Supplemental Condensed Consolidating Financial Information (Tables)

3 Months Ended

Mar. 31, 2014

Supplemental Condensed Consolidating Financial Information [Abstract]

Schedule of Condensed Consolidating Balance Sheet

Condensed Consolidating Balance Sheet
March 31, 2014
	Parent				Other		Non -
	Guarantor		Issuer		Guarantors		Guarantors		Eliminations		Consolidated
	(In millions)
ASSETS
Current assets:
Cash and cash equivalents	$	-	$	-	$	451	$	162	$	-	$	613
Patient accounts receivable, net of allowance
for doubtful accounts		-		-		1,039		2,090		-		3,129
Supplies		-		-		360		169		-		529
Prepaid income taxes		220		-		-		-		-		220
Deferred income taxes		294		-		-		-		-		294
Prepaid expenses and taxes		-		-		145		59		-		204
Other current assets		-		-		331		307		-		638
Total current assets		514		-		2,326		2,787		-		5,627
Intercompany receivable		1,237		16,499		3,263		7,906		(28,905)		-
Property and equipment, net		-		-		7,010		3,562		-		10,572
Goodwill		-		-		5,082		3,291		-		8,373
Other assets, net		-		330		1,625		1,030		(595)		2,390
Net investment in subsidiaries		3,092		17,678		6,704		-		(27,474)		-
Total assets	$	4,843	$	34,507	$	26,010	$	18,576	$	(56,974)	$	26,962
LIABILITIES AND EQUITY
Current liabilities:
Current maturities of long-term debt	$	-	$	138	$	53	$	8	$	-	$	199
Accounts payable		-		-		775		241		-		1,016
Deferred income taxes		-		-		-		-		-		-
Accrued interest		-		163		1		1		-		165
Accrued liabilities		4		-		1,248		494		-		1,746
Total current liabilities		4		301		2,077		744		-		3,126
Long-term debt		-		15,944		123		732		-		16,799
Intercompany payable		-		14,370		19,500		15,143		(49,013)		-
Deferred income taxes		1,134		-		-		-		-		1,134
Other long-term liabilities		-		801		822		397		(595)		1,425
Total liabilities		1,138		31,416		22,522		17,016		(49,608)		22,484
Redeemable noncontrolling interests in
equity of consolidated subsidiaries		-		-		-		692		-		692
Equity:
Community Health Systems, Inc. stockholders’
equity:
Preferred stock		-		-		-		-		-		-
Common stock		1		-		-		-		-		1
Additional paid-in capital		1,995		1,175		1,274		655		(3,104)		1,995
Treasury stock, at cost		(7)		-		-		-		-		(7)
Accumulated other comprehensive (loss)
income		(58)		(58)		(16)		-		74		(58)
Retained earnings		1,774		1,974		2,230		132		(4,336)		1,774
Total Community Health Systems, Inc.
stockholders’ equity		3,705		3,091		3,488		787		(7,366)		3,705
Noncontrolling interests in equity of
consolidated subsidiaries		-		-		-		81		-		81
Total equity		3,705		3,091		3,488		868		(7,366)		3,786
Total liabilities and equity	$	4,843	$	34,507	$	26,010	$	18,576	$	(56,974)	$	26,962

Condensed Consolidating Balance Sheet
December 31, 2013
	Parent				Other		Non -
	Guarantor		Issuer		Guarantors		Guarantors		Eliminations		Consolidated
	(In millions)
ASSETS
Current assets:
Cash and cash equivalents	$	-	$	-	$	238	$	135	$	-	$	373
Patient accounts receivable, net of allowance
for doubtful accounts		-		-		871		1,457		-		2,328
Supplies		-		-		258		115		-		373
Prepaid income taxes		107		-		-		-		-		107
Deferred income taxes		101		-		-		-		-		101
Prepaid expenses and taxes		-		-		98		29		-		127
Other current assets		-		-		256		83		-		339
Total current assets		208		-		1,721		1,819		-		3,748
Intercompany receivable		579		9,541		4,534		3,810		(18,464)		-
Property and equipment, net		-		-		4,674		2,394		-		7,068
Goodwill		-		-		2,536		1,894		-		4,430
Other assets, net		-		144		1,430		828		(531)		1,871
Net investment in subsidiaries		3,194		9,335		4,030		-		(16,559)		-
Total assets	$	3,981	$	19,020	$	18,925	$	10,745	$	(35,554)	$	17,117
LIABILITIES AND EQUITY
Current liabilities:
Current maturities of long-term debt	$	-	$	152	$	13	$	2	$	-	$	167
Accounts payable		-		-		736		215		-		951
Deferred income taxes		3		-		-		-		-		3
Accrued interest		-		111		-		1		-		112
Accrued liabilities		4		-		869		352		-		1,225
Total current liabilities		7		263		1,618		570		-		2,458
Long-term debt		-		8,718		51		517		-		9,286
Intercompany payable		-		6,226		13,060		8,266		(27,552)		-
Deferred income taxes		906		-		-		-		-		906
Other long-term liabilities		-		619		671		218		(531)		977
Total liabilities		913		15,826		15,400		9,571		(28,083)		13,627
Redeemable noncontrolling interests in
equity of consolidated subsidiaries		-		-		-		358		-		358
Equity:
Community Health Systems, Inc. stockholders’
equity:
Preferred stock		-		-		-		-		-		-
Common stock		1		-		-		-		-		1
Additional paid-in capital		1,256		1,175		1,274		595		(3,044)		1,256
Treasury stock, at cost		(7)		-		-		-		-		(7)
Accumulated other comprehensive (loss)
income		(67)		(67)		(11)		-		78		(67)
Retained earnings		1,885		2,086		2,262		157		(4,505)		1,885
Total Community Health Systems, Inc.
stockholders’ equity		3,068		3,194		3,525		752		(7,471)		3,068
Noncontrolling interests in equity of
consolidated subsidiaries		-		-		-		64		-		64
Total equity		3,068		3,194		3,525		816		(7,471)		3,132
Total liabilities and equity	$	3,981	$	19,020	$	18,925	$	10,745	$	(35,554)	$	17,117

Schedule of Condensed Consolidating Statement of Income

Condensed Consolidating Statement of Loss
Three Months Ended March 31, 2014
	Parent Guarantor		Issuer		Other Guarantors		Non - Guarantors		Eliminations		Consolidated
	(In millions)
Operating revenues (net of contractual
allowances and discounts)	$	-	$	(4)	$	3,130	$	1,774	$	-	$	4,900
Provision for bad debts		-		-		480		225		-		705
Net operating revenues		-		(4)		2,650		1,549		-		4,195
Operating costs and expenses:
Salaries and benefits		-		-		1,154		850		-		2,004
Supplies		-		-		418		217		-		635
Other operating expenses		-		-		665		358		-		1,023
Electronic health records incentive reimbursement		-		-		(23)		(17)		-		(40)
Rent		-		-		54		45		-		99
Depreciation and amortization		-		-		189		68		-		257
Amortization of software to be abandoned		-		-		26		16		-		42
Total operating costs and expenses		-		-		2,483		1,537		-		4,020
Income from operations		-		(4)		167		12		-		175
Interest expense, net		-		40		171		13		-		224
Loss from early extinguishment of debt		-		73		-		-		-		73
Equity in earnings of unconsolidated affiliates		112		31		15		-		(169)		(11)
Impairment of long-lived assets		-		-		24		-		-		24
(Loss) income from continuing operations before income taxes		(112)		(148)		(43)		(1)		169		(135)
Provision for (benefit from) income taxes		-		(36)		(16)		(5)		-		(57)
(Loss) income from continuing operations		(112)		(112)		(27)		4		169		(78)
Discontinued operations, net of taxes:
Loss from operations of entities held for sale		-		-		(5)		3		-		(2)
Impairment of hospitals held for sale		-		-		-		(18)		-		(18)
Loss from discontinued operations, net of taxes		-		-		(5)		(15)		-		(20)
Net (loss) income		(112)		(112)		(32)		(11)		169		(98)
Less: Net income attributable to noncontrolling interests		-		-		-		14		-		14
Net (loss) income attributable to Community Health
Systems, Inc. stockholders	$	(112)	$	(112)	$	(32)	$	(25)	$	169	$	(112)

Condensed Consolidating Statement of Income
Three Months Ended March 31, 2013
	Parent Guarantor		Issuer		Other Guarantors		Non - Guarantors		Eliminations		Consolidated
	(In millions)
Operating revenues (net of contractual
allowances and discounts)	$	-	$	(3)	$	2,403	$	1,352	$	-	$	3,752
Provision for bad debts		-		-		332		146		-		478
Net operating revenues		-		(3)		2,071		1,206		-		3,274
Operating costs and expenses:
Salaries and benefits		-		-		907		648		-		1,555
Supplies		-		-		322		172		-		494
Other operating expenses		-		-		437		259		-		696
Electronic health records incentive reimbursement		-		-		(11)		(8)		-		(19)
Rent		-		-		40		30		-		70
Depreciation and amortization		-		-		128		62		-		190
Total operating costs and expenses		-		-		1,823		1,163		-		2,986
Income from operations		-		(3)		248		43		-		288
Interest expense, net		-		14		127		15		-		156
Loss from early extinguishment of debt		-		1		-		-		-		1
Equity in earnings of unconsolidated affiliates		(79)		(92)		(19)		-		174		(16)
Impairment of long-lived assets		-		-		-		-		-		-
Income from continuing operations before income taxes		79		74		140		28		(174)		147
Provision for (benefit from) income taxes		-		(5)		50		4		-		49
Income from continuing operations		79		79		90		24		(174)		98
Discontinued operations, net of taxes:
Loss from operations of entities held for sale		-		-		-		(2)		-		(2)
Impairment of hospitals held for sale		-		-		-		-		-		-
Loss from discontinued operations, net of taxes		-		-		-		(2)		-		(2)
Net income		79		79		90		22		(174)		96
Less: Net income attributable to noncontrolling interests		-		-		-		17		-		17
Net income attributable to Community Health
Systems, Inc. stockholders	$	79	$	79	$	90	$	5	$	(174)	$	79

Schedule of Condensed Consolidating Statement of Comprehensive Income (Loss)

Condensed Consolidating Statement of Comprehensive Loss
Three Months Ended March 31, 2014
	Parent Guarantor		Issuer		Other Guarantors		Non - Guarantors		Eliminations		Consolidated
		(In millions)
Net (loss) income	$	(112)	$	(112)	$	(32)	$	(11)	$	169	$	(98)
Other comprehensive income, net of income taxes:
Net change in fair value of interest rate swaps, net of tax		9		9		-		-		(9)		9
Net change in fair value of available-for-sale securities, net
of tax		-		-		-		-		-		-
Amortization and recognition of unrecognized pension
cost components, net of tax		-		-		-		-		-		-
Other comprehensive income		9		9		-		-		(9)		9
Comprehensive (loss) income		(103)		(103)		(32)		(11)		160		(89)
Less: Comprehensive income attributable to
noncontrolling interests		-		-		-		14		-		14
Comprehensive (loss) income attributable to Community
Health Systems, Inc. stockholders	$	(103)	$	(103)	$	(32)	$	(25)	$	160	$	(103)

Condensed Consolidating Statement of Comprehensive Income
Three Months Ended March 31, 2013
	Parent Guarantor		Issuer		Other Guarantors		Non - Guarantors		Eliminations		Consolidated
		(In millions)
Net income	$	79	$	79	$	90	$	22	$	(174)	$	96
Other comprehensive income, net of income taxes:
Net change in fair value of interest rate swaps, net of tax		16		16		-		-		(16)		16
Net change in fair value of available-for-sale securities, net
of tax		2		2		2		-		(4)		2
Amortization and recognition of unrecognized pension
cost components, net of tax		1		1		1		-		(2)		1
Other comprehensive income		19		19		3		-		(22)		19
Comprehensive income		98		98		93		22		(196)		115
Less: Comprehensive income attributable to
noncontrolling interests		-		-		-		17		-		17
Comprehensive income attributable to Community
Health Systems, Inc. stockholders	$	98	$	98	$	93	$	5	$	(196)	$	98

Schedule of Condensed Consolidating Statement of Cash Flows

Condensed Consolidating Statement of Cash Flows
Three Months Ended March 31, 2014
	Parent				Other		Non -
	Guarantor		Issuer		Guarantors		Guarantors		Eliminations		Consolidated
	(In millions)
Net cash (used in) provided by operating
activities	$	75	$	298	$	60	$	(368)	$	-	$	65
Cash flows from investing activities:
Acquisitions of facilities and other related
equipment		-		-		(2,760)		(14)		-		(2,774)
Purchases of property and equipment		-		-		(143)		(38)		-		(181)
Purchases of available-for-sale securities		-		-		-		(78)		-		(78)
Proceeds from sales of available-for-sale securities		-		-		-		76		-		76
Increase in other investments		-		-		(76)		(23)		-		(99)
Net cash used in investing activities		-		-		(2,979)		(77)		-		(3,056)
Cash flows from financing activities:
Proceeds from exercise of stock options		6		-		-		-		-		6
Repurchase of restricted stock shares for payroll
tax withholding requirements		(11)		-		-		-		-		(11)
Stock buy-back		-		-		-		-		-		-
Deferred financing costs and
other-debt related costs		-		(269)		-		-		-		(269)
Excess tax benefit relating to
stock-based compensation		3		-		-		-		-		3
Redemption of noncontrolling investments in joint
ventures		-		-		-		(5)		-		(5)
Distributions to noncontrolling investors in joint
ventures		-		-		-		(19)		-		(19)
Changes in intercompany balances with
affiliates, net		(73)		(3,417)		3,122		368		-		-
Borrowings under credit agreements		-		7,062		17		-		-		7,079
Issuance of long-term debt		-		4,000		-		-		-		4,000
Proceeds from receivables facility		-		-		-		133		-		133
Repayments of long-term indebtedness		-		(7,674)		(7)		(5)		-		(7,686)
Net cash provided by (used in) financing
activities		(75)		(298)		3,132		472		-		3,231
Net change in cash and cash equivalents		-		-		213		27		-		240
Cash and cash equivalents at beginning of period		-		-		238		135		-		373
Cash and cash equivalents at end of period	$	-	$	-	$	451	$	162	$	-	$	613

Condensed Consolidating Statement of Cash Flows
Three Months Ended March 31, 2013
	Parent				Other		Non -
	Guarantor		Issuer		Guarantors		Guarantors		Eliminations		Consolidated
	(In millions)
Net cash (used in) provided by operating
activities	$	(6)	$	(13)	$	173	$	(97)	$	-	$	57
Cash flows from investing activities:
Acquisitions of facilities and other related
equipment		-		-		(4)		(1)		-		(5)
Purchases of property and equipment		-		-		(95)		(18)		-		(113)
Proceeds from sale of property and equipment		-		-		-		1		-		1
Purchases of available-for-sale securities		-		-		-		-		-		-
Proceeds from sales of available-for-sale securities		-		-		-		-		-		-
Increase in other investments		-		-		(55)		(14)		-		(69)
Net cash used in investing activities		-		-		(154)		(32)		-		(186)
Cash flows from financing activities:
Proceeds from exercise of stock options		72		-		-		-		-		72
Repurchase of restricted stock shares for payroll
tax withholding requirements		(14)		-		-		-		-		(14)
Stock buy-back		(19)		-		-		-		-		(19)
Deferred financing costs and
other-debt related costs		-		-		-		(1)		-		(1)
Excess tax benefit relating to
stock-based compensation		5		-		-		-		-		5
Redemption of noncontrolling investments in joint
ventures		-		-		-		-		-		-
Distributions to noncontrolling investors in joint
ventures		-		-		-		(15)		-		(15)
Changes in intercompany balances with
affiliates, net		(38)		219		(132)		(49)		-		-
Borrowings under credit agreements		-		90		11		-		-		101
Issuance of long-term debt		-		-		-		-		-		-
Proceeds from receivables facility		-		-		-		300		-		300
Repayments of long-term indebtedness		-		(296)		(6)		(101)		-		(403)
Net cash provided by (used in) financing
activities		6		13		(127)		134		-		26
Net change in cash and cash equivalents		-		-		(108)		5		-		(103)
Cash and cash equivalents at beginning of period		-		-		272		116		-		388
Cash and cash equivalents at end of period	$	-	$	-	$	164	$	121	$	-	$	285