NHI Postpones Decision.Business Editors
MURFREESBORO, Tenn.--(BUSINESS WIRE)--Sept. 12, 2000
National Health Investors, Inc. (NYSE NYSE
See: New York Stock Exchange :NHI NHI
National Health Insurance ) (NYSE:NHIPr) announced that it intends to preserve its status as a Real Estate Investment Trust (REIT REIT
See: Real Estate Investment Trust
See real estate investment trust (REIT). ). NHI has previously alerted its investors that it was negotiating with its bank group - led by Bank of Tokyo-Mitsubishi - to extend a $90 million unsecured revolver due October 10. NHI also previously announced it has $38 million in subordinated debentures subordinated debenture
An unsecured bond with a claim to assets that is subordinate to all existing and future debt. Thus, in the event that the issuer encounters financial difficulties and must be liquidated, all other claims must be satisfied before due in January 2001. The bank group continues to demand an amortization schedule in excess of NHI's cash flow. The Board of Directors today announced that it will delay any decision concerning third quarter dividends to common shareholders pending conclusion of bank group negotiations.
The Company continues to review capitalization alternatives. These include the sale of assets, refinancing, the merger of NHI with another REIT, the sale of additional equity, and the filing of a reorganization petition.
President W. Andrew Adams Andrew Adams may refer to:
The Company anticipates another announcement will be made by October 9, 2000.
NHI is a long-term care long-term care (LTC),
n the provision of medical, social, and personal care services on a recurring or continuing basis to persons with chronic physical or mental disorders. real estate investment trust that specializes in the financing of health care real estate by first mortgage and by purchase and leaseback transactions. The common and preferred stocks Stock shares that have preferential rights to dividends or to amounts distributable on liquidation, or to both, ahead of common shareholders.
Preferred stock is given preference over common stock. Holders of preferred stock receive dividends at a fixed annual rate. of the company trade on the New York Stock Exchange New York Stock Exchange (NYSE)
World's largest marketplace for securities. The exchange began as an informal meeting of 24 men in 1792 on what is now Wall Street in New York City. with the symbols NHI and NHIPr respectively.
Statements in this press release that are not historical facts are forward-looking statements that involve a number of risks and uncertainties. In addition to the factors discussed above, among the other factors that could cause actual results to differ materially are the following: ability to reach agreement with certain creditors to extend maturity on terms the Company believes are reasonable prior to due dates; receipt of sufficient cash flow to repay debt as it becomes due; ability to continue to meet REIT status; general industry distress, including the on-going effect of reimbursement cutbacks; and the description of the risk factors mentioned from time to time in the Company's SEC reports, including, but not limited to the report on the Form 10Q for the quarter ended June 30, 2000. NHI cautions investors that any forward-looking statements made involve risks and uncertainties and are not guarantees of future performance. NHI has no duty to update information in this release. All forward-looking statements represent NHI's judgments as of the date of this release.