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HEALTHTRUST FY92 SAME HOSPITALS REVENUE RISES 13.6 PERCENT TO $2.25 BILLION; PRO FORMA EPS JUMPS 58.5 PERCENT TO $1.30; OPERATING PERFORMANCE GAINS MASKED BY REPORTED LOSS OF $67.7 MILLION DUE TO $136.4 MILLION OF EXTRAORDINARY CHARGES RELATED TO CAPITAL RESTRUCTURING

HEALTHTRUST FY92 SAME HOSPITALS REVENUE RISES 13.6 PERCENT TO $2.25 BILLION; PRO FORMA EPS JUMPS 58.5 PERCENT TO $1.30; OPERATING PERFORMANCE GAINS MASKED BY REPORTED LOSS OF $67.7 MILLION DUE TO $136.4 MILLION OF EXTRAORDINARY CHARGES RELATED TO CAPITAL RESTRUCTURING
 NASHVILLE, Tenn., Oct. 22 /PRNewswire/ -- HealthTrust, Inc. - The Hospital Company (NYSE: HTI) today reported that the same hospitals net operating revenue for the fiscal year ended August 31, 1992 rose 13.6 percent to $2.25 billion from $1.98 billion and consolidated net operating revenue for the year rose 11.8 percent to $2.27 billion from $2.03 billion. On a reported basis, the net loss was $67.7 million, or $0.88 per share, compared with a loss of $69.7 million, or $1.15 per share, in fiscal 1991. The fiscal 1992 loss included $136.4 million, $1.78 per share, in extraordinary charges related to the early extinguishments of debt and approximately $24.6 million, $0.32 per share, in preferred dividends that will not be a factor in future years due to the capital restructuring program completed during the past twelve months.
 On a pro forma basis(1), net income increased 61.4 percent to $108.3 million from $67.1 million, while earnings per share rose 58.5 percent to $1.30 from $0.82.
 "The pro forma results illustrate the strength of HealthTrust's hospital system and the year-to-year improvements that met our operating performance expectations," according to R. Clayton McWhorter, chairman and chief executive officer. "We have ended this year of change for HealthTrust with a strong balance sheet and we are well positioned for future gains in operating results."
 FOURTH QUARTER RESULTS
 For the fourth quarter, on a reported basis, net operating revenue was $566.4 million vs. $514.1 million. Net income was $13.5 million, or $0.16 per share for fiscal 1992, vs. a net loss of $33.7 million, or $0.55 per share for fiscal 1991. Included in the 1992 results is $8.2 million, or $0.10 per share, in extraordinary charges due to the early retirement of certain bank debt.
 Pro forma net income was $22.0 million, or $0.26 per share, up 233 percent from $6.6 million, or $0.08 per share, in the comparable prior period.
 CAPITAL RESTRUCTURING AND DEBT RETIREMENT
 "The capital restructuring and related debt retirement programs undertaken by HealthTrust during the past year were designed to substantially reduce ongoing non-operating costs by lowering the cost of our debt, eliminating preferred dividends and reducing pension-related expenses. We accomplished these goals. In addition, our actions should increase the company's access to capital markets and, to a certain extent, improve our operating flexibility," said McWhorter.
 Elements of the capital restructuring included: 1) an initial public offering of 40 million shares of common stock (realizing net proceeds of $525.2 million) in December 1991; 2) repurchase, through tender offers, of $655.8 million aggregate principal amount of the company's ESOP Senior Notes, Zero Coupon Senior Subordinated Debentures and 15 1/4 percent Senior Subordinated Debentures; 3) refinancings of bank credit facilities; 4) purchase and retirement of all the company's outstanding preferred stock; and 5) issuance of $500 million of 10.75 percent Subordinated Notes, the proceeds of which were used to reduce indebtedness under the bank credit agreement.
 Primarily as a result of such restructuring, at August 31, 1992, long term debt less cash as a percentage of total capital was 63.8 percent compared with 94.5 percent a year ago.
 HOSPITAL OPERATING PERFORMANCE
 On a same hospitals basis, net operating revenue increased 13.6 percent for the year to $2.25 billion from $1.98 billion in fiscal 1991. The same hospitals operating margin was 20.7 percent for the year compared to 20.8 percent in fiscal 1991.
 For the fourth quarter, the same hospitals net operating revenue rose 12.3 percent and the operating margin was 19.6 percent compared with 16.8 percent in the fourth quarter last year.
 Healthtrust, Inc. - The Hospital Company is one of the largest health care providers in the United States, offering a variety of acute and other health care services for 81 markets in 21 southern and western states.
 (1) Pro forma results have been prepared for both fiscal 1992 and 1991. The results: 1) assume that the recently completed recapitalization plan and all hospital divestitures occurred on September 1, 1990 (the first day of fiscal 1991) and 2) exclude extraordinary charges associated with the early retirement of debt.
 HEALTHTRUST, INC
 FINANCIAL HIGHLIGHTS
 (In thousands except per share and percentage data)
 Statements of Operations
 Three Months Ended Year Ended
 August 31, Percent August 31, Percent
 Net Operating 1992 1991 Change 1992 1991 Change
 Revenue $566,377 $514,104 10.2 $2,265,265 $2,025,748 11.8
 Income (Loss)
 Before
 Extraordinary
 Charges 21,719 (13,678) 258.8 93,242 6,640 1304.2
 Extraordinary
 Charges on
 Early
 Retirements
 of Debt
 (Net of tax
 benefits) 8,233 0 N/A 136,352 0 N/A
 Net Income
 (Loss) (A) 13,486 (13,678) 198.6 (43,110) 6,640 (749.2)
 Net Income
 (Loss) to
 Common
 Stockholders 13,486 (33,705) 140.0 (67,692) (69,702) 3.9
 Average Shares
 and Share
 Equivalents 83,081 60,408 37.5 76,769 60,409 27.1
 Earnings (Loss)
 Per Share:
 Before
 Extraordinary
 Charges 0.26 (0.55) 147.3 0.90 (1.15) 178.3
 Net Income
 (Loss) Per Share 0.16 (0.55) 129.1 (0.88) (1.15) 76.5
 Pro Forma
 Results (B)
 Net Income 22,000 6,600 233.3 108,300 67,100 61.4
 Earnings Per
 Share: 0.26 0.08 225.0 1.30 0.82 58.5
 (A) Before dividends on preferred stock.
 (B) Pro forma results have been prepared under the assumption that
 the Company's 1992 Recapitalization Plan transactions and the
 fiscal 1992 and 1991 divestitures occurred on September 1, 1990.
 Extraordinary charges on debt extinguishments have been excluded.
 Same Hospitals Data
 Net Revenue 564,500 502,600 12.3 2,247,000 1,977,500 13.6
 Operating
 Income 110,500 84,500 30.8 465,600 412,100 13.0
 Operating
 Margin (pct.) 19.6 16.8 20.7 20.8
 Consolidated Balance Sheets
 At August 31,
 1992 1991
 Current Assets $ 584,097 $ 676,916
 Property, Plant and
 Equipment (net) 1,554,158 1,510,162
 Excess of Purchase price
 over Net Assets Acquired 176,676 180,884
 Other Assets 64,772 77,450
 TOTAL ASSETS $ 2,379,703 $ 2,445,412
 Current Liabilities $ 338,772 $ 286,693
 Long Term Debt 1,033,946 1,150,018
 Other Liabilities 476,149 344,812
 Redeemable preferred
 stock 0 575,906
 Stockholders' Equity 530,836 87,983
 TOTAL LIABILITIES AND
 STOCKHOLDERS' EQUITY $ 2,379,703 $ 2,445,412
 HEALTHTRUST, INC.
 RESULTS OF OPERATIONS -- SELECTED OPERATING STATISTICS
 Same Hospitals Operating Data (1)
 Three Months Ended Year Ended
 Aug.31, Aug. 31, Pct. Inc. Aug. 31, Aug. 31, Pct. Inc.
 1992 1991 (Decrease) 1992 1991 (Decrease)
 Number of
 Hospitals 81 81 81 81
 Gross Revenue:
 Inpatient $599.8 $529.6 13.3 pct $2,420.2 $2,094.5 15.6 pct
 Outpatient $269.6 $217.6 23.9 pct $1,012.1 $792.1 27.8 pct
 Net Operating
 Revenue $564.5 $502.6 12.3 pct $2,247.0 $1,977.5 13.6 pct
 Hospital
 Service
 Costs (2) $454.0 $418.1 8.6 pct $1,781.4 $1,565.4 13.8 pct
 Patient
 Days 378,355 390,006 -3.0 pct 1,603,441 1,617,616 -0.9 pct
 Adjusted
 Patient
 Days 549,244 551,049 -0.3 pct 2,273,976 2,229,361 2.0 pct
 Average
 Length of
 Stay (days) 5.40 5.52 5.55 5.64
 Admissions 70,137 70,641 -0.7 pct 288,992 286,854 0.7 pct
 Adjusted
 Admissions 101,730 99,745 2.0 pct 409,844 395,338 3.7 pct
 Occupancy
 Rate 37.9 pct 39.0 pct 40.5 pct 40.6 pct
 Operating
 Margin 19.6 pct 16.8 pct 20.7 pct 20.8 pct
 (1) Excludes the operations of Divested Hospitals.
 (2) Excludes interest income.
 -0- 10/22/92
 /CONTACT: Merilyn H. Herbert, HealthTrust, Inc. 615-298-6261, or Paula Lovell, Lovell Communications, 615-297-7766/
 (HTI) CO: HealthTrust, Inc. ST: Tennessee IN: HEA SU: ERN


JM-DF-SB -- CH001 -- 3254 10/22/92 07:09 EDT
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