Public Company Information:
HCA (NYSE: HCA) today reports that its three affiliated hospitals located in the New Orleans market and one affiliated hospital in Gulfport, Mississippi all sustained damage from hurricane Katrina. Two are currently being evacuated and two have remained operational.
The Company can not estimate at this time the physical damage to property or financial impact to its operations as a result of hurricane Katrina or when operations related to the affected facilities will return to some degree of normalcy. HCA is insured for property damage and business interruption with per location deductibles ranging from three to five percent of insured asset values. The Company believes that the effect of the hurricane on the Company's financial position will not be material.
"The personal devastation created by this disaster is far more significant than the Company's property losses experienced in Louisiana and Mississippi," stated Jack O. Bovender, HCA's Chairman and CEO. "Our hospital medical staffs, employees and volunteers have displayed exceptional courage and dedication during this difficult period. The Company's disaster teams and volunteers from other HCA hospitals are working tirelessly to provide support to those hospitals and personnel affected by this horrendous event."
HCA's temporary staffing agency, All About Staffing, has sent nurses to support Garden Park Medical Center in Gulfport, MS and Women's and Children's Hospital in Lafayette, LA. All About Staffing has nurses staged in various cities around the country ready to be sent to HCA hospitals as needed.
In addition, the Company has given $1 million to the HCA Hope Fund, a fund created to help HCA employees in time of crises. The Company will also match employee donations to the fund dollar for dollar.
Hospitals Affected by Hurricane Katrina
Tulane University Hospital and Clinic in New Orleans, LA
362 bed hospital
Tulane University Hospital and Clinic had minor wind damage, but water is still rising in New Orleans and the hospital is being evacuated. Since yesterday, the Company has leased about 20 helicopters that have been re- supplying the hospital with necessary food, supplies, pharmaceuticals and evacuating patients. Some patients were evacuated today via boat by the Louisiana Department of Wildlife and Fisheries. The Company anticipates that all remaining patients will be evacuated by tomorrow. Once all patients are evacuated, approximately 1,000 physicians, employees and family members will also be evacuated.
Lakeside Hospital in Metairie, LA
102 bed hospital
Lakeside suffered water and wind damage. The hospital is currently being evacuated due to the city wide mandatory evacuation. The Company anticipates that all remaining patients will be evacuated by the end of today.
Lakeview Regional Medical Center in Covington, LA
178 bed hospital
Lakeview suffered water and wind damage. The hospital is operational on backup and portable generators, and there is currently no plan to evacuate.
Garden Park Medical Center in Gulfport, MS
130 bed hospital
Garden Park suffered extensive wind and water damage. The hospital is operational on backup and portable generators, and there is currently no plan to evacuate.
The Company's other Louisiana hospitals were not directly impacted although they are receiving referrals from New Orleans area facilities. The New Orleans and Mississippi hospitals primarily impacted by the hurricane comprise approximately 2 percent of the Company's revenues.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
This press release contains forward-looking statements based on current management expectations. Those forward-looking statements include all statements regarding the ongoing operations and evacuations of the Company's Louisiana and Mississippi hospitals, the impact of hurricane Katrina on the Company's financial position and operations, the expected insurance coverage with respect to property damage and business interruption and all statements other than those made solely with respect to historical fact. Numerous risks, uncertainties and other factors may cause actual results to differ materially from those expressed in any forward-looking statements. Many of the factors that will determine the Company's future results are beyond the ability of the Company to control or predict. In light of the significant uncertainties inherent in the forward-looking statements contained herein, readers should not place undue reliance on forward-looking statements, which reflect management's views only as of the date hereof. The Company undertakes no obligation to revise or update any forward-looking statements, or to make any other forward-looking statements, whether as a result of new information, future events or otherwise.
All references to "HCA" and the "Company" contained in this press release refer to HCA and its affiliates. The term "facilities" refers to entities owned or operated by subsidiaries or affiliates of HCA. References herein to "HCA employees" or to "our employees" refer to employees of affiliates of HCA.
"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: Statements in this press release regarding HCA's business which are not historical facts are "forward-looking statements" that involve risks and uncertainties. For a discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see "Risk Factors" in the Company's Annual Report or Form 10-K for the most recently ended fiscal year.
/Web site: http://www.hcahealthcare.com /
Investors, Mark Kimbrough, +1-615-344-2688, or
Media, Jeff Prescott, +1-615-344-5708,
both of HCA /