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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

FORM 10-K

x  ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934

For the fiscal year ended September 30, 2003

OR

o  TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934

For the transition period from _____________________________ to _____________________________ .

Commission File Number: 333-106612-09

JORDAN VALLEY HOSPITAL, LP

Registrant’s Telephone Number, Including Area Code: (615) 844-2747

Securities Registered Pursuant to Section 12(b) of the Act: None

Securities Registered Pursuant to Section 12(g) of the Act: None

      Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.  YES x  NO  o

      Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K is not contained herein, and will not be contained, to the best of the registrant’s knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K.  x

      Indicate by check mark whether the registrant is an accelerated filer (as defined in Exchange Act Rule 12b-2).  YES  o NO  x

      The Registrant meets the conditions set forth in General Instruction I 1(a) and (b) of Form 10-K (as modified by grants of no-action relief) and is therefore filing this form using the reduced disclosure format specified therein.

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JORDAN VALLEY HOSPITAL, LP

PART I

Item 1. Business.

      Jordan Valley Hospital, LP, also referred to as the Partnership, was formed on February 11, 2003 to own and operate Jordan Valley Hospital in West Jordan, Utah. The hospital is a 50-bed acute care hospital that provides inpatient, outpatient and emergency care services to residents in and around the Salt Lake City, Utah area. The Partnership’s 1% general partner is IASIS Healthcare Holdings, Inc., which is a wholly-owned subsidiary of IASIS Healthcare Corporation, also referred to as IASIS. IASIS is a for-profit hospital management company that owns and operates 14 acute care hospitals in four states. IASIS also owns and operates a behavioral health center in Phoenix, Arizona and has an ownership interest in three ambulatory surgery centers. In addition, IASIS owns and operates a Medicaid managed health plan in Phoenix.

      On April 1, 2003, the Partnership sold 72 redeemable limited partner units in the Partnership in a private placement offering. Prior to this transaction, the hospital was owned and operated by Jordan Valley Hospital, Inc., also referred to as the Predecessor, a wholly-owned subsidiary of IASIS. In connection with this transaction, Jordan Valley Hospital, Inc. changed its name to Jordan Valley Hospital Holdings, Inc. and contributed substantially all of its assets to the Partnership in exchange for 2,652 redeemable limited partner units. Jordan Valley Hospital Holdings, Inc. currently owns a 96.4% interest in the Partnership.

      On June 6, 2003, IASIS issued $100.0 million of 8-1/2% senior subordinated notes due 2009. On August 14, 2003, pursuant to an effective registration statement on Form S-4 filed with the Securities and Exchange Commission, IASIS completed the exchange of all of its outstanding 8-1/2% senior subordinated notes due 2009 for an equivalent principal amount of 8-1/2% senior subordinated notes due 2009 that are registered under the Securities Act of 1933, as amended. The notes are guaranteed by all of IASIS’s material subsidiaries other than Health Choice Arizona, Inc., including the Partnership.

      The Partnership, along with all of IASIS’s material subsidiaries, also guarantees IASIS’s 13% senior subordinated notes due 2009 in the amount of $230.0 million. IASIS issued 13% senior subordinated notes due 2009 on October 13, 1999. On May 25, 2000, IASIS exchanged all of its outstanding 13% senior subordinated notes due 2009 for an equivalent principal amount of 13% senior subordinated notes due 2009 that have been registered under the Securities Act of 1933, as amended.

      In addition, substantially all of the Partnership’s assets are pledged as collateral under IASIS’s bank credit facility.

Item 2. Properties.

      Information regarding the hospital owned and operated by the Partnership can be found in Item 1 of this report under the caption, “Business.”

Item 3. Legal Proceedings.

      The Partnership is involved in litigation and proceedings in the ordinary course of business. The Partnership currently is not a party to any litigation or proceeding that, in management’s opinion, would have a material adverse effect upon its business, financial condition or results of operations.

Item 4. Submission of Matters to a Vote of Security Holders.

      Omitted pursuant to General Instruction I to Form 10-K.

PART II

Item 5. Market for Registrant’s Common Equity and Related Stockholder Matters.

      There is no established public trading market for the Partnership’s equity securities. IASIS, through IASIS Healthcare Holdings, Inc. and Jordan Valley Hospital Holdings, Inc., currently owns a 97.4% interest in the Partnership. The remaining 2.6% is owned by third-party investors.

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Item 6. Selected Financial Data.

      Omitted pursuant to General Instruction I to Form 10-K.

Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations.

      Pursuant to General Instruction I of Form 10-K, the following analysis of the results of operations is presented in lieu of Management’s Discussion and Analysis of Financial Condition and Results of Operations. The following discussion should be read in conjunction with our audited financial statements, the notes to our audited financial statements and the other financial information appearing elsewhere in this report.

Overview

      The Partnership was formed on February 11, 2003 to own and operate Jordan Valley Hospital in West Jordan, Utah. The hospital is a 50-bed acute care hospital that provides inpatient, outpatient and emergency care services to residents in and around the Salt Lake City, Utah area. The Partnership’s 1% general partner is IASIS Healthcare Holdings, Inc., which is a wholly-owned subsidiary of IASIS Healthcare Corporation, also referred to as IASIS. IASIS is a for-profit hospital management company that owns and operates 14 acute care hospitals in four states. IASIS also owns and operates a behavioral health center in Phoenix, Arizona and has an ownership interest in three ambulatory surgery centers. In addition, IASIS owns and operates a Medicaid managed health plan in Phoenix.

      On April 1, 2003, the Partnership sold 72 redeemable limited partner units in the Partnership in a private placement offering. Prior to this transaction, the hospital was owned and operated by the Predecessor. In connection with this transaction, Jordan Valley Hospital, Inc. changed its name to Jordan Valley Hospital Holdings, Inc. and contributed substantially all of its assets to the Partnership in exchange for 2,652 redeemable limited partner units. Jordan Valley Hospital Holdings, Inc. currently owns a 96.4% interest in the Partnership.

      On June 6, 2003, IASIS issued $100.0 million of 8-1/2% senior subordinated notes due 2009. On August 14, 2003, pursuant to an effective registration statement on Form S-4 filed with the Securities and Exchange Commission, IASIS completed the exchange of all of its outstanding 8-1/2% senior subordinated notes due 2009 for an equivalent principal amount of 8-1/2% senior subordinated notes due 2009 that are registered under the Securities Act of 1933, as amended. The notes are guaranteed by all of IASIS’s material subsidiaries other than Health Choice Arizona, Inc., including the Partnership.

      The Partnership, along with all of IASIS’s material subsidiaries, also guarantees IASIS’s 13% senior subordinated notes due 2009 in the amount of $230.0 million. IASIS issued 13% senior subordinated notes due 2009 on October 13, 1999. On May 25, 2000, IASIS exchanged all of its outstanding 13% senior subordinated notes due 2009 for an equivalent principal amount of 13% senior subordinated notes due 2009 that have been registered under the Securities Act of 1933, as amended.

      In addition, substantially all of the Partnership’s assets are pledged as collateral under IASIS’s bank credit facility.

Forward-Looking Statements

      Some of the statements we make in this report are forward-looking within the meaning of the federal securities laws, which are intended to be covered by the safe harbors created thereby. Those forward-looking statements include all statements that are not historical statements of fact and those regarding our intent, belief or expectations. Forward-looking statements involve known and unknown risks and uncertainties that may cause actual results in future periods to differ materially from those anticipated in the forward-looking statements. Those risks and uncertainties include, among others, our ability to negotiate favorable contracts with managed care plans; the highly competitive nature of the healthcare industry; possible changes in Medicare and Medicaid reimbursement levels and other federal or state healthcare reforms; future cost containment initiatives undertaken by purchasers of healthcare services; our ability to attract and retain qualified management and personnel, including physicians and nurses; the effect of existing and future governmental regulations, including the Balanced Budget Act of 1997, the Balanced Budget Refinement Act of 1999 and the Medicare, Medicaid and SCHIP Benefit Improvement and Protection Act of 2000; the impact of possible governmental investigations; our ability to use our information systems effectively; and general economic and business conditions. Although we believe that the assumptions underlying the forward-looking statements contained in this report are reasonable, any of these assumptions could

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prove to be inaccurate and, therefore, there can be no assurance that the forward-looking statements included in this report will prove to be accurate. In light of the significant uncertainties inherent in the forward-looking statements included in this report, you should not regard the inclusion of such information as a representation by us or any other person that our objectives and plans will be achieved. We undertake no obligation to publicly release any revisions to any forward-looking statements contained herein to reflect events and circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events.

Results of Operations

      The following table presents, for the periods indicated, information expressed as a percentage of net revenue. The Partnership’s results of operations for the six-month period ending September 30, 2003 have been combined with the results of operations of the Predecessor for the six-month period ended March 31, 2003, as separate discussions would not be meaningful in terms of comparisons to other periods. Such information has been derived from our audited statements of operations.

Year Ended September 30, 2003 (Combined Partnership and Predecessor) Compared to Year Ended September 30, 2002 (Predecessor)

      Net revenue - Net revenue totaled $53.4 million for the year ended September 30, 2003, compared to $44.3 million in the same period in 2002, an increase of $9.1 million or 20.4%. Net patient revenue per adjusted admission increased 6.4% for the year ended September 30, 2003, compared to the same period in 2002. The increase in net patient revenue per adjusted admission was due primarily to rate increases and increased acuity.

      Admissions increased 5.8% from 4,844 for the year ended September 30, 2002 to 5,128 for the same period in 2003, and adjusted admissions increased 13.8% from 10,746 for the year ended September 30, 2002, to 12,228 for the same period in 2003. The increase in admissions and adjusted admissions was primarily the result of our focus on upgrading medical equipment and technology, as well as recruiting additional physicians.

      Salaries and benefits — Salaries and benefits increased $2.2 million from $15.3 million, or 34.4% of net revenue, for the year ended September 30, 2002 to $17.5 million, or 32.8% of net revenue, for the year ended September 30, 2003. The increase was due primarily to general wage inflation and an increase in employee benefits. The 1.6% decrease in salaries and benefits as a percentage of net revenue during the year ended September 30, 2003 over the prior year resulted from continued staffing efficiencies achieved from leveraging costs through the growth in net revenue.

      Supplies — Supplies expense increased $488,000 from $5.6 million, or 12.7% of net revenue, in the year ended September 30, 2002 to $6.1 million, or 11.5% of net revenue, in the year ended September 30, 2003. Supplies as a percentage of net revenue decreased 1.2% during the year ended September 30, 2003 over the prior year period as a result of improved compliance with IASIS’s group purchasing contract. This contract has resulted in better pricing generally and greater discounts on certain medical supplies.

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      Other operating expenses — Other operating expenses, consisting of medical and clinical fees, other fees and services, repairs and maintenance, insurance, rent expense, physician recruiting costs and other expenses increased $1.5 million from $6.9 million, or 15.5% of net revenue, in the year ended September 30, 2002 to $8.4 million, or 15.7% of net revenue, in the year ended September 30, 2003. The increase in other operating expenses was primarily the result of increases in insurance expense, repairs and maintenance expense, and physician recruiting costs. We expect our other operating expenses to continue to be negatively impacted for the near term by insurance expense increases as a result of continued cost pressures on the professional liability insurance market. As well, we expect physician recruiting costs to continue to rise in the near term primarily as a result of increased recruiting efforts driven by expansion projects to increase capacity at the facility.

      Provision for bad debts — Provision for bad debts increased $1.0 million from $3.4 million in the year ended September 30, 2002 to $4.4 million in the year ended September 30, 2003. As a percentage of net revenue, provision for bad debts increased 0.5% during the year ended September 30, 2003 primarily due to an increase in self-pay revenue as a result of the growth in the number of uninsured patients and an increase in the amount of co-pays and deductibles passed on by employers to employees.

      Depreciation and amortization — Depreciation and amortization expense increased $314,000 from $2.7 million in the year ended September 30, 2002 to $3.0 in the year ended September 30, 2003. The increase in depreciation and amortization was primarily the result of additions to property and equipment during 2002 and 2003.

      Interest, net — Interest expense decreased $1.6 from $5.9 million in the year ended September 30, 2002 to $4.3 million in the year ended September 30, 2003. The decrease in interest expense is due to the reduction in debt associated with a new promissory note entered into with the predecessor company in April 2003, along with a reduction in the interest rate on the promissory note from 13% to 9.3%

      Management fees — Management fees remained unchanged at $1.7 million for each of the years ended September 30, 2002 and 2003. Management fees represent an allocation of IASIS’s corporate overhead costs and are allocated based on the Partnership’s net revenue.

      Net income — Net income was $2.8 million for the year ended September 30, 2002 as compared to $7.9 million for the year ended September 30, 2003.

Item 7A. Quantitative and Qualitative Disclosures About Market Risk.

      Not applicable.

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Item 8. Financial Statements and Supplementary Data.

JORDAN VALLEY HOSPITAL, LP

Index to Financial Statements

CONTENTS

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Report of Independent Auditors

The Partners
Jordan Valley Hospital, LP

We have audited the accompanying balance sheets of Jordan Valley Hospital, LP (the “Partnership”) (a Delaware limited partnership) as of September 30, 2003 and its predecessor, Jordan Valley Hospital, Inc. (the “Predecessor”) (a Delaware corporation) (currently known as Jordan Valley Hospital Holdings, Inc.) as of September 30, 2002, the related statements of operations, changes in partner’s capital, and cash flows of the Partnership for the six-month period ended September 30, 2003, and the related statements of operations, changes in stockholder’s equity and cash flows of the Predecessor for the years ended September 30, 2002 and 2001 and the six-month period ended March 31, 2003. These financial statements are the responsibility of the Partnership’s and the Predecessor’s management. Our responsibility is to express an opinion on these financial statements based on our audits.

We conducted our audits in accordance with auditing standards generally accepted in the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of the Partnership at September 30, 2003 and the Predecessor at September 30, 2002, the results of operations and cash flows of the Partnership for the six-month period ended September 30, 2003 and the results of operations and cash flows of the Predecessor for the six-month period ended March 31, 2003 and the years ended September 30, 2002 and 2001 in conformity with accounting principles generally accepted in the United States.

As discussed in Note 3 to the financial statements, effective October 1, 2001, the Predecessor changed its method of accounting for goodwill and other intangible assets.

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JORDAN VALLEY HOSPITAL, LP

Balance Sheets
(in thousands, except share and unit amounts)

See accompanying notes

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JORDAN VALLEY HOSPITAL, LP

Statements of Operations
(in thousands, except per unit amounts)

See accompanying notes

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JORDAN VALLEY HOSPITAL, LP

Statements of Cash Flows
(in thousands)