Attached files
| file | filename |
|---|---|
| 8-K - FORM 8-K - VANGUARD HEALTH SYSTEMS INC | g25814e8vk.htm |
| EX-99.2 - EX-99.2 - VANGUARD HEALTH SYSTEMS INC | g25814exv99w2.htm |
| EX-99.3 - EX-99.3 - VANGUARD HEALTH SYSTEMS INC | g25814exv99w3.htm |
| EX-99.4 - EX-99.4 - VANGUARD HEALTH SYSTEMS INC | g25814exv99w4.htm |
Exhibit 99.1
Vanguard Health Systems, Inc.
Supplemental Financial Information (unaudited)
Supplemental Financial Information (unaudited)
Reconciliation of Adjusted EBITDA to Net Income (Loss) Attributable to Stockholders for Vanguard
Health Systems, Inc. on a Pro Forma Basis
The following table provides Adjusted EBITDA of Vanguard Health Systems, Inc. on a pro forma
basis giving effect to the acquisitions of The Detroit Medical Center (“DMC”), which was effective
on January 1, 2011, and Westlake Hospital and West Suburban Medical Center and related ancillary
businesses (“Resurrection Facilities”), which was effective on August 1, 2010, for certain
financial periods. The table also includes a reconciliation of Adjusted EBITDA to the most directly
comparable GAAP financial measure of Adjusted EBITDA, net income (loss) attributable to
stockholders, for these same financial periods.
| Resurrection | Pro Forma | |||||||||||||||||||
| Vanguard | DMC | Facilities | Combined | |||||||||||||||||
| Twelve months | Twelve months | Nine months | Acquisition | Twelve months | ||||||||||||||||
| ended | ended | ended | Pro | ended | ||||||||||||||||
| September 30, | September 30, | June 30, | Forma | September 30, | ||||||||||||||||
| 2010 | 2010 | 2010 | Adjustments | 2010 | ||||||||||||||||
| (In millions) | ||||||||||||||||||||
Net income (loss) attributable to stockholders |
$ | (49.5 | ) | $ | 25.9 | $ | (102.0 | ) | $ | 26.9 | $ | (98.7 | ) | |||||||
Interest, net |
123.1 | 29.9 | 3.2 | (32.4 | ) | 123.8 | ||||||||||||||
Income tax expense (benefit) |
(18.3 | ) | — | — | (24.9 | ) | (43.2 | ) | ||||||||||||
Depreciation and amortization |
143.2 | 79.7 | 8.6 | (14.7 | ) | 216.8 | ||||||||||||||
Non-controlling interests |
3.0 | — | — | — | 3.0 | |||||||||||||||
Equity method income |
(1.0 | ) | — | — | — | (1.0 | ) | |||||||||||||
Stock compensation |
3.5 | — | — | — | 3.5 | |||||||||||||||
Loss on disposal of assets |
1.8 | — | — | — | 1.8 | |||||||||||||||
Monitoring and management fees and expenses |
5.2 | — | 23.2 | — | 28.4 | |||||||||||||||
Realized and unrealized losses (gains) on
investments |
— | — | 0.2 | (2.0 | ) | (1.8 | ) | |||||||||||||
Acquisition related expenses |
6.8 | (7.8 | ) | — | 3.5 | 2.5 | ||||||||||||||
Debt extinguishment costs |
73.5 | — | — | — | 73.5 | |||||||||||||||
Impairment losses |
43.1 | 1.3 | 84.6 | — | 129.0 | |||||||||||||||
Pension expense |
— | — | — | 19.6 | 19.6 | |||||||||||||||
Regulatory settlement expense |
— | 30.0 | — | — | 30.0 | |||||||||||||||
Income from discontinued operations, net of taxes |
1.0 | — | — | — | 1.0 | |||||||||||||||
Adjusted EBITDA (1) |
$ | 335.4 | $ | 159.0 | $ | 17.8 | $ | (24.0 | ) | $ | 488.2 | |||||||||
| (1) | We define Adjusted EBITDA as income (loss) attributable to stockholders before interest expense (net of interest income), income taxes, depreciation and amortization, non-controlling interests, equity method income, stock compensation, gain or loss on disposal of assets, monitoring and management fees and expenses, realized and unrealized gains or losses on investments, acquisition related expenses, debt extinguishment costs, impairment losses, pension expense, regulatory settlement expense and discontinued operations, net of taxes. Adjusted EBITDA is not intended as a substitute for net income (loss) attributable to stockholders, operating cash flows or other cash flow statement data determined in accordance with accounting principles generally accepted in the United States (“GAAP”). Adjusted EBITDA, as presented, may not be comparable to similarly titled measures of other companies due to varying methods of calculation. |