NAPLES, Fla., May 17 /PRNewswire-FirstCall/ -- Health Management Associates, Inc. announced today that it has successfully replaced its $450 million unsecured line of credit with a new $600 million unsecured line of credit, effective May 14, 2004. The new $600 million line of credit bears interest at the London Inter-Bank Offer Rate (LIBOR) plus 62.5 basis points and expires on May 14, 2009. This pricing results in a nearly 38 basis point improvement in pricing compared to the previous $450 million line of credit.
“We are very pleased with our new $600 million credit agreement which provides HMA the flexibility and resources needed to continue to grow the company,” said Joseph V. Vumbacco, President and Chief Executive Officer of HMA. “This new credit agreement provides $150 million in additional availability at a lower interest rate, and is in place now, six months prior to the expiration date of the previous line of credit.”
HMA is the premier operator of non-urban general acute care hospitals in communities situated throughout the United States. HMA has generated 15 years of uninterrupted operating earnings growth and operates 52 hospitals in 16 states with 7,562 licensed beds.
Certain statements contained in this release, including, without limitation, statements containing the words “believes,” “anticipates,” “intends,” “expects,” “optimistic,” and words of similar import, constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements may include projections of revenues, income or loss, capital expenditures, capital structure, or other financial items, statements regarding the plans and objectives of management for future operations, statements of future economic performance, statements of the assumptions underlying or relating to any of the foregoing statements, and other statements which are other than statements of historical fact.
Statements made throughout this release are based on current estimates of future events, and HMA has no obligation to update or correct these estimates. Readers are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially as a result of these various factors.
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CONTACT: John C. Merriwether, Vice President of Financial Relations ofHealth Management Associates, Inc., +1-239-598-3104
Web site: http://www.hma-corp.com/