LHC Group and North Mississippi Medical Center - Hamilton Announce Home Health Joint Venture

Wed Apr 1, 2009 7:00am EDT
 
[-] Text [+]
Company Also Announces Hospice Joint Venture with Levi Hospital
LAFAYETTE, La.--(Business Wire)--
LHC Group, Inc. (NASDAQ: LHCG), one of the largest providers of home nursing
services in the United States, announced today that it has entered into a home
health joint venture with North Mississippi Medical Center - Hamilton, an
affiliate of North Mississippi Health Services, to provide home nursing services
in Hamilton, Alabama. 

The primary service area of this joint venture spans six counties in Alabama, a
Certificate of Need (CON) state. The estimated population of the service area is
200,000, with almost 16 percent over the age of 65. Net revenue for the
Hamilton, Alabama, agency during the most recent 12 months was approximately
$900,000. This joint venture is not expected to add materially to LHC Group`s
earnings in 2009. 

North Mississippi Health Services (NMHS) is a diversified regional health care
organization, which serves 22 counties in north Mississippi and northwest
Alabama from its headquarters in Tupelo, Mississippi. The NMHS organization
covers a broad range of acute diagnostic and therapeutic services, offered
through North Mississippi Medical Center in Tupelo; a community hospital system
with locations in Eupora, Iuka, Pontotoc, West Point, Mississippi, and Hamilton,
Alabama; North Mississippi Medical Clinics, a regional network of more than 30
primary and specialty clinics; and nursing homes. 

"North Mississippi Medical Center - Hamilton (NMMC - Hamilton) is excited about
the opportunity to work with LHC Group in providing home health services to
patients in the Marion County area," said Gerald Wages, President of NMMC -
Hamilton. "NMMC - Hamilton is committed to providing high quality health care
services to the residents of its service area. LHC Group has significant
experience in providing home health services, and we are confident that the
combination will help to enhance the availability of home health services for
patients in the area." 

Keith G. Myers, Chief Executive Officer of LHC Group, added, "We are proud to be
partnering with an organization with such an outstanding reputation and
tradition of excellence as North Mississippi Health Services. Dan Wilford, one
of our Directors, used to serve as the Chief Executive Officer of North
Mississippi Medical Center. As a result, we enter this new relationship knowing
we have a strong partner that shares our commitment to quality care and
efficiency. Together, our organizations will provide the residents of northwest
Alabama with the highest quality of home care services." 

LHC Group also announced today that it has entered into a hospice joint venture
with 89-bed Levi Hospital, located in Hot Springs, Arkansas, to provide hospice
services in central Arkansas. LHC Group and Levi Hospital have had a home health
joint venture in place since December 2005. This hospice joint venture is not
expected to add materially to LHC Group`s earnings in 2009. 

"This joint venture with LHC Group to provide hospice services is consistent
with Levi Hospital`s mission and vision statements to collaborate with others to
meet community needs, utilizing the unique strengths each brings to the delivery
of specialized services," said Patrick G. McCabe, Jr., President and Chief
Executive Officer of Levi Hospital. "When Levi Hospice opened in May 1989, it
was one of the first providers of hospice services in Arkansas. And,
approximately three years ago, when we entered into a joint venture relationship
with LHC Group for the provision of home health services, those services were
taken to a new height, growing to become arguably the largest provider of home
health services within the highly competitive Garland County, all with a focus
on quality. It was the success of this original joint venture and the belief
that similar results could be achieved within hospice services that prompted the
Levi Hospital Board of Directors to authorize hospital management to join forces
with LHC Group for the expansion of hospice services." 

Mr. Myers stated, "Our new hospice joint venture with Levi Hospital is a tribute
to the outstanding relationship that LHC Group and Levi Hospital have developed
through our home health joint venture. We intend to work with Levi Hospital to
achieve the same results in hospice that have been obtained in home health. As
we continue to expand upon our joint venture strategy, we hope that potential
joint venture partners will look at Levi Hospital as an example of the results
that can be achieved by partnering with LHC Group." 

About LHC Group, Inc.

LHC Group, Inc. is one of the largest providers of home nursing services in the
United States providing quality cost effective healthcare services to patients
within the comfort and privacy of their home or place of residence. 

Certain matters discussed in this press release constitute forward-looking
statements within the meaning of the Private Securities Litigation Reform Act of
1995.Such forward-looking statements may be identified by words such as
"believe," "expect," "anticipate," "intend," "estimate" or similar
expressions.Forward-looking statements involve a number of risks and
uncertainties and there can be no assurance that any forward-looking statements
will prove to be accurate.Important factors that could cause actual results to
differ materially from those anticipated in the forward-looking statements
include: changes in reimbursement, changes in government regulations, changes in
our relationships with referral sources, increased competition for our services,
increased competition for joint venture and acquisition candidates and changes
in the interpretation of government regulations.LHC Group undertakes no
obligation to update or revise any forward-looking statements.Further
information regarding risks, uncertainties and other factors that could
adversely affect LHC Group or cause actual results to differ materially from
those anticipated in forward-looking statements are included in LHC Group`s Form
10K for the year ended December 31, 2008, filed with the Securities and Exchange
Commission.

LHCG-G 



LHC Group, Inc.
Eric Elliott, 337-233-1307
Vice President of Investor Relations
eric.elliott@lhcgroup.com

Copyright Business Wire 2009

 

Featured Broker sponsored link

Editor's Choice

A selection of our best photos from the past 24 hours.  Slideshow 

Most Popular on Reuters

  • Articles
  • Video