American HomePatient expands coverage in Arizona; now has 10 centers in state and 126 in 17 states overall.FRANKLIN, Tenn.--(BUSINESS WIRE)--January 4, 1995--Edward K. Wissing, President and Chief Executive Officer of American HomePatient, Inc. (Nasdaq:AHOM) today announced the acquisition of Medical Solutions, a Phoenix-based infusion company, and the completion of a management agreement with Coronado Health Services health services Managed care The benefits covered under a health contract , Inc., a Tucson-based home medical equipment company. Under the terms of the four-year management agreement with Coronado, American HomePatient will receive 90% of the pre-tax income for managing the day-to-day operations of the Tucson, Yuma and Sierra Vista home care centers. These centers will operate under the name of American HomePatient. The company will acquire Coronado, based on a pre-determined price, at some time between December 31, 1995 and December 31, 1998. Coronado, which was established in 1962, provides comprehensive services for respiratory therapy respiratory therapy Medical profession concerned with assisting the respiratory function of individuals who have severe lung disorders. Practices include suctioning to clear secretions from the airway, use of aerosol mists (sometimes medicated) or gases to ease breathing, and home medical equipment and has annualized annualized Of or relating to a variable that has been mathematically converted to a yearly rate. Inflation and interest rates are generally annualized since it is on this basis that these two variables are ordinarily stated and compared. revenues of approximately $1.8 million. Medical Solutions which opened in Phoenix in 1991, provides a full array of home infusion services. It has annualized revenues of $900,000. American HomePatient now has ten home health care centers in Arizona. Wissing said, "We have now completed our objective of creating a major presence in Arizona. In only two years, we have developed a network of owned and operated centers, strategically located throughout the state. We can now provide services over an extensive geographic area, enabling us to better meet the needs of the state's managed care organizations. In addition, the Medical Solutions acquisition means we will be able to provide a full complement of home care services in Arizona, including home infusion along with respiratory services and home medical equipment. Our growth in Arizona reflects our strategy of regional expansion within the states we operate." American HomePatient is the fourth largest diversified diversified (di·verˑ·s provider of home care services in the country now with 126 home health care centers in 17 states. The company's primary product and service offerings include home respiratory services, home infusion, parenteral parenteral /pa·ren·ter·al/ (pah-ren´ter-al) not through the alimentary canal, but rather by injection through some other route, as subcutaneous, intramuscular, etc. par·en·ter·al adj. 1. and enteral nutrition Enteral nutrition Nourishment given through a tube or stoma directly into the small intestine, thus bypassing the upper digestive tract. Mentioned in: Electrolyte Supplements, Enterostomy, Necrotizing Enterocolitis , and home medical equipment. American HomePatient's common stock is traded in the Nasdaq Stock Market Nasdaq stock market The first electronic stock market listing over 5000 companies. The Nasdaq stock market comprises two separate markets, namely the Nasdaq National Market, which trades large, active securities and the Nasdaq Smallcap Market that trades emerging growth companies. (National Market) under the symbol AHOM. CONTACT: American HomePatient, Inc., Franklin Edward K. Wissing or Kathey Palmer, 615/794-3313 |
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