Issuers:
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AMR HoldCo, Inc. and EmCare HoldCo, Inc. (the Companies). | |
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Notes Offered
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$250,000,000 aggregate principal amount of senior subordinated notes due 2015. | |
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Maturity Date
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February 15, 2015. | |
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Interest
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10% per year on the principal amount, payable semi-annually in cash in arrears on February 15 and August 15 of each year, commencing August 15, 2005. | |
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Recent Legal Matter:
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On December 14, 2005, a lawsuit, purporting to be a class action, was commenced against AMR in Spokane, Washington. The complaint alleges that the two identified plaintiffs were billed for advanced life support services rather than basic life support in violation of AMRs contract with the city of Spokane, resulting in total overcharges for three transports of $395. The complaint further alleges a potential group of over 30,000 patients transported since 1998, with possible individual claims of $150 to $250, and seeks treble damages under the state consumer protection act. AMR has not had sufficient time to analyze the allegations in the complaint. However, AMR recently reviewed its billing practices at the request of the Spokane Fire Department, and is conducting a further audit. Although there can be no assurances as to the final outcome, at this time AMR does not believe that any incorrect billings are material in amount. |