Genesis Health Ventures announces the restructuring of its relationship with ACTS.KENNETT SQUARE, Pa.--(BUSINESS WIRE)--Feb. 15, 1996--Genesis Health Ventures Inc. (NYSE NYSE See: New York Stock Exchange :GHV GHV Genesis Health Ventures, Inc. GHV Gross Heating Value (relationship between volume and corresponding amount of energy for gas) ) and Adult Communities Total Services Inc. ("ACTS") Thursday announced that they have reached an agreement to restructure their current arrangement involving the management of ACTS' 15 continuing care continuing care a professional convention that a veterinarian who is treating an animal is obliged to continue treating that case unless an arrangement is made with its custodian to transfer the care to another practitioner or to a specialist. retirement communities. Under the revised arrangement, ACTS will assume responsibility for the management and marketing of its operations and Genesis will continue to develop new communities for ACTS for up to a seven year period. Genesis will receive a $2 million fee for the restructured arrangement and at least $1.5 million per year for the first six years of the Development Agreement. Genesis will continue to provide certain ancillary services to ACTS' communities. The current management contract was scheduled to terminate in 1998, and this new contract extends the parties relationship to the year 2002. Genesis believes that the restructured arrangement will not impact its earnings. Genesis Health Ventures Inc. is a recognized innovator in the delivery of geriatric healthcare. The company, founded in 1985, develops and manages healthcare networks designed to provide cost effective, outcomeoriented services in select regional markets in the Eastern United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. . CONTACT: Genesis Health Ventures, Kennett Square George V George V, king of Great Britain and Ireland George V (George Frederick Ernest Albert), 1865–1936, king of Great Britain and Ireland (1910–36), second son and successor of Edward VII. . Hager Jr., 610/444-6350 |
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