BASIS OF PRESENTATION

9 Months Ended

Sep. 30, 2012

BASIS OF PRESENTATION [Abstract]

BASIS OF PRESENTATION

1. BASIS OF PRESENTATION

Assisted Living Concepts, Inc. and its subsidiaries ("ALC" or the "Company") operated 211 assisted and independent living residences in 20 states in the United States totaling 9,325 units as of September 30, 2012.  ALC's residences average 40 to 60 units and offer a supportive, home-like setting.  Residents may receive assistance with activities of daily living either directly from ALC employees or indirectly through ALC's wholly-owned health care subsidiaries.

ALC was formed as a Nevada corporation in 1994 and operated as an independent company until January 31, 2005, when it was acquired by Extendicare Health Services, Inc. (the "ALC Purchase"), a wholly-owned subsidiary of a predecessor of Extendicare Inc., ("Extendicare").   ALC once again became an independent, publicly traded company listed on the New York Stock Exchange on November 10, 2006 (the "Separation Date"), when ALC Class A and Class B Common Stock was distributed by Extendicare to its stockholders (the "Separation").

Effective May 20, 2011, ALC implemented a two-for-one stock split of its Class A and Class B Common Stock.  All share and per share data in this report have been adjusted to reflect this stock split.

ALC operates in a single business segment with all revenues generated from those properties located within the United States.

The accompanying unaudited condensed consolidated financial statements reflect all adjustments which are, in the opinion of management, necessary for a fair presentation of the results for the three and nine month periods ended September 30, 2012 and 2011 pursuant to the instructions to Form 10-Q and Article 10 of Regulation S-X.  All such adjustments except for the lease termination and settlement expense, the write-off of the operating lease intangible and the asset impairment are of a normal recurring nature.  Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States ("GAAP") have been condensed or omitted pursuant to such rules and regulations.  These financial statements should be read in conjunction with the consolidated financial statements and the notes thereto included in the Company's Annual Report on Form 10-K for the year ended December 31, 2011.  Operating results for interim periods are not necessarily indicative of results that may be expected for the entire year ending December 31, 2012.