1139463--12/14/2006--MEDCATH_CORP

related topics
{regulation, government, change}
{regulation, change, law}
{acquisition, growth, future}
{investment, property, distribution}
{personnel, key, retain}
{financial, litigation, operation}
{system, service, information}
{stock, price, operating}
Reductions or changes in reimbursement from government or third-party payors could adversely impact our operating results. If we fail to comply with the extensive laws and government regulations applicable to us, we could suffer penalties or be required to make significant changes to our operations. Companies within the healthcare industry continue to be the subject of federal and state investigations. If laws governing the corporate practice of medicine change, we may be required to restructure some of our relationships. If government laws or regulations change or the enforcement or interpretation of them change, we may be obligated to purchase some or all of the ownership interests of the physicians associated with us. We may have fiduciary duties to our partners that may prevent us from acting solely in our best interests. Material decisions regarding the operations of our facilities require consent of our physician and community hospital partners, and we may be unable as a result to take actions that we believe are in our best interest. We may experience difficulties in executing our growth strategy. Unfavorable or unexpected results at one of our hospitals or in one of our markets could significantly impact our consolidated operating results. Growth of self-pay patients and a deterioration in the collectibility of these accounts could adversely affect our results of operations. Our hospitals and other facilities face competition for patients from other healthcare companies. We depend on our relationships with the physicians who use our facilities. A shortage of qualified nurses could affect our ability to grow and deliver quality, cost-effective care services. We rely heavily on our information systems and if our access to this technology is impaired or interrupted, or if such technology does not perform as warranted by the vendor, our business could be harmed and we may not comply with applicable laws and regulations. Uninsured risks from legal actions related to professional liability could adversely affect our cash flow and operating results.

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