American Healthcorp board of directors authorizes 400,000 share stock repurchase.NASHVILLE, Tenn.--(BUSINESS WIRE)--Jan. 4, 1995--American Healthcorp, Inc. (Nasdaq/NM: AMHC AMHC Association of Mental Health Clergy AMHC Aviation Structural Mechanic Hydraulics Chief ) today announced that the Board of Directors has authorized the repurchase of up to 400,000 shares of the Company's common stock. The authorization enables the Company to make the repurchases from time to time in the open market prior to December 26, 1996. American Healthcorp had 8,280,769 shares of common stock outstanding at November 30, 1994. Thomas G. Cigarran, Chairman and Chief Executive Officer, said, "This action by the Board reflects its confidence in American Healthcorp's future prospects and its belief that, at current market prices, the Company's stock is undervalued Undervalued A stock or other security that is trading below its true value. Notes: The difficulty is knowing what the "true" value actually is. Analysts will usually recommend an undervalued stock with a strong buy rating. and its repurchase represents an attractive use of available Company funds. "At November 30, 1994, American Healthcorp had cash and cash equivalents of $11,750,000, stockholders' equity Stockholders' Equity The portion of the balance sheet that includes capital received from investors in exchange for stock (paid-in capital), donated capital, and retained earnings. This is equal to total assets minus liabilities, preferred stock and intangible assets. of $37,630,000, long-term debt Long-Term Debt Loans and financial obligations lasting over one year. Notes: For example debts obligations such as bonds and notes which have maturities greater than one year would be considered long-term debt. and other long-term liabilities Other Long-Term Liabilities A balance sheet item that includes obligations that do not currently require interest payments. Notes: This would include items such as remaining leases, future employee benefits and deferred taxes. of less than 10% of total capitalization and positive cash flows from operations in both DTCA DTCA Direct-To-Consumer Advertising DTCA Dwell-Time Code Acquisition DTCA Defect-Tolerant Computer Architecture and Amsurg. This strong financial position enables American Healthcorp to do the announced stock repurchase without having a material effect on the Company's ability to finance its growth strategies." American Healthcorp, Inc., through its wholly-owned subsidiary, Diabetes Treatment Centers of America, Inc., is the nation's leading provider of specialized services for people with diabetes. Through its majority ownership of AmSurg Corp., the Company also develops, acquires and manages physician practice-based ambulatory surgery centers in partnership with surgical and other group practices. The Company also wholly owns ArthritisCare Centers of America, which operates two comprehensive treatment centers for individuals with arthritis. CONTACT: American Healthcorp Inc., Nashville Henry D. Herr, 615/665-1122 |
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