
Net income attributable to Community Health Systems,
Inc. stockholders	$	75,474	$	75,474	$	115,502	$	32,785	$	(223,761)	$	75,474

Schedule of Condensed Consolidating Statement of Comprehensive Income (Loss)

Condensed Consolidating Statement of Comprehensive Income
Three Months Ended March 31, 2013
	Parent Guarantor		Issuer		Other Guarantors		Non - Guarantors		Eliminations		Consolidated
		(In thousands)
Net income	$	79,174	$	79,174	$	90,406	$	21,738	$	(174,169)	$	96,323
Other comprehensive income (loss), net of taxes
Net change in fair value of interest rate swaps		15,770		15,770		-		-		(15,770)		15,770
Net change in fair value of available-for-sale securities		1,809		1,809		1,809		-		(3,618)		1,809
Amortization and recognition of unrecognized pension cost components		733		733		733		-		(1,466)		733
Other comprehensive income (loss)		18,312		18,312		2,542		-		(20,854)		18,312
Comprehensive income		97,486		97,486		92,948		21,738		(195,023)		114,635
Less: Comprehensive income attributable to
noncontrolling interests		-		-		-		17,149		-		17,149
Comprehensive income attributable to Community
Health Systems, Inc. stockholders	$	97,486	$	97,486	$	92,948	$	4,589	$	(195,023)	$	97,486

Condensed Consolidating Statement of Comprehensive Income
Three Months Ended March 31, 2012
	Parent Guarantor		Issuer		Other Guarantors		Non - Guarantors		Eliminations		Consolidated
		(In thousands)
Net income	$	75,474	$	75,474	$	115,502	$	56,563	$	(223,761)	$	99,252
Other comprehensive income (loss), net of taxes
Net change in fair value of interest rate swaps		10,536		10,536		-		-		(10,536)		10,536
Net change in fair value of available-for-sale securities		2,667		2,667		2,667		-		(5,334)		2,667
Amortization and recognition of unrecognized pension cost components		1,140		1,140		1,140		-		(2,280)		1,140
Other comprehensive income (loss)		14,343		14,343		3,807		-		(18,150)		14,343
Comprehensive income		89,817		89,817		119,309		56,563		(241,911)		113,595
Less: Comprehensive income attributable to
noncontrolling interests		-		-		-		23,778		-		23,778
Comprehensive income attributable to Community
Health Systems, Inc. stockholders	$	89,817	$	89,817	$	119,309	$	32,785	$	(241,911)	$	89,817

Schedule of Condensed Consolidating Statement of Cash Flows

Condensed Consolidating Statement of Cash Flows
Three Months Ended March 31, 2013
	Parent				Other		Non -
	Guarantor		Issuer		Guarantors		Guarantors		Eliminations		Consolidated
	(In thousands)
Net cash (used in) provided by operating
activities	$	(4,881)	$	(12,879)	$	173,042	$	(98,128)	$	-	$	57,154
Cash flows from investing activities:
Acquisitions of facilities and other related
equipment		-		-		(3,656)		(1,094)		-		(4,750)
Purchases of property and equipment		-		-		(94,760)		(18,099)		-		(112,859)
Proceeds from sale of property and equipment		-		-		526		188		-		714
Increase in other investments		-		-		(55,469)		(14,014)		-		(69,483)
Net cash used in investing activities		-		-		(153,359)		(33,019)		-		(186,378)
Cash flows from financing activities:
Proceeds from exercise of stock options		73,429		-		-		-		-		73,429
Repurchase of restricted stock shares for payroll
tax withholding requirements		(14,478)		-		-		-		-		(14,478)
Stock buy-back		(18,726)		-		-		-		-		(18,726)
Deferred financing costs		-		(126)		-		(752)		-		(878)
Excess tax benefit relating to
stock-based compensation		5,358		-		-		-		-		5,358
Redemption of noncontrolling investments in joint
ventures		-		-		-		(436)		-		(436)
Distributions to noncontrolling investors in joint
ventures		-		-		-		(15,291)		-		(15,291)
Changes in intercompany balances with
affiliates, net		(40,702)		219,483		(132,277)		(46,504)		-		-
Borrowings under credit agreement		-		90,000		10,679		214		-		100,893
Issuance of long-term debt		-		-		-		-		-		-
Proceeds from receivables facility		-		-		-		300,000		-		300,000
Repayments of long-term indebtedness		-		(296,478)		(6,092)		(100,842)		-		(403,412)
Net cash provided by (used in) financing
activities		4,881		12,879		(127,690)		136,389		-		26,459
Net change in cash and cash equivalents		-		-		(108,007)		5,242		-		(102,765)
Cash and cash equivalents at beginning of period		-		-		271,559	$	116,254		-		387,813
Cash and cash equivalents at end of period	$	-	$	-	$	163,552	$	121,496	$	-	$	285,048

Condensed Consolidating Statement of Cash Flows
Three Months Ended March 31, 2012
	Parent				Other		Non -
	Guarantor		Issuer		Guarantors		Guarantors		Eliminations		Consolidated
	(In thousands)
Net cash (used in) provided by operating
activities	$	(1,230)	$	(26,237)	$	(67,958)	$	282,735	$	-	$	187,310
Cash flows from investing activities:
Acquisitions of facilities and other related
equipment		-		-		(242,977)		(5,459)		-		(248,436)
Purchases of property and equipment		-		-		(127,673)		(57,230)		-		(184,903)
Proceeds from sale of property and equipment		-		-		688		60		-		748
Increase in other investments		-		10,000		(45,612)		(32,096)		-		(67,708)
Net cash used in investing activities		-		10,000		(415,574)		(94,725)		-		(500,299)
Cash flows from financing activities:
Proceeds from exercise of stock options		308		-		-		-		-		308
Repurchase of restricted stock shares for payroll
tax withholding requirements		(9,032)		-		-		-		-		(9,032)
Stock buy-back		-		-		-		-		-		-
Deferred financing costs		-		(24,787)		-		-		-		(24,787)
Excess tax benefit relating to
stock-based compensation		1,004		-		-		-		-		1,004
Redemption of noncontrolling investments in joint
ventures		-		-		-		(31,096)		-		(31,096)
Distributions to noncontrolling investors in joint
ventures		-		-		-		(27,038)		-		(27,038)
Changes in intercompany balances with
affiliates, net		8,950		(58,772)		469,006		(419,184)		-		-
Borrowings under credit agreements		-		2,695,000		9,337		-		-		2,704,337
Issuance of long-term debt		-		1,025,000		-		-		-		1,025,000
Proceeds from receivables facility		-		-		-		300,000		-		300,000
Repayments of long-term indebtedness		-		(3,620,204)		(5,334)		(736)		-		(3,626,274)
Net cash provided by (used in) financing
activities		1,230		16,237		473,009		(178,054)		-		312,422
Net change in cash and cash equivalents		-		-		(10,523)		9,956		-		(567)
Cash and cash equivalents at beginning of period		-		-		14,536	$	115,329		-		129,865
Cash and cash equivalents at end of period	$	-	$	-	$	4,013	$	125,285	$	-	$	129,298