MIAMI--(BUSINESS WIRE)--June 16, 2005--Pacer Health Corporation (OTCBB:
PHLH -
News), a Miami-based owner-operator of acute care hospitals, medical treatment centers and psychiatric care facilities, announced today that it has acquired an option to purchase 15 acres of land adjacent to Interstate 20 in Greene County, Georgia. The land will be used to construct a replacement facility for Minnie G. Boswell Memorial Hospital, which Pacer Health has managed and operated since solidifying an agreement to purchase it on June 22, 2004.
An accredited JCAHO (Joint Commission on Accreditation of Health Care Organizations) facility, Minnie G. Boswell is comprised of a 25-bed acute care hospital and 29-bed skilled nursing facility primarily serving the residents of Greensboro, Georgia. Pacer Health is now finalizing the full acquisition of the hospital, pending review by the Attorney General of the State of Georgia.
Minnie G. Boswell Memorial Hospital's current facilities are located in Greensboro and were constructed in 1949. Though Pacer Health has committed substantial funds towards improving the property, the structure itself remains outdated.
Pacer Health has announced plans to build the replacement facility within the next three years on a foundation that is designed for growth, so as Greene County's resident population grows, the hospital will continue to provide for its changing medical needs. The new facility will be closer to the center of the county, adjacent to a major thoroughfare, and only about one-and-a-half miles outside of Greensboro. The new location is within three-and-a-half miles of the existing hospital and is located on the soon-to-be-paved Meadowcrest Road, just east of Highway 44 and facing I-20.
By building a newer facility and moving to a more central location, Pacer Health intends to retain a vast majority of the hospital's traditional patients, 85 percent of whom are Medicare or Medicaid recipients, while attracting many of the county's residents who live in retirement in the vicinity of nearby Lake Oconee.
"Today, we further our commitment to Greene County and its residents by announcing our plans to create a new, state-of-the-art hospital to meet their changing medical needs," said Rainier Gonzalez, chairman and CEO of Pacer Health. "Most importantly, this option agreement and all of our successes in Greene County this past year are the result of the leadership of the Greene County Commission and the Greene County Hospital Authority. Their commitment and genuine desire to improve healthcare in Greene County have been invaluable, not only to our company, but to the people they serve."
Tom Mayers, Greene County Hospital Authority Chairman, added, "I commend Pacer Health for acquiring the option to purchase the property for a new hospital. This demonstrates Pacer's commitment to providing quality healthcare to the citizens of the Greene County area well into the future. The option to purchase the property for a new hospital, within one year of assuming the management of Minnie G. Boswell Hospital, is an outstanding milestone and a proud event for everyone in the area. This is especially true for the employees and medical staff of Minnie G. Boswell, the Hospital Authority Board members, and the County Commissioners, who have all worked tirelessly to keep the hospital open and put it on solid footing to ensure the future of healthcare in Greene County. A new hospital with modern diagnostic and treatment equipment is vital to the long term quality healthcare of our growing area residents and visitors."
Pacer Health specializes in the operation of medical facilities in non-urban areas with smaller populations and fewer healthcare operators. The company plans to expand its business over the next several years, largely through the acquisition of medical facilities including financially distressed facilities that would require a restructure of their operations to ensure financial viability, and the consolidation of these properties under the Pacer Health brand.
Due to a signed confidentiality agreement, additional terms of the option have not been disclosed.
About Pacer Health Corporation
Pacer Health Corporation is an owner-operator of acute care hospitals, medical treatment centers, and psychiatric care facilities, primarily serving the growing senior citizen population and non-urban areas throughout the Southeast. Please visit http://www.pacerhealth.com for more information.
Legal Notice Regarding Forward-Looking Statements: "Forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995 may be included in this news release. These statements relate to future events or our future financial performance. These statements are only predictions and may differ materially from actual future results or events. Pacer Health disclaims any intention or obligation to revise any forward-looking statements whether as a result of new information, future developments or otherwise. There are important risk factors that could cause actual results to differ from those contained in forward-looking statements, including, but not limited to risks associated with changes in general economic and business conditions, actions of our competitors, the extent to which we are able to develop new services and markets for our services, the time and expense involved in such development activities, the level of demand and market acceptance of our services, changes in our business strategies.
Contact: Pacer Health Corporation, Miami Tina Vidal, 305-828-7660 tvidal@pacerhealth.com
