Supplemental Condensed Consolidating Financial (Tables)

9 Months Ended

Sep. 30, 2012

Supplemental Condensed Consolidating Financial [Abstract]

Schedule of Condensed Consolidating Statement of Income

Health Management Associates, Inc.
Condensed Consolidating Statement of Income
Three Months Ended September 30, 2012
(in thousands)
	Parent Issuer		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations		Consolidated
Net revenue before the provision for doubtful accounts	$	-	$	842,638	$	821,549	$	-	$	1,664,187
Provision for doubtful accounts		-		(119,816)		(104,262)		-		(224,078)
Net revenue		-		722,822		717,287		-		1,440,109
Salaries and benefits		-		276,557		360,748		-		637,305
Supplies		-		119,713		97,106		-		216,819
Rent expense		-		18,935		22,947		-		41,882
Other operating expenses		-		152,110		179,825		-		331,935
Medicare and Medicaid HCIT incentive payments		-		(15,990)		(8,234)		-		(24,224)
Equity in the earnings of consolidated subsidiaries		(93,292)		-		-		93,292		-
Depreciation and amortization		4,946		44,507		42,157		-		91,610
Interest expense		72,788		1,641		2,385		-		76,814
Other		(362)		(187)		(1,814)		-		(2,363)
		(15,920)		597,286		695,120		93,292		1,369,778
Income from continuing operations before income taxes		15,920		125,536		22,167		(93,292)		70,331
Income tax (expense) benefit		25,424		(41,250)		(5,087)		-		(20,913)
Income from continuing operations		41,344		84,286		17,080		(93,292)		49,418
Income (loss) from discontinued operations, including
gains/losses on disposals, net of income taxes		-		-		(1,389)		-		(1,389)
Consolidated net income		41,344		84,286		15,691		(93,292)		48,029
Net income attributable to noncontrolling interests		-		-		(6,685)		-		(6,685)
Net income attributable to Health Management
Associates, Inc.	$	41,344	$	84,286	$	9,006	$	(93,292)	$	41,344

Health Management Associates, Inc.
Condensed Consolidating Statement of Income
Three Months Ended September 30, 2011
(in thousands)
	Parent Issuer		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations		Consolidated
Net revenue before the provision for doubtful accounts	$	-	$	800,011	$	598,484	$	-	$	1,398,495
Provision for doubtful accounts		-		(103,178)		(75,695)		-		(178,873)
Net revenue		-		696,833		522,789		-		1,219,622
Salaries and benefits		-		276,691		273,166		-		549,857
Supplies		-		114,368		65,625		-		179,993
Rent expense		-		19,447		18,670		-		38,117
Other operating expenses		-		142,853		124,287		-		267,140
Medicare and Medicaid HCIT incentive payments		-		-		(1,749)		-		(1,749)
Equity in the earnings of consolidated subsidiaries		(76,186)		-		-		76,186		-
Depreciation and amortization		2,013		39,441		24,151		-		65,605
Interest expense		47,630		1,107		1,281		-		50,018
Other		(471)		268		(1,247)		-		(1,450)
		(27,014)		594,175		504,184		76,186		1,147,531
Income from continuing operations before income taxes		27,014		102,658		18,605		(76,186)		72,091
Income tax (expense) benefit		16,714		(34,859)		(4,242)		-		(22,387)
Income from continuing operations		43,728		67,799		14,363		(76,186)		49,704
Income (loss) from discontinued operations, including
gains/losses on disposals, net of income taxes		-		-		255		-		255
Consolidated net income		43,728		67,799		14,618		(76,186)		49,959
Net income attributable to noncontrolling interests		-		(107)		(6,124)		-		(6,231)
Net income attributable to Health Management
Associates, Inc.	$	43,728	$	67,692	$	8,494	$	(76,186)	$	43,728

Health Management Associates, Inc.
Condensed Consolidating Statement of Income
Nine Months Ended September 30, 2012
(in thousands)
	Parent Issuer		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations		Consolidated
Net revenue before the provision for doubtful accounts	$	-	$	2,574,219	$	2,463,027	$	-	$	5,037,246
Provision for doubtful accounts		-		(345,117)		(294,785)		-		(639,902)
Net revenue		-		2,229,102		2,168,242		-		4,397,344
Salaries and benefits		-		842,466		1,099,856		-		1,942,322
Supplies		-		377,681		299,735		-		677,416
Rent expense		-		59,069		71,677		-		130,746
Other operating expenses		-		458,307		511,043		-		969,350
Medicare and Medicaid HCIT incentive payments		-		(18,302)		(13,383)		-		(31,685)
Equity in the earnings of consolidated subsidiaries		(267,094)		-		-		267,094		-
Depreciation and amortization		10,623		129,026		116,067		-		255,716
Interest expense		229,237		4,597		6,909		-		240,743
Other		(768)		(378)		(599)		-		(1,745)
		(28,002)		1,852,466		2,091,305		267,094		4,182,863
Income from continuing operations before income taxes		28,002		376,636		76,937		(267,094)		214,481
Income tax (expense) benefit		87,986		(138,550)		(20,367)		-		(70,931)
Income from continuing operations		115,988		238,086		56,570		(267,094)		143,550
Income (loss) from discontinued operations, including
gains/losses on disposals, net of income taxes		-		-		(5,805)		-		(5,805)
Consolidated net income		115,988		238,086		50,765		(267,094)		137,745
Net income attributable to noncontrolling interests		-		(165)		(21,592)		-		(21,757)
Net income attributable to Health Management
Associates, Inc.	$	115,988	$	237,921	$	29,173	$	(267,094)	$	115,988

Health Management Associates, Inc.
Condensed Consolidating Statement of Income
Nine Months Ended September 30, 2011
(in thousands)
	Parent Issuer		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations		Consolidated
Net revenue before the provision for doubtful accounts	$	-	$	2,433,974	$	1,786,703	$	-	$	4,220,677
Provision for doubtful accounts		-		(290,019)		(231,710)		-		(521,729)
Net revenue		-		2,143,955		1,554,993		-		3,698,948
Salaries and benefits		-		846,924		818,169		-		1,665,093
Supplies		-		362,774		197,474		-		560,248
Rent expense		-		56,651		54,087		-		110,738
Other operating expenses		-		418,519		343,596		-		762,115
Medicare and Medicaid HCIT incentive payments		-		-		(1,749)		-		(1,749)
Equity in the earnings of consolidated subsidiaries		(241,819)		-		-		241,819		-
Depreciation and amortization		5,632		118,073		70,729		-		194,434
Interest expense		145,514		2,920		3,654		-		152,088
Other		(985)		1,121		(1,919)		-		(1,783)
		(91,658)		1,806,982		1,484,041		241,819		3,441,184
Income from continuing operations before income taxes		91,658		336,973		70,952		(241,819)		257,764
Income tax (expense) benefit		56,205		(126,005)		(19,378)		-		(89,178)
Income from continuing operations		147,863		210,968		51,574		(241,819)		168,586
Income (loss) from discontinued operations, including
gains/losses on disposals, net of income taxes		-		-		(1,182)		-		(1,182)
Consolidated net income		147,863		210,968		50,392		(241,819)		167,404
Net income attributable to noncontrolling interests		-		(359)		(19,182)		-		(19,541)
Net income attributable to Health Management
Associates, Inc.	$	147,863	$	210,609	$	31,210	$	(241,819)	$	147,863

Schedule Of Condensed Consolidating Statement Of Comprehensive Income

Health Management Associates, Inc.
Condensed Consolidating Statement of Comprehensive Income
Three Months Ended September 30, 2012
(in thousands)
	Parent Issuer		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations		Consolidated
Consolidated net income	$	41,344	$	84,286	$	15,691	$	(93,292)	$	48,029
Components of other comprehensive income (loss)
before income taxes attributable to:
Interest rate swap contract
Reclassification adjustments for amortization
of expense into net income		19,404		-		-		-		19,404
Available-for-sale securities
Unrealized gains (losses), net		(1)		-		4,245		-		4,244
Adjustments for net (gains) losses reclassified
into net income		-		-		(443)		-		(443)
Other comprehensive income (loss) before income taxes		19,403		-		3,802		-		23,205
Income tax (expense) benefit related to items
of other comprehensive income (loss)		(7,531)		-		(1,332)		-		(8,863)
Other comprehensive income (loss), net		11,872		-		2,470		-		14,342
Total consolidated comprehensive income		53,216		84,286		18,161		(93,292)		62,371
Total comprehensive income attributable to
noncontrolling interests		-		-		(6,685)		-		(6,685)
Total comprehensive income attributable to Health
Management Associates, Inc. common stockholders	$	53,216	$	84,286	$	11,476	$	(93,292)	$	55,686

Health Management Associates, Inc. Health Management Associates, Inc.
Condensed Consolidating Statement of Comprehensive Income
Three Months Ended September 30, 2011
(in thousands)
	Parent Issuer		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations		Consolidated
Consolidated net income	$	43,728	$	67,799	$	14,618	$	(76,186)	$	49,959
Components of other comprehensive income (loss)
before income taxes attributable to:
Interest rate swap contract
Changes in fair value		7,323		-		-		-		7,323
Available-for-sale securities
Unrealized gains (losses), net		37		-		(5,522)		-		(5,485)
Adjustments for net (gains) losses reclassified
into net income		-		-		(979)		-		(979)
Other comprehensive income (loss) before income taxes		7,360		-		(6,501)		-		859
Income tax (expense) benefit related to items
of other comprehensive income (loss)		(5,173)		-		2,276		-		(2,897)
Other comprehensive income (loss), net		2,187		-		(4,225)		-		(2,038)
Total consolidated comprehensive income		45,915		67,799		10,393		(76,186)		47,921
Total comprehensive income attributable to
noncontrolling interests		-		(107)		(6,124)		-		(6,231)
Total comprehensive income attributable to Health
Management Associates, Inc. common stockholders	$	45,915	$	67,692	$	4,269	$	(76,186)	$	41,690

Health Management Associates, Inc.
Condensed Consolidating Statement of Comprehensive Income
Nine Months Ended September 30, 2012
(in thousands)
	Parent Issuer		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations		Consolidated
Consolidated net income	$	115,988	$	238,086	$	50,765	$	(267,094)	$	137,745
Components of other comprehensive income (loss)
before income taxes attributable to:
Interest rate swap contract
Reclassification adjustments for amortization
of expense into net income		59,937		-		-		-		59,937
Available-for-sale securities
Unrealized gains (losses), net		66		-		8,762		-		8,828
Adjustments for net (gains) losses reclassified
into net income		-		-		(340)		-		(340)
Other comprehensive income (loss) before income taxes		60,003		-		8,422		-		68,425
Income tax (expense) benefit related to items
of other comprehensive income (loss)		(23,292)		-		(2,948)		-		(26,240)
Other comprehensive income (loss), net		36,711		-		5,474		-		42,185
Total consolidated comprehensive income		152,699		238,086		56,239		(267,094)		179,930
Total comprehensive income attributable to
noncontrolling interests		-		(165)		(21,592)		-		(21,757)
Total comprehensive income attributable to Health
Management Associates, Inc. common stockholders	$	152,699	$	237,921	$	34,647	$	(267,094)	$	158,173

Health Management Associates, Inc.
Condensed Consolidating Statement of Comprehensive Income
Nine Months Ended September 30, 2011
(in thousands)
	Parent Issuer		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations		Consolidated
Consolidated net income	$	147,863	$	210,968	$	50,392	$	(241,819)	$	167,404
Components of other comprehensive income (loss)
before income taxes attributable to:
Interest rate swap contract
Changes in fair value		27,553		-		-		-		27,553
Available-for-sale securities
Unrealized gains (losses), net		-		-		(4,313)		-		(4,313)
Adjustments for net (gains) losses reclassified
into net income		159		-		(1,179)		-		(1,020)
Other comprehensive income (loss) before income taxes		27,712		-		(5,492)		-		22,220
Income tax (expense) benefit related to items
of other comprehensive income (loss)		(9,884)		-		1,921		-		(7,963)
Other comprehensive income (loss), net		17,828		-		(3,571)		-		14,257
Total consolidated comprehensive income		165,691		210,968		46,821		(241,819)		181,661
Total comprehensive income attributable to
noncontrolling interests		-		(359)		(19,182)		-		(19,541)
Total comprehensive income attributable to Health
Management Associates, Inc. common stockholders	$	165,691	$	211,609	$	27,639	$	(241,819)	$	162,120

Schedule Of Condensed Consolidating Balance Sheet

Health Management Associates, Inc.
Condensed Consolidating Balance Sheet
September 30, 2012
(in thousands)
	Parent Issuer		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations		Consolidated
Current assets:
Cash and cash equivalents	$	9,072	$	20,814	$	5,332	$	-	$	35,218
Available-for-sale securities		96,277		-		50,292		-		146,569
Accounts receivable, net		-		507,192		464,912		-		972,104
Supplies, prepaid expenses and other assets		3,723		114,855		100,397		-		218,975
Prepaid and recoverable income taxes		14,626		-		-		-		14,626
Restricted funds		-		-		28,609		-		28,609
Assets of discontinued operations		-		-		8,100		-		8,100
Total current assets		123,698		642,861		657,642		-		1,424,201
Property, plant and equipment, net		87,745		1,848,052		1,479,634		-		3,415,431
Investments in consolidated subsidiaries		1,836,486		-		-		(1,836,486)		-
Restricted funds		-		-		120,161		-		120,161
Goodwill		-		568,182		454,131		-		1,022,313
Deferred charges and other assets		80,799		75,309		168,514		-		324,622
Total assets	$	2,128,728	$	3,134,404	$	2,880,082	$	(1,836,486)	$	6,306,728
Current liabilities:
Accounts payable	$	26,961	$	85,799	$	74,948	$	-	$	187,708
Accrued expenses and other current liabilities		124,978		214,511		273,774		-		613,263
Deferred income taxes		8,986		-		-		-		8,986
Current maturities of long-term debt and
capital lease obligations		68,375		17,369		6,977		-		92,721
Total current liabilities		229,300		317,679		355,699		-		902,678
Deferred income taxes		281,644		-		-		-		281,644
Long-term debt and capital lease obligations,
less current maturities		3,351,364		54,963		70,041		-		3,476,368
Intercompany balances		(2,759,397)		(612,981)		3,372,378		-		-
Other long-term liabilities		86,320		53,740		337,921		-		477,981
Total liabilities		1,189,231		(186,599)		4,136,039		-		5,138,671
Redeemable equity securities		-		-		212,663		-		212,663
Stockholders' equity:
Total Health Management Associates, Inc.
stockholders' equity		939,497		3,321,003		(1,484,517)		(1,836,486)		939,497
Noncontrolling interests		-		-		15,897		-		15,897
Total stockholders' equity		939,497		3,321,003		(1,468,620)		(1,836,486)		955,394
Total liabilities and stockholders' equity	$	2,128,728	$	3,134,404	$	2,880,082	$	(1,836,486)	$	6,306,728

11.Supplemental Condensed Consolidating Financial Statements (continued)

Health Management Associates, Inc.
Condensed Consolidating Balance Sheet
December 31, 2011
(in thousands)
	Parent Issuer		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations		Consolidated
Current assets:
Cash and cash equivalents	$	28,586	$	47,094	$	(11,537)	$	-	$	64,143
Available-for-sale securities		81,654		-		40,623		-		122,277
Accounts receivable, net		-		474,847		428,670		-		903,517
Supplies, prepaid expenses and other assets		4,953		115,193		95,449		-		215,595
Prepaid and recoverable income taxes		61,756		-		-		-		61,756
Restricted funds		-		-		28,289		-		28,289
Assets of discontinued operations		-		-		14,561		-		14,561
Total current assets		176,949		637,134		596,055		-		1,410,138
Property, plant and equipment, net		89,419		1,729,632		1,444,121		-		3,263,172
Investments in consolidated subsidiaries		1,948,185		-		-		(1,948,185)		-
Restricted funds		-		-		96,244		-		96,244
Goodwill		-		568,182		431,198		-		999,380
Deferred charges and other assets		81,265		40,962		113,028		-		235,255
Total assets	$	2,295,818	$	2,975,910	$	2,680,646	$	(1,948,185)	$	6,004,189
Current liabilities:
Accounts payable	$	40,188	$	84,870	$	73,062	$	-	$	198,120
Accrued expenses and other current liabilities		113,262		132,540		223,927		-		469,729
Deferred income taxes		50,466		-		-		-		50,466
Current maturities of long-term debt and
capital lease obligations		68,375		8,941		8,193		-		85,509
Total current liabilities		272,291		226,351		305,182		-		803,824
Deferred income taxes		234,080		-		-		-		234,080
Long-term debt and capital lease obligations,
less current maturities		3,397,948		30,819		60,722		-		3,489,489
Intercompany balances		(2,503,302)		(437,179)		2,940,481		-		-
Other long-term liabilities		125,660		53,997		311,380		-		491,037
Total liabilities		1,526,677		(126,012)		3,617,765		-		5,018,430
Redeemable equity securities		-		2,805		197,838		-		200,643
Stockholders' equity:
Total Health Management Associates, Inc.
stockholders' equity		769,141		3,098,859		(1,150,674)		(1,948,185)		769,141
Noncontrolling interests		-		258		15,717		-		15,975
Total stockholders' equity		769,141		3,099,117		(1,134,957)		(1,948,185)		785,116
Total liabilities and stockholders' equity	$	2,295,818	$	2,975,910	$	2,680,646	$	(1,948,185)	$	6,004,189

Schedule Of Condensed Consolidating Statement Of Cash Flows

11.Supplemental Condensed Consolidating Financial Statements (continued)

Health Management Associates, Inc.
Condensed Consolidating Statement of Cash Flows
Nine Months Ended September 30, 2012
(in thousands)
	Parent Issuer		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Consolidated
Net cash provided by (used in) continuing operating activities	$	(80,829)	$	355,672	$	183,303	$	458,146
Cash flows from investing activities:
Acquisitions of hospitals and other ancillary health care businesses		-		(800)		(70,675)		(71,475)
Additions to property, plant and equipment		(16,705)		(178,183)		(87,536)		(282,424)
Proceeds from sales of assets and insurance recoveries		-		-		1,932		1,932
Proceeds from sales of discontinued operations		-		-		1,392		1,392
Purchases of available-for-sale securities		(1,395,665)		-		(35,883)		(1,431,548)
Proceeds from sales of available-for-sale securities		1,380,985		-		31,595		1,412,580
Increase in restricted funds, net		-		-		(18,723)		(18,723)
Net cash provided by (used in) continuing investing activities		(31,385)		(178,983)		(177,898)		(388,266)
Cash flows from financing activities:
Proceeds from long-term debt borrowings		17,000		-		-		17,000
Principal payments on debt and capital lease obligations		(68,890)		(11,693)		(7,344)		(87,927)
Payments for debt issuance costs		(636)		-		-		(636)
Cash received from noncontrolling shareholders		-		-		3,591		3,591
Cash payments to noncontrolling shareholders		-		(3,325)		(27,490)		(30,815)
Changes in intercompany balances, net		143,782		(187,951)		44,169		-
Equity compensation excess income tax benefits		1,444		-		-		1,444
Net cash provided by (used in) continuing financing activities		92,700		(202,969)		12,926		(97,343)
Net increase (decrease) in cash and cash equivalents
before discontinued operations		(19,514)		(26,280)		18,331		(27,463)
Net cash provided by (used in) discontinued operations		-		-		(1,462)		(1,462)
Net increase (decrease) in cash and cash equivalents		(19,514)		(26,280)		16,869		(28,925)
Cash and cash equivalents at the beginning of the period		28,586		47,094		(11,537)		64,143
Cash and cash equivalents at the end of the period	$	9,072	$	20,814	$	5,332	$	35,218

11.Supplemental Condensed Consolidating Financial Statements (continued)

Health Management Associates, Inc.
Condensed Consolidating Statement of Cash Flows
Nine Months Ended September 30, 2011
(in thousands)
	Parent Issuer		Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Consolidated
Net cash provided by (used in) continuing operating activities	$	(18,972)	$	301,339	$	164,584	$	446,951
Cash flows from investing activities:
Acquisitions of hospitals and other ancillary health care businesses		-		(3,714)		(569,725)		(573,439)
Additions to property, plant and equipment		(24,069)		(127,433)		(51,317)		(202,819)
Proceeds from sales of assets and insurance recoveries		-		1,754		38		1,792
Proceeds from sales of discontinued operations		-		-		4,851		4,851
Purchases of available-for-sale securities		(1,104,087)		-		(49,405)		(1,153,492)
Proceeds from sales of available-for-sale securities		1,128,920		-		44,428		1,173,348
Increase in restricted funds, net		-		-		(28,260)		(28,260)
Net cash provided by (used in) continuing investing activities		764		(129,393)		(649,390)		(778,019)
Cash flows from financing activities:
Proceeds from long-term debt borrowings		-		-		370,700		370,700
Principal payments on debt and capital lease obligations		(21,017)		(6,416)		(6,614)		(34,047)
Payments for debt issuance costs		-		-		(10,625)		(10,625)
Proceeds from exercises of stock options		14,067		-		-		14,067
Cash payments to noncontrolling shareholders		-		(382)		(21,446)		(21,828)
Changes in intercompany balances, net		27,556		(186,822)		159,266		-
Equity compensation excess income tax benefits		2,919		-		-		2,919
Net cash provided by (used in) continuing financing activities		23,525		(193,620)		491,281		321,186
Net increase (decrease) in cash and cash equivalents
before discontinued operations		5,317		(21,674)		6,475		(9,882)
Net cash provided by (used in) discontinued operations		-		-		(3,579)		(3,579)
Net increase (decrease) in cash and cash equivalents		5,317		(21,674)		2,896		(13,461)
Cash and cash equivalents at the beginning of the period		51,734		44,256		5,822		101,812
Cash and cash equivalents at the end of the period	$	57,051	$	22,582	$	8,718	$	88,351