8-K

 
                      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                                                 September 9, 1997
(Date of Earliest Event Reported)

                      COLUMBIA/HCA HEALTHCARE CORPORATION
            (Exact name of Registrant as specified in its Charter)


                                   DELAWARE
                           (State of Incorporation)


 001-11239                                                       75-2497104
(Commission                                                   (I.R.S. Employer
File Number)                                                 Identification No.)



One Park Plaza, Nashville, Tennessee                                 37203
(Address of principal executive offices)                          (Zip Code)

                                (615) 327-9551
             (Registrant's telephone number, including area code)



 

ITEM 5. OTHER EVENTS

            On September 9, 1997, Columbia/HCA Healthcare Corporation (the 
"Company" or "Columbia/HCA") announced that the Company anticipates weaker 
than expected financial results in the third quarter ending September 30, 1997.
Management projects reporting revenues to be flat to down slightly from the
third quarter of 1996 and a reduction in earnings per share to $0.20 to $0.25,
compared with $0.46 in last year's third quarter.

ITEM 7. EXHIBIT

        Exhibit 20      Copy of press release dated September 9, 1997 relating
                        to expected third quarter earnings decline.


                                   SIGNATURE

        Pursuant to the requirements of the Securities and Exchange Act of 1934,
the Registrant has duly caused this Report to be signed on its behalf by the 
undersigned hereunto duly authorized.

COLUMBIA/HCA HEALTHCARE CORPORATION

/s/ JOHN M. FRANCK II
- -----------------------------------------
John M. Franck II
Corporate Secretary                        

DATED:  September 12, 1997

EX-20

                                                                      EXHIBIT 20
 

[LOGO OF COLUMBIA/HCA HEALTHCARE CORPORATION APPEARS HERE]

NEWS


                                                 FOR IMMEDIATE RELEASE

INVESTOR RELATIONS CONTACTS:                        MEDIA CONTACT:

Mark Kimbrough     Israel Rollins                     Jeff Prescott
615/344-2688       615/344-2708                       615/344-5708


              COLUMBIA/HCA EXPECTS THIRD QUARTER EARNINGS DECLINE

     Nashville, TN September 9, 1997 -- Columbia/HCA Healthcare Corporation 
(NYSE: COL) today announced that the Company anticipates weaker than expected 
financial results in the third quarter ending September 30, 1997. Management 
projects reporting revenues to be flat to down slightly from the third quarter 
of 1996 and a reduction in earnings per share to $0.20 to $0.25, compared with 
$0.46 in last year's third quarter.

     Although final figures for August are not yet available, the Company 
estimates that same facility admissions declined by approximately 1 percent in 
the month of August. Same facility admissions for July increased by 1.6 percent 
compared to July 1996, and for the first seven months of 1997 increased by 2.3 
percent.

     "Our number one priority of continuing to provide the highest quality 
patient care will not be compromised," said Dr. Thomas F. Frist, Jr., who was 
named Chairman and Chief Executive Officer on July 25, 1997. "With the changes 
already made, and others soon to be announced, we are confident we are laying 
the foundation for a strong future. We must, however, continue to examine the 
Company's cost structure and staffing needs and respond accordingly, if 
admission trends continue to be soft."

     The Company said that during the third quarter it expects to incur costs of
approximately $60 million in connection with activities primarily related to 
severance costs and the ongoing government investigations. Columbia/HCA has 
retained the services of the law firm, Latham & Watkins, and the accounting 
firm, Deloitte & Touche, to assist the Company in working with government 
agencies to resolve outstanding issues. The new management has pledged 
cooperation with government officials on pending investigations, in an effort to
resolve these matters as quickly as possible.



 
September 9, 1997
Page 2

     Columbia/HCA has announced several initiatives to address current issues, 
including a slowing of the Company's acquisition program, elimination of 
Columbia's national branding campaign, and termination of construction projects 
totaling approximately $250 million. An additional $200-$300 million of 
construction projects are currently under review. The Company has also announced
plans to divest its home health operations and three of four Value Health units.

                                      ###

The above statements include forward looking statements based on current 
management expectations. Numerous factors exist which may cause future results 
to differ from these expectations. The information involves risks and 
uncertainties as detailed from time to time in the Company's filing with the 
Securities and Exchange Commission.