EXHIBIT 99.1

                         ASSISTED LIVING CONCEPTS, INC.

                 REPORTS CONFIRMATION OF PLAN OF REORGANIZATION

               PORTLAND, OREGON, DECEMBER 6, 2001 - Assisted Living Concepts,
Inc. (OTC BB: ALFC.OB), a national provider of assisted living services,
announced today the confirmation of its First Amended Joint Plan of
Reorganization by the United States Bankruptcy Court for the District of
Delaware in Wilmington.

                      On October 1, 2001, Assisted Living Concepts, Inc. (the
"Company") and its wholly-owned subsidiary, Carriage House Assisted Living, Inc.
("Carriage House") (collectively, the "Debtors"), filed voluntary petitions
under Chapter 11 of the U.S. Bankruptcy Code in the United States Bankruptcy
Court for the District of Delaware in Wilmington (the "Court").

                      On December 5, 2001, the Court held a hearing and
confirmed the Debtors First Amended Joint Plan of Reorganization of the Company
and Carriage House Dated as of October 30, 2001 (the "Plan").

                      Pursuant to the terms of the Plan, on the date the Company
emerges from bankruptcy proceedings (which is expected to be January 1, 2002,
the "Effective Date"): (1) the Company's two series of convertible subordinated
debentures (collectively, the "Debentures") and certain other unsecured debt of
the Company will be exchanged for (a) $40.25 million aggregate principal amount
of seven-year secured notes (the "New Senior Secured Notes"), bearing interest
at 10% per annum, payable semi-annually in arrears, (b) $15.25 million aggregate
principal amount of ten-year secured notes (the "New Junior Secured Notes" and
collectively with the New Senior Secured Notes, the "New Notes"), bearing
interest payable in additional New Junior Secured Notes for three years at 8%
per annum and thereafter payable in cash at 12% per annum payable semi-annually
in arrears, and (c) 96% of the new common stock of the reorganized Company; and
(2) existing holders of the Company's common stock will exchange their
pre-Effective Date common stock for 4% of the new common stock of the
reorganized Company. The date of record for existing Debenture and common stock
holders is December 20, 2001. Notwithstanding the above, there is no guarantee
that the Company will succeed in emerging from bankruptcy on January 1, 2002.

                      As previously announced, the Company and Carriage House
entered into a debtor-in-possession line of credit facility with Heller
Healthcare Finance, Inc. ("Heller") in the


approximate principal amount of up to $4.4 million (the "DIP Facility") to
supplement the Company and Carriage House's cash position in order to ensure
that all on-going working capital needs were met. Concurrent with the closing of
the DIP Facility, certain wholly-owned subsidiaries of the Company entered into
an amendment of the existing Heller facility (the "Existing Facility") which the
Company guaranteed, extending the maturity date of the Existing Facility to be
coterminous with the DIP Facility, among other things. Pursuant to the Plan, the
DIP Facility will be refinanced through an amendment of the Existing Facility in
connection with the exit from bankruptcy (the "Exit Facility"). The principal
amount of the Exit Facility will not exceed $44.0 million and will mature 36
months from the date on which the Company exits from bankruptcy. Principal will
be payable monthly in a monthly amount of $50,000 during the first year, $65,000
during the second year and $80,000 during the last year of the Exit Facility
term. Interest will accrue on a floating basis at a rate equal to the 90-Day
LIBOR rate plus 4.5% adjusted monthly (with the rate not to be less than 8%),
and payable monthly in arrears. The Company will remain liable for the entire
amount of the Exit Facility as a guarantor.

                      As previously announced, on October 26, 2001, the
Company's common stock and Debentures were delisted and ceased trading on the
American Stock Exchange. The Company's common stock is currently listed and
traded on the over-the-counter bulletin board and the Company will seek to have
its new common stock quoted there as well. Historically, the bulletin board has
been a less developed market providing lower trading volume than the national
securities exchanges and NASDAQ. However, there is no guarantee that the Company
will succeed in having its new common stock quoted on the bulletin board.

               This press release and statements made by or on behalf of
Assisted Living Concepts relating hereto may be deemed to constitute
forward-looking statements made pursuant to the safe harbor provisions of the
Private Securities Litigation Reform Act of 1995. These forward-looking
statements may be affected by risks and uncertainties, including, but not
limited to, the Company's ability to emerge from bankruptcy and complete the
restructuring in a timely fashion or by January 1, 2002, the Company's ability
to have its new common stock quoted on the over-the-counter bulletin board, and
other risks and uncertainties contained in the Company's filings with the
Securities Exchange Commission. The Company does not undertake any obligation to
publicly release any revisions to any forward-looking statements contained
herein to reflect events and circumstances occurring after the date hereof or to
reflect the occurrence of unanticipated events.

               CONTACT INFORMATION:

               Wm. James Nicol, Chairman, President and Chief Executive Officer
               (503) 252-6233

               Drew Q. Miller, Senior Vice President, Chief Financial Officer
               and Treasurer
               (503) 408-5293