-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, JZ39YUzVAB0CkFl8W3RDrTaCol1y04lZxc6exQghaUMeZO31a8PFY//LZdSr0lWJ DqzphGUCvgNcYn4XYm87cw== 0000950116-96-000434.txt : 19960522 0000950116-96-000434.hdr.sgml : 19960522 ACCESSION NUMBER: 0000950116-96-000434 CONFORMED SUBMISSION TYPE: 8-K/A PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 19951130 ITEM INFORMATION: Financial statements and exhibits FILED AS OF DATE: 19960521 SROS: NONE FILER: COMPANY DATA: COMPANY CONFORMED NAME: GENESIS HEALTH VENTURES INC /PA CENTRAL INDEX KEY: 0000874265 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-SKILLED NURSING CARE FACILITIES [8051] IRS NUMBER: 061132947 STATE OF INCORPORATION: PA FISCAL YEAR END: 0930 FILING VALUES: FORM TYPE: 8-K/A SEC ACT: 1934 Act SEC FILE NUMBER: 001-11666 FILM NUMBER: 96570557 BUSINESS ADDRESS: STREET 1: 148 W STATE ST STE 100 CITY: KENNETT SQUARE STATE: PA ZIP: 19348 BUSINESS PHONE: 6104446350 MAIL ADDRESS: STREET 1: 148 W STATE STREET CITY: KENNETT SQUARE STATE: PA ZIP: 19348 8-K/A 1 SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ---------------------------------- FORM 8-K/A NUMBER 3 CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 ----------------------------------- Date of Report (Date of earliest event reported): November 30, 1995 GENESIS HEALTH VENTURES, INC. ------- ------ --------- ---- (Exact name of Registrant as specified in its charter) Pennsylvania 1-11666 06-1132947 - ------------------------------- ------------------------ ---------------------- (State or other jurisdiction of (Commission File Number) (I.R.S. Employer incorporation or organization) Identification Number) 148 West State Street Kennett Square, Pennsylvania 19348 ---------------------------------- (Address of principal executive offices, including zip code) Registrant's telephone number, including area code: (610) 444-6350 ----- -------- Item 7 is hereby amended as follows: Item 7. Financial Statements and Exhibits. (a) Financial Statements of businesses acquired. * Consolidating Balance Sheet of McKerley Entities as of December 31, 1994. * Consolidating Income Statement of McKerley Entities for the year ended December 31, 1994. * Financial Statements and Other Financial Information (Audited) McKerley Health Care Centers, Inc. Years ended December 31, 1994 and 1993 * Financial Statements and Other Financial Information (Audited) McKerley Health Facilities For the period from March 11, 1994 (date of initial occupancy) to December 31, 1994 * Financial Statements and Other Financial Information (Audited) McKerley Health Care Center-Concord Limited Partnership Years ended December 31, 1994 and 1993 * Financial Statements and Other Financial Information (Reviewed) McKerley Pleasant View, Inc. Years ended December 31, 1994 and 1993 Consolidated Balance Sheet of McKerley Entities as of November 30, 1995 Consolidated Income Statement of McKerley Entities for the eleven months ended November 30, 1995 Consolidating Balance Sheet of McKerley Entities as of November 30, 1995 Consolidating Income Statement of McKerley Entities for the eleven months ended November 30, 1995 Balance Sheet and Income Statement (Unaudited) McKerley Health Care Centers, Inc. Eleven months ended November 30, 1995 Balance Sheet and Income Statement (Unaudited) McKerley Health Facilities Eleven months ended November 30, 1995 Balance Sheet and Income Statement (Unaudited) McKerley Health Care Center-Concord Limited Partnership Eleven months ended November 30, 1995 * Balance Sheet and Income Statement (Unaudited) McKerley Pleasant View, Inc. Eleven months ended November 30, 1995 (b) Pro Forma Financial Information. **Pro Forma Condensed Consolidated Income Statement for the year ended September 30, 1995 and six months ended March 31, 1996 Pro Forma Condensed Consolidated Balance Sheet as of September 30, 1995 (c) Exhibits. Number Title *1. Purchase Agreement, dated August 18, 1995, by and among Genesis Health Ventures, Inc., a Pennsylvania corporation, Accumed, Inc., a New Hampshire corporation, McKerley Health Care Centers, Inc., a New Hampshire corporation, McKerley Health Care Center-Concord, Inc., a New Hampshire corporation, McKerley Health Facilities, a New Hampshire general partnership, McKerley Health Care Center-Concord, L.P., Forrest McKerley, James McKerley, Matthew McKerley and Charles Fanaras. *2. Amendment Number One to Purchase Agreement, dated November 30, 1995. *3. Escrow Agreement, dated November 30, 1995, by and among the Principals, McKerley Health Care Centers, Inc. and Blank, Rome, Comisky & McCauley. *4. Press Release, dated December 5, 1995. *5. Consents of Ernst & Young LLP. - -------------------------- * Previously filed. ** Incorporated by reference to Amendment No. 1 to the Company's Current Report on Form 8K dated April 21, 1996. -2- McKERLEY ENTITIES COMBINED Consolidated Balance Sheet - -------------------------------------------------------------------------------
November 30, November 30, 1995 1995 ------------ ------------ Assets Liabilities and stockholders' equity Current assets: Cash & cash equivalents 1,379,112 Current liabilities: Investments 0 Accounts payable 1,085,822 Accounts receivable, net 4,837,079 Accrued wages and related amounts 2,493,718 Third party settlements receivable 0 Deferred patient revenues 664,313 Inventory 523,537 Other accrued expenses 4,730,106 Due from affiliates 0 State income taxes payable 36,093 Due from stockholder 0 Current portion of long term debt 732,286 Other current assets 647,865 Current portion of subordinated note (0) ----------- ----------- Total current assets 7,387,593 Total current liabilities 9,742,337 Property, plant and equipment 40,742,339 Long term debt less current portion 34,943,389 Less accumulated depreciation 9,192,407 Subordinated note less current portion (0) ----------- Deferred income taxes 62,000 Net PPE 31,549,931 Stockholders' equity Restricted cash in escrow 981,023 Common stock 50,300 Deposits on leaseholds 1,480,000 Additional paid in capital 4,732,331 Due from stockholder 0 Retained earnings (3,145,212) Net deferred costs 1,504,807 ----------- Due from affiliates (0) 1,637,419 ----------- Less treasury stock held 3,481,790 Total stockholders' equity (1,844,371) ----------- Total assets 42,903,356 Total liabilities and stockholders' equity 42,903,356 =========== ===========
McKERLEY ENTITIES COMBINED Consolidated Income Statement - ------------------------------------------------------------------------------- Eleven Months Ended November 30, 1995 --------------------- REVENUE: Private 17,153,503 Medicare 3,283,830 Medicaid 30,202,269 VA 449,350 Pharmacy 0 Homecare 1,246,555 Management Fees 6,457 Other 132,682 --------------------- Total Net Revenues 52,474,647 OPERATING EXPENSES: Nursing 18,171,220 Dietary 4,876,915 Household & property 6,325,734 Ancillary 2,973,544 General & administrative 14,262,216 Other expense 1,389,849 --------------------- Total Operating expenses 47,999,477 EBITDAR 4,475,170 Lease/Rent Expense 2,528,678 EBITDA 1,946,492 Depreciation & Amortization 1,742,375 EBIT 204,117 Net Interest 3,897,007 Pre-tax Income before Management Fee & Related Party Rent Premium (3,692,891) Mgt Fee & Related Party Rent Premium (0) Pre-tax Income (3,692,891) McKERLEY ENTITIES COMBINED Consolidated Balance Sheet - -------------------------------------------------------------------------------
November 30, 1995 --------------------------------------------------------------------------- McKerley McKerley McKerley McKerley Health Care Health HCC- HCC- Centers, Inc. Facilities Concord, Inc. Concord, L.P. ------------- ---------- ------------- ------------- Assets Current assets: Cash & cash equivalents 135,002 797,453 0 446,658 Investments 0 0 Accounts receivable, net 4,837,079 0 0 Third party settlements receivable Inventory 523,537 0 Due from affiliates 0 0 Due from stockholder 0 Other current assets 502,287 122,195 0 23,384 ---------- ---------- ---------- ---------- Total current assets 5,997,904 919,647 0 470,042 Property, plant and equipment 14,950,481 16,180,205 0 9,611,654 Less accumulated depreciation 4,601,126 3,642,002 0 949,279 ---------- ---------- ---------- ---------- Net PPE 10,349,354 12,538,203 0 8,662,374 Restricted cash in escrow 981,023 0 Deposits on leaseholds/Investmnt in LP 1,938,750 188 0 Due from stockholder 0 0 Net deferred costs 967,048 30,682 0 507,077 Due from affiliates 0 2,158,669 679 ---------- ---------- ---------- ---------- Total assets 20,234,080 15,647,201 188 9,640,173 ========== ========== ========== ========== Liabilities and stockholders' equity Current liabilities: Accounts payable 1,085,822 0 0 Accrued wages and related amounts 2,493,718 0 Deferred patient revenues 664,313 Other accrued expenses 3,996,888 665,592 0 67,625 State income taxes payable 36,093 0 Current portion of long term debt 694,579 0 0 37,707 Current portion of subordinated note 0 ---------- ---------- ---------- ---------- Total current liabilities 8,971,413 665,592 0 105,332 Long term debt less current portion 12,390,759 13,560,555 0 8,992,076 SNLCP/Due to Affiliate 2,158,669 679 Deferred income taxes 0 62,000 Due to affiliates 0 0 Stockholders' equity Common stock 50,300 0 Additional paid in capital 4,732,331 0 Retained earnings (4,587,601) 1,359,054 (491) 542,764 ---------- ---------- ---------- ---------- 195,030 1,359,054 (491) 542,764 Less treasury stock held (3,481,790) ---------- ---------- ---------- ---------- Total stockholders' equity (3,286,760) 1,359,054 (491) 542,764 ---------- ---------- ---------- ---------- Total liabilities and stockholders' equity 20,234,080 15,647,201 188 9,640,173 ========== ========== ========== ==========
McKerley Eliminating Entries Consolidated ------------------------------------------------------ ------------ Assets Current assets: Cash & cash equivalents 1,379,112 Investments 0 Accounts receivable, net 4,837,079 Third party settlements receivable 0 Inventory 523,537 Due from affiliates 0 Due from stockholder 0 Other current assets 647,865 ----------- Total current assets 7,387,593 Property, plant and equipment 40,742,339 Less accumulated depreciation 9,192,407 ----------- Net PPE 31,549,931 Restricted cash in escrow 981,023 Deposits on leaseholds/Investmnt in LP (458,938) 1,480,000 Due from stockholder 0 Net deferred costs 1,504,807 Due from affiliates (2,158,66)a (679)a (0) ----------- Total assets 42,903,356 =========== Liabilities and stockholders' equity Current liabilities: Accounts payable 1,085,822 Accrued wages and related amounts 2,493,718 Deferred patient revenues 664,313 Other accrued expenses 4,730,106 State income taxes payable 36,093 Current portion of long term debt 732,286 Current portion of subordinate 0 ----------- Total current liabilities 9,742,337 Long term debt less current portion 34,943,389 SNLCP/Due to Affiliate (2,158,669)a (679)a (0) Deferred income taxes 62,000 Due to affiliates 0 Stockholders' equity Common stock 50,300 Additional paid in capital 4,732,331 Retained earnings (458,938) (3,145,212) ----------- 1,637,419 Less treasury stock held (3,481,790) ----------- Total stockholders' equity (1,844,371) ----------- Total liabilities and stockholders' equity 42,903,356 ===========
a Entry to eliminate Due to/Due from Affiliate Balances b Entry to eliminate Investment in McKerley HCC-Concord, LP McKERLEY ENTITIES COMBINED Consolidated Income Statement - -------------------------------------------------------------------------------
Unaudited Eleven Months Ended November 30, 1995 ------------------------------------------------------------------- McKerley McKerley McKerley McKerley Health Care Health HCC- HCC- Centers, Inc. Facilities Concord, Inc. Concord, L.P. ------------- ---------- ------------- ------------- --------- Total Revenues 52,404,979 2,476,641 0 1,388,000 (38,590)a Costs & Expenses: Nursing services 18,171,220 Special services 4,515,001 0 Dietary 4,876,915 0 Household & property 12,362,774 0 Ancillary Administrative & general 14,177,751 0 Other expense 169,027 11,850 Lease/rent expense Depreciation & amortization 728,955 509,163 0 504,257 Interest 1,649,834 1,497,697 0 788,067 (38,590)a Management fee & related party rent ---------- ---------- --------- ---------- ---------- Total costs & expenses 56,482,450 2,175,887 0 1,304,067 Pre-tax income (4,077,471) 300,754 0 83,826 0
McKerley Consolidated ----------------------------------------------------------------------------- ------------ Total Revenues (1,388,000)b (2,415,849)c 47,466 d 52,474,647 Costs & Expenses: Nursing services 0 d 18,171,220 Special services (4,515,001)d 0 Dietary 4,876,915 Household & property (1,388,000) b 25,759 c (2,415,849)c (2,258,950)d 6,325,734 Ancillary 2,973,544 d 2,973,544 Administrative & general 0 b 97,766 c 29,387 (42,689)d 14,262,215 Other expense (169,027)c 1,377,999 d 1,389,849 Lease/rent expense (11,850)b 11,850 b 2,528,678 d 2,528,678 Depreciation & amortization (504,257)b 504,257 (509,137)c 509,137 c 1,742,375 Interest 788,067 b 788,067 b (1,476,283)c 1,476,283 c 3,897,007 Management fee & related party rent (83,826)b 83,826 b (384,927)c 401,042 c (16,115)d 0 ---------- Total costs & expenses 56,167,536 Pre-tax income 0 (0) 0 (0) (0) (3,692,889)
a Entry to eliminate interest income/expense shareholder/partner notes payable/ receivable MHF/MPV b Entry to reclassify & eliminate MHCC-CLP related party revenue & expenses c Entry to reclassify & eliminate MHF related party revenue & expenses d Entry to reclassify MHCC expenses McKERLEY HEALTH CARE CENTERS, INC. BALANCE SHEET
ASSETS November 30, 1995 LIABILITIES AND STOCKHOLDERS' EQUITY November 30, 1995 ----------------- ----------------- CURRENT ASSETS CURRENT LIABILITIES CASH AND CASH EQUIVALENTS $ 135,001.87 ACCOUNTS PAYABLE $ 1,085,821.67 ACCOUNTS RECEIVABLE, LESS ALLOWANCE FOR ACCRUED SALARIES, WAGES AND RELATED AMOUNTS 2,493,718.01 DOUBTFUL ACCOUNTS of $54,179 IN 1995, RESIDENT DEPOSITS 664,312.65 1994, 1993,1992, AND 1991 4,837,078.59 OTHER ACCRUED EXPENSES 3,996,888.37 DUE FROM AFFILIATES 0.00 DUE TO THIRD PARTY PAYORS 0.00 INVENTORY OF SUPPLIES 523,536.99 INCOME TAXES PAYABLE 36,093.00 RECEIVABLE MEDICARE RECEIVABLE STATE NH/VT DUE FROM STOCKHOLDER-SHORT TERM 0.00 CURRENT PORTION OF LONG TERM DEBT 694,579.32 REFUNDABLE FEDERAL INCOME TAXES 0.00 CURRENT PORTION OF SUBORDINATED PREPAID EXPENSES AND OTHER CURRENT ASSETS 502,286.59 NOTE OBLIGATION 0.00 -------------- ------------- TOTAL CURRENT ASSETS 5,997,904.04 TOTAL CURRENT LIABILITIES 8,971,413.02 PROPERTY, PLANT AND EQUIPMENT LONG TERM DEBT, LESS CURRENT PORTION 12,390,758.53 LAND AND IMPROVEMENTS 2,082,497.86 BUILDING AND IMPROVEMENTS 9,732,007.20 DEFERRED INCOME TAXES 0.00 EQUIPMENT, FURNITURE AND FIXTURES 3,135,975.46 -------------- SUBORDINATED NOTE OBLIGATION 0.00 14,950,480.52 DUE TO AFFILIATES 2,158,668.54 LESS ALLOWANCES FOR DEPRECIATION AND AMORTIZATION 4,601,126.30 STOCKHOLDERS' EQUITY -------------- COMMON STOCK, $10 PAR VALUE, 15,000 SHARES 10,349,354.22 AUTHORIZED, 5,000 SHARES ISSUED 50,300.00 ADDITIONAL PAID-IN CAPITAL 4,732,330.78 RETAINED EARNINGS (4,587,601.21) ------------- OTHER ASSETS 195,029.57 RESTRICTED CASH IN ESCROW 981,023.49 DUE FROM STOCKHOLDER-LONG TERM 0.00 DEPOSITS ON LEASEHOLDS/INVESTMENT IN L.P. 1,938,750.00 LESS COST OF 825 SHARES OF COMMON STOCK DEFERRED COSTS, NET OF AMORTIZATION 967,047.91 HELD IN TREASURY (3,481,790.00) DUE FROM AFFILIATES 0.00 ------------- -------------- (3,286,760.43) 3,886,821.40 ------------- -------------- TOTAL LIABILITIES 20,234,079.66 TOTAL ASSETS 20,234,079.66 ============= ==============
McKERLEY HEALTH CARE CENTERS, INC. STATEMENT OF INCOME AND RETAINED EARNINGS
Eleven Months Year Ended 11/30/95 12/31/94 -------- -------- PATIENT SERVICE REVENUES: ROUTINE SERVICES $ 63,594,722.50 $ 63,582,449.58 SPECIAL SERVICES 5,735,519.86 3,781,138.54 ----------------- ----------------- 69,330,242.36 67,363,588.12 DEDUCTIONS FROM REVENUES 16,994,734.90 16,004,821.70 ----------------- ----------------- NET PATIENT SERVICE REVENUE 52,335,507.46 51,358,766.42 OTHER REVENUES 69,471.34 41,905.42 ----------------- ----------------- NET REVENUES 52,404,978.80 51,400,671.84 COSTS AND EXPENSES: NURSING SERVICES 18,171,220.07 17,801,465.02 SPECIAL SERVICES 4,515,001.17 3,539,984.66 DIETARY 4,876,914.56 4,714,274.10 HOUSEHOLD AND PROPERTY 12,362,773.99 12,180,661.76 ADMINISTRATIVE AND GENERAL 14,177,751.16 10,492,275.93 DEPRECIATION AND AMORTIZATION 728,954.96 639,713.06 INTEREST 1,649,833.81 1,183,794.97 ----------------- ----------------- TOTAL COSTS AND EXPENSES 56,482,449.72 50,552,169.50 ----------------- ----------------- INCOME BEFORE INCOME TAXES (4,077,470.92) 848,502.34 PROVISION FOR INCOME TAXES (88,389.00) 21,551.00 ----------------- ----------------- NET INCOME (LOSS) (3,989,081.92) 826,951.34 ----------------- ----------------- RETAINED EARNINGS AT BEGINNING OF YEAR 6,048,162.65 5,221,211.31 ----------------- ----------------- 1/1/95 MPV, INC. MERGER INTO MHCC, INC (4,378,106.37) NOVEMBER 1995 CLOSING ENTRIES (2,268,575.57) RETAINED EARNINGS AT END OF YEAR (4,587,601.21) 6,048,162.65 ================= =================
McKERLEY HEALTH FACILITIES BALANCE SHEET
November 30, 1995 December 31, 1994 ----------------- ----------------- ASSETS PROPERTY, PLANT AND EQUIPMENT LAND $ 1,337,871.08 $ 1,395,037.90 BUILDINGS AND IMPROVEMENTS 12,613,783.98 12,037,315.27 EQUIPMENT 2,228,549.49 2,107,243.09 ----------------- ----------------- 16,180,204.55 15,539,596.26 LESS ACCUMULATED DEPRECIATION 3,642,001.64 3,426,595.72 ----------------- ----------------- 12,538,202.91 12,113,000.54 OTHER ASSETS CASH & INVESTMENTS 797,452.55 576,352.55 DUE FROM AFFILIATES 2,158,668.54 1,824,814.49 NOTES RECEIVABLE FROM PARTNERS 0.00 807,251.67 OTHER NOTES RECEIVABLE 120,000.00 120,000.00 DEFERRED CHARGES, NET OF ACCUMULATED AMORTIZATION 30,682.38 38,543.73 INVESTMENTS, AT COST, WHICH APPROXIMATES MARKET VALUE 0.00 75,000.00 OTHER 1,093.71 222,751.05 STATE INCOME TAX RECEIVABLE 1,101.00 0.00 3,108,998.18 3,664,713.49 ----------------- ----------------- 15,647,201.09 15,777,714.03 ================= ================= LIABILITIES AND PARTNERS' CAPITAL LIABILITIES NOTE PAYABLE 0.00 0.00 LONG-TERM DEBT 13,560,554.86 13,626,945.88 ACCRUED EXPENSES 665,591.81 117,264.05 DEFERRED STATE INCOME TAXES PAYABLE 62,000.00 62,000.00 ----------------- ----------------- 14,288,146.67 13,806,209.93 PARTNERS' CAPITAL 1,359,054.42 1,971,504.10 ----------------- ----------------- TOTAL LIABILITIES & PARTNER'S CAPITAL 15,647,201.09 15,777,714.03 ================= =================
McKERLEY HEALTH FACILITIES STATEMENTS OF OPERATIONS AND PARTNERS' CAPITAL
Eleven Months Ended Year Ended 11/30/95 12/31/94 ------------- ------------- REVENUES: RENTAL INCOME $2,415,848.53 $2,510,685.15 INTEREST INCOME 56,189.42 61,298.64 OTHER INCOME 4,603.27 20,710.58 ------------- ------------- 2,476,641.22 2,592,694.37 OPERATING EXPENSES: INTEREST 1,497,697.09 1,417,051.67 DEPRECIATION AND AMORTIZATION 509,163.45 670,998.01 OTHER EXPENSES 169,026.68 45,747.23 ------------- ------------- TOTAL OPERATING EXPENSES 2,175,887.22 2,133,796.91 ------------- ------------- INCOME BEFORE INCOME TAXES 300,754.00 458,897.46 PROVISION FOR STATE INCOME TAXES: CURRENT 27,497.00 21,000.00 DEFERRED 0.00 4,000.00 27,497.00 25,000.00 ------------- ------------- NET INCOME 273,257.00 433,897.46 PARTNERS' CAPITAL AT BEGINNING OF YEAR 1,971,504.10 1,648,193.50 DISTRIBUTIONS TO PARTNERS (885,706.68) (110,586.86) ------------- ------------- PARTNERS' CAPITAL AT END OF YEAR 1,359,054.42 1,971,504.10 ============= =============
BALANCE SHEET McKERLEY HEALTH CARE CENTER-CONCORD, LIMITED PARTNERSHIP
Eleven Months Ended Year Ended ASSETS 11/30/95 12/31/94 -------- -------- PROPERTY, PLANT AND EQUIPMENT LAND AND IMPROVEMENTS $ 1,053,519.44 967,339.58 BUILDINGS AND IMPROVEMENTS 7,508,394.61 7,469,329.61 EQUIPMENT 1,049,739.67 1,034,514.32 ---------------- ------------- 9,611,653.72 9,471,183.51 LESS ACCUMULATED DEPRECIATION 949,279.46 461,590.28 ---------------- ------------- 8,662,374.26 9,009,593.23 OTHER ASSETS CASH 446,657.84 172,180.42 DUE FROM AFFILIATES 679.30 174,746.30 NOTES RECEIVABLE 0.00 0.00 OTHER NOTES RECEIVABLE 0.00 0.00 DEFERRED CHARGES, NET OF ACCUMULATED AMORTIZATION 507,077.10 523,644.85 INVESTMENTS, AT COST, WHICH APPROXIMATES MARKET VALUE 0.00 0.00 OTHER 23,384.16 25,711.83 STATE INCOME TAX RECEIVABLE 0.00 0.00 977,798.40 896,283.40 ---------------- ------------- 9,640,172.66 9,905,876.63 ================ ============= LIABILITIES AND PARTNERS' CAPITAL LIABILITIES DUE TO AFFILIATE 0.00 91,679.68 NOTE PAYABLE 0.00 226,183.00 LONG-TERM DEBT 9,029,782.95 9,061,273.28 ACCRUED EXPENSES 67,625.36 67,802.65 DEFERRED STATE INCOME TAXES PAYABLE 0.00 0.00 ---------------- ------------- 9,097,408.31 9,446,938.61 PARTNERS' CAPITAL 542,764.35 458,938.02 ---------------- ------------- 9,640,172.66 9,905,876.63 ================ =============
STATEMENTS OF OPERATIONS AND PARTNERS' CAPITAL McKERLEY HEALTH CARE CENTER-CONCORD, LIMITED PARTNERSHIP
Eleven Months Ended Year Ended 11/30/95 12/31/94 ------------- ----------- REVENUES: RENTAL INCOME $ 1,388,000.00 1,129,746.30 INTEREST INCOME 0.00 0.00 OTHER INCOME 0.00 0.00 -------------- ------------- 1,388,000.00 1,129,746.30 OPERATING EXPENSES: INTEREST & MIP 788,066.74 625,696.13 DEPRECIATION AND AMORTIZATION 504,256.93 456,962.54 OTHER EXPENSES 11,850.00 38,249.61 -------------- ------------- TOTAL OPERATING EXPENSES 1,304,173.67 1,120,908.28 -------------- ------------- INCOME BEFORE INCOME TAXES 83,826.33 8,838.02 PROVISION FOR STATE INCOME TAXES: CURRENT 0.00 0.00 DEFERRED 0.00 0.00 -------------- ------------- 0.00 0.00 -------------- ------------- NET INCOME 83,826.33 8,838.02 PARTNERS' CAPITAL AT BEGINNING OF YEAR 458,938.02 450,100.00 DISTRIBUTIONS TO PARTNERS 0.00 0.00 -------------- ------------- PARTNERS' CAPITAL AT END OF YEAR 542,764.35 458,938.02 ============== =============
Pro Forma Condensed Consolidated Balance Sheet (Unaudited) The following unaudited pro forma condensed consolidated balance sheet includes the historical consolidated condensed balance sheet of the Company at September 30, 1995 and the historical consolidated condensed balance sheet of McKerley at November 30, 1995 and the pro forma adjustments to reflect the McKerley Transaction as if it had occurred on September 30, 1995. The pro forma information should be read in conjunction with the Company's historical combined financial statements.
September 30, 1995 ------------------ Pro Forma Pro Forma Consolidated Genesis McKerley Adjustments Results ------- -------- ----------- ------- Current assets $191,057 $ 7,388 $ 88 (A) $198,533 Property, plant and equipment, net 243,661 31,550 9,265 (C) 284,476 Other assets 165,671 3,965 36,824 (C) 206,460 -------- ------- ------- -------- Total assets $600,389 $42,903 $46,177 $689,469 -------- ------- ------- -------- Current liabilities $ 56,943 $ 9,742 $ 2,905 (A)(B) $ 69,590 Long term debt, excluding current maturities 308,052 34,943 41,428 (A) 384,423 Other liabilities 13,846 62 -- 13,908 Shareholders' equity 221,548 (1,844) 1,844 221,548 -------- ------- ------- -------- Total liabilities and shareholders' equity $600,389 $42,903 $46,177 $689,469 -------- ------- ------- --------
A) The McKerley Transaction was financed from borrowings of $68,000,000 under the Company's bank credit facility which includes the repayment of existing McKerley indebtedness of $27,267,000. The net increase in debt of $40,733,000 is reflected as a pro forma adjustment. The following pro forma adjustment reflects the net impact of the financing of the McKerley Transaction: (In thousands) Current assets $ 88 Current liabilities (695) Long-term debt $41,428 ------- B) Transaction costs which include professional fees, duplicative salary costs and severance and certain costs incurred or to be incurred in order to consummate the transaction have been accrued in the amount of $3,600,000. The following pro forma adjustment was recorded to accrue these costs: (In thousands) Current liabilities $ 3,600 ------- C) Purchase accounting adjustments include the following allocations: (In thousands) Property, plant and equipment $ 9,265 Other assets 1,000 Goodwill $36,824 ------- SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. GENESIS HEALTH VENTURES, INC. By: /s/ George V. Hager, Jr. ------------------------------------------- George V. Hager, Jr., Senior Vice President and Chief Financial Officer Date: May 20, 1996 -----END PRIVACY-ENHANCED MESSAGE-----