SEC Filing | Community Health Systems, Inc.

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SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 April 25, 2001 Date of Report (date of earliest event reported) COMMUNITY HEALTH SYSTEMS, INC. - -------------------------------------------------------------------------------- (Exact name of Registrant as specified in charter) Delaware 001-15925 13-3893191 - -------------------------------------------------------------------------------- (State or other jurisdiction (Commission File Number) (I.R.S. Employer of incorporation) Identification No.) 155 Franklin Road, Suite 400 Brentwood, Tennessee 37027 (Address of principal executive offices) Registrant's telephone number, including area code: (615) 373-9600

ITEM 5. OTHER EVENTS On April 25, 2001, Community Health Systems, Inc. announced operating results for the quarter ended March 31, 2001. ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS (c) Exhibits 99.1 Press release of Community Health Systems, Inc. dated April 25, 2001 SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this Report to be signed on its behalf by the undersigned thereunto duly authorized. Date: April 25, 2001 COMMUNITY HEALTH SYSTEMS, INC. (Registrant) By: /s/ Wayne T. Smith ---------------------------------------- Wayne T. Smith Chairman of the Board President and Chief Executive Officer (principal executive officer) By: /s/ W. Larry Cash ---------------------------------------- W. Larry Cash Executive Vice President and Chief Financial Officer (principal financial officer) By: /s/ T. Mark Buford ---------------------------------------- T. Mark Buford Vice President and Corporate Controller (principal accounting officer)

Index to Exhibits Filed with the Current Report on Form 8-K Dated April 25, 2001 Exhibit Number Description ------------ ------------------------------- 99.1 Press Release dated April 25, 2001

EXHIBIT 99.1 CYH Announces First Quarter 2001 Results Page 1 April 25, 2001 Investor Contact: W. Larry Cash Executive Vice President and Chief Financial Officer (615) 373-9600 COMMUNITY HEALTH SYSTEMS, INC. ANNOUNCES STRONG FIRST QUARTER 2001 RESULTS WITH NET OPERATING REVENUE UP 29.2% AND EBITDA UP 28.6% ----------------------------------------- BRENTWOOD, Tenn. (April 25, 2001) -- Community Health Systems, Inc. (NYSE: CYH), today announced financial and operating results for the first quarter ended March 31, 2001. Net operating revenues for the first quarter ended March 31, 2001, totaled $398.6 million, a 29.2% increase compared with $308.7 million for the first quarter ended March 31, 2000. EBITDA for the first quarter of 2001 was $77.2 million compared with $60.1 million in the first quarter of 2000, representing a 28.6% increase. Net income was $10.8 million, or $0.12 per share (diluted), on 87.6 million average shares outstanding for the quarter ended March 31, 2001, compared with $0.9 million, or $0.02 per share (diluted), on 55.8 million average shares outstanding for the same period last year. The consolidated financial results for the first quarter ended March 31, 2001, reflect a 23.6% increase in total admissions and a 22.2% increase in adjusted admissions, compared with the first quarter of 2000. On a same store basis, net revenues in the first quarter of 2001 increased 10.6%, admissions increased 6.7%, and adjusted admissions increased 5.5%, compared with the same period last year. The 56.8% increase in the weighted average number of shares (diluted) outstanding for the first quarter ended March 31, 2001, is due principally to the Company's initial public offering in June 2000, a secondary public offering in November 2000 and, to a lesser extent, stock options granted during 2000. "Our strong financial and operating performance in 2000 continued in the first quarter of 2001," commented Wayne T. Smith, Chairman of the Board, President and Chief Executive Officer. "We are particularly pleased with the positive operating trends and the strong level of execution in our hospitals as demonstrated by our same store growth in admissions, revenues, and EBITDA. We are confident about our ability to meet our strategic objectives and provide quality healthcare services in the non-urban communities that we serve." - MORE -

CYH Announces First Quarter 2001 Results Page 2 April 25, 2001 Community Health Systems, Inc., a leading provider of non-urban acute healthcare services, currently owns or operates 52 hospitals across 20 states. These facilities, together with their medical staffs, provide a wide range of inpatient and outpatient acute care services and a variety of specialty services. Community Health Systems, Inc. will hold a conference call to discuss this press release on Thursday, April 26, 2001 at 10:30 a.m. CDT, 11:30 a.m. EDT. Investors will have the opportunity to listen to a live broadcast of the conference call over the Internet through the Company's web site at www.chs.net, or www.streetevents.com. To listen to the live call, please go to the web site at least fifteen minutes early to register, download, and install any necessary audio software. For those who cannot listen to the live broadcast, a replay will be available shortly after the call and continue through May 26, 2001. STATEMENTS CONTAINED IN THIS NEWS RELEASE REGARDING EXPECTED OPERATING RESULTS AND OTHER EVENTS ARE FORWARD-LOOKING STATEMENTS THAT INVOLVE RISK AND UNCERTAINTIES. ACTUAL FUTURE EVENTS OR RESULTS MAY DIFFER MATERIALLY FROM THESE STATEMENTS. READERS ARE REFERRED TO THE DOCUMENTS FILED BY COMMUNITY HEALTH SYSTEMS, INC. WITH THE SECURITIES AND EXCHANGE COMMISSION, INCLUDING THE COMPANY'S REGISTRATION STATEMENT ON FORM S-1 (REGISTRATION STATEMENT NO. 333-47354) AND FORM 10-K FOR THE YEAR ENDED DECEMBER 31, 2000. THESE FILINGS IDENTIFY IMPORTANT RISK FACTORS AND OTHER UNCERTAINTIES THAT COULD CAUSE ACTUAL RESULTS TO DIFFER FROM THOSE CONTAINED IN THE FORWARD LOOKING STATEMENTS. - MORE -

CYH Announces First Quarter 2001 Results Page 3 April 25, 2001 COMMUNITY HEALTH SYSTEMS, INC. FINANCIAL HIGHLIGHTS (UNAUDITED) (IN THOUSANDS, EXCEPT PER SHARE AMOUNTS) THREE MONTHS ENDED MARCH 31, ----------------------- 2001 2000 -------- -------- Net operating revenues $398,645 $308,651 EBITDA $ 77,248 $ 60,081 Net income $ 10,848 $ 921 Net income per share - basic $ 0.13 $ 0.02 Weighted average number of shares outstanding - basic 85,528 54,634 Net income per share - diluted $ 0.12 $ 0.02 Weighted average number of shares outstanding - diluted 87,576 55,838 -MORE-

CYH Announces First Quarter 2001 Results Page 4 April 25, 2001 COMMUNITY HEALTH SYSTEMS, INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) (IN THOUSANDS, EXCEPT PER SHARE AMOUNTS) THREE MONTHS ENDED MARCH 31, 2001 2000 ----------------------- Net operating revenues $398,645 $308,651 -------- -------- Operating expenses: Salaries and benefits 153,734 120,407 Provision for bad debts 36,973 27,955 Supplies 46,759 35,979 Other operating expenses 83,931 64,229 Depreciation and amortization 21,461 16,380 Amortization of goodwill 7,046 6,168 -------- -------- Total expenses 349,904 271,118 -------- -------- Income from operations 48,741 37,533 Interest expense, net 27,553 32,683 -------- -------- Income before income taxes 21,188 4,850 Provision for income taxes 10,340 3,929 -------- -------- Net income $ 10,848 $ 921 ======== ======== Net income per share - basic $ 0.13 $ 0.02 ======== ======== Net income per share - diluted $ 0.12 $ 0.02 ======== ======== Weighted average number of shares outstanding: Basic 85,528 54,634 ======== ======== Diluted 87,576 55,838 ======== ======== -MORE-

CYH Announces First Quarter 2001 Results Page 5 April 25, 2001 COMMUNITY HEALTH SYSTEMS, INC. SELECTED OPERATING DATA (UNAUDITED) ($ IN THOUSANDS) FOR THE THREE MONTHS ENDED MARCH 31, --------------------------------------------------------------------------------- CONSOLIDATED SAME HOSPITALS ------------------------------------- ---------------------------------------- 2001 2000* % Change 2001 2000* % Change ------------ ------------- -------- -------- -------- ---------- Number of hospitals 52 46 46 46 Licensed beds 4,688 4,220 4,186 4,186 Beds in service 3,595 3,281 3,199 3,247 Admissions 42,882 34,704 23.6% 36,837 34,513 6.7% Adjusted admissions 76,137 62,309 22.2% 65,325 61,936 5.5% Patient days 165,743 138,473 19.7% 142,053 137,762 3.1% Average length of stay (days) 3.9 4.0 3.9 4.0 Occupancy rate (beds in service) 51.3% 47.4% 50.2% 47.7% Net operating revenues $398,645 $308,651 29.2% $337,750 $305,274 10.6% Net inpatient revenue as a % of Total net operating revenue 52.5% 52.4% 52.0% 52.8% Net outpatient revenue as a % of Total net operating revenue 46.4% 45.8% 46.9% 46.0% EBITDA as a % of net operating revenue 19.4% 19.5% 19.8% 19.2% - --------- * 2000 includes one more business day in the quarter due to leap year. -MORE-

CYH Announces First Quarter 2001 Results Page 6 April 25, 2001 COMMUNITY HEALTH SYSTEMS, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) ($ IN THOUSANDS) MARCH 31, DECEMBER 31, 2001 2000 ----------- ----------- ASSETS Current assets: Cash and cash equivalents $ 23,216 $ 13,740 Patient accounts receivable, net 313,117 309,826 Other current assets 82,033 85,011 ----------- ----------- TOTAL CURRENT ASSETS 418,366 408,577 ----------- ----------- Property and equipment 874,781 850,201 Less accumulated depreciation and amortization (155,815) (142,120) ----------- ----------- Property and equipment, net 718,966 708,081 ----------- ----------- Goodwill, net 981,596 985,568 ----------- ----------- Other assets, net 103,012 111,611 ----------- ----------- TOTAL ASSETS $ 2,221,940 $ 2,213,837 =========== =========== LIABILITIES AND STOCKHOLDERS' EQUITY CURRENT LIABILITIES: Current maturities of long-term debt $ 17,144 $ 17,433 Accounts payable and accrued liabilities 218,083 223,440 ----------- ----------- TOTAL CURRENT LIABILITIES 235,227 240,873 ----------- ----------- Long-term debt 1,204,610 1,201,590 ----------- ----------- Other long-term liabilities 15,127 15,200 ----------- ----------- Stockholders' equity 766,976 756,174 ----------- ----------- TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 2,221,940 $ 2,213,837 =========== =========== - END -