8-K

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                       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                                                   May 18, 2000
(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) 344-9551
              (Registrant's telephone number, including area code)

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ITEM 5. OTHER EVENTS

     On May 18, 2000, Columbia/HCA Healthcare Corporation (the "Company")
announced an understanding to settle certain government civil claims.

ITEM 7. EXHIBIT

        Exhibit 20     Copy of press release dated May 18, 2000 relating to
                       announcement of understanding to settle certain
                       government civil claims.


                                   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: May 18, 2000

EX-20

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                                                                      EXHIBIT 20

COLUMBIA/HCA ANNOUNCES UNDERSTANDING TO SETTLE CERTAIN
GOVERNMENT CIVIL CLAIMS

NASHVILLE, Tenn., May 18, 2000-Columbia/HCA Healthcare Corporation (NYSE: COL)
today announced that it has reached an understanding with attorneys of the Civil
Division of the Department of Justice (DOJ) to recommend an agreement to settle,
subject to certain conditions, civil claims actions against the company relating
to DRG (Diagnosis Related Group) coding; outpatient laboratory billing; and home
health issues.

In addition, the company has reached an understanding with the Office of
Inspector General of the Department of Health and Human Services on the
principal terms of a corporate integrity agreement. The corporate integrity
agreement is intended to assure the government of the company's overall Medicare
compliance, and covers DRG coding, laboratory billing and the two civil issues
still to be resolved -- physician relations and cost reports. Execution of the
corporate integrity agreement would result in waiver of the government's
discretionary right to exclude any of the company's operations from
participation in the Medicare program.

The understanding with DOJ attorneys is that the company will compensate the
government $745 million with respect to the issues covered by today's agreement,
with interest accruing immediately at a fixed rate of 6.5 percent. The
settlement is subject to approval by additional officials at DOJ; execution of
the corporate integrity agreement; execution of definitive settlement documents
for the three issues included in the understanding; execution of agreements to
resolve all criminal investigations pending against the company; and court
approval.

If all criminal settlements have not been reached by September 30, 2000, the
date for completion of criminal settlements is automatically extended to
December 31, 2000, unless the government notifies the company by September 15,
2000 that it will not agree to an extension. In the event the government does
not agree to extend the September 30 completion date or the December 31
completion date, the company has the option of proceeding with the settlement on
the other agreed upon terms or terminating the settlement understanding.

The understanding also provides that the company's existing letter of credit
agreement will be reduced from $1 billion to $250 million at the time of the
settlement payment. In addition, the understanding is that any future civil
payments on cost reports or physician relations will reduce the remaining amount
of the letter of credit dollar for dollar.

The understanding covers issues for the following years: DRG coding for calendar
years 1990-1997; outpatient laboratory for calendar years 1989-1997; home health
community education for Medicare cost report years 1994-1997; home health
billing for calendar years 1995-1998; and certain home health management
transactions, including Olsten, for Medicare cost report years 1993-1998.

It is anticipated that the terms of the understanding will result in an
after-tax charge of approximately $498 million, which the company expects to
record in its quarter ending June 30, 2000.

"Since mid 1997, the company has been in discussions and negotiations with the
Department of Justice regarding a number of issues related to its
investigation," said Thomas F. Frist, Jr., M.D., Chairman and Chief Executive
Officer of Columbia/HCA. "We are pleased to have reached an understanding on
these issues and today's announcement signals that a significant step in this
process is complete."

This press release contains forward-looking statements based on management's
current expectations. Numerous risks, uncertainties and other factors including:
(1) the ability to negotiate and execute definitive settlement agreements
relating to the civil and criminal actions, (2) judicial approval of the
settlement agreements in the civil and criminal actions, (3) the review by the
company's external auditors of the accounting treatment of the settlement
amounts and any related adjustments, (4) any examination by the Internal Revenue
Service of the tax treatment of the settlement amounts and any related
adjustments, (5) the impact of the remaining civil issues not resolved by
today's settlement understanding, (6) and other factors detailed from time to
time in the company's filings with the Securities and Exchange Commission may
cause actual results to differ materially from those anticipated in the
forward-looking statements. Many of the factors that will determine the
company's future results are beyond the ability of the company to control or
predict.

Readers should not place undue reliance on forward-looking statements, which
reflect management's views only as of the date hereof. The company undertakes no
obligation to revise or update any forward-looking statements, or to make any
other forward-looking statements, whether as a result of new information, future
events or otherwise.

All references to "company" and "Columbia/HCA" as used throughout this document
refer to Columbia/HCA Healthcare Corporation and its affiliates.