Kindred Healthcare, Inc. (KND)

[ScovilleUnits]

KND Acquires 6 under-Performing Assets from [VTR] Ventas, Inc.

8-K ~ http://xml.10kwizard.com/filing_raw.php?repo=tenk&ipage=6400986

Kindred Healthcare Completes Acquisition of Six under-Performing Assets from Ventas, Inc.

Tuesday , June 30, 2009 17:30ET

LOUISVILLE, Ky., Jun 30, 2009 (BUSINESS WIRE) -- Kindred Healthcare, Inc. (the "Company") (NYSE:KND) today announced that it has completed the previously announced acquisition of the real estate related to six under-performing nursing centers (the "Nursing Centers") previously leased from Ventas, Inc. ("Ventas") (NYSE:VTR) for $55.7 million. In addition, the Company will pay a lease termination fee of $2.3 million. The annual rents for the Nursing Centers were approximately $6 million.

The Nursing Centers, which contain 777 licensed beds, generated pretax losses of approximately $3 million for the year ended December 31, 2008 and approximately $2 million for the three months ended March 31, 2009. The Company expects to account for the operations of the Nursing Centers and the loss on these transactions as discontinued operations when it reports its operating results for the second quarter ended June 30, 2009.

The Company intends to dispose of the Nursing Centers as soon as practicable. The Company expects to generate approximately $15 million to $20 million in proceeds from the sale of the Nursing Centers and the related operations. The Company expects to record a net loss of approximately $27 million to $31 million in the second quarter of 2009 relating to these divestitures.