FRANKLIN, Tenn.--(BUSINESS WIRE)-- Community Health Systems, Inc. (the “Company”) (NYSE: CYH) announced today that it has prevailed completely in the litigation Tenet Healthcare Corporation filed against the Company. United States District Court Judge Barbara M. G. Lynn dismissed with prejudice Tenet Healthcare Corporation vs. Community Health Systems, Inc., Wayne T. Smith and W. Larry Cash, citing Tenet’s lack of standing to bring this action.
Commenting on the ruling, Wayne T. Smith, chairman, president and chief executive officer of Community Health Systems, Inc., said, “We believe Tenet’s Board and management team initiated this litigation for the purpose of distracting shareholders from our bid to buy their company. From the inception of this lawsuit, we have said there was no basis for Tenet to pursue its self-serving litigation. Today’s ruling brings a conclusion to Tenet’s unfounded lawsuit and we are pleased to put it behind us.”
On December 9, 2010, Community Health Systems, Inc. offered to acquire all of the common stock of Tenet Healthcare Corporation for $6.00 per share in cash and stock. Subsequently, the Company increased its per share offer to $7.25 in cash. On May 9, 2011, the offer was withdrawn.
About Community Health Systems, Inc.
Located in the Nashville, Tennessee, suburb of Franklin, Community Health Systems, Inc. is one of the largest publicly-traded hospital companies in the United States and a leading operator of general acute care hospitals in non-urban and mid-size markets throughout the country. Through its subsidiaries, the Company currently owns, leases or operates 134 hospitals in 29 states with an aggregate of approximately 20,000 licensed beds. Its hospitals offer a broad range of inpatient and surgical services, outpatient treatment and skilled nursing care. In addition, through its subsidiary, Quorum Health Resources, LLC, the Company provides management and consulting services to non-affiliated general acute care hospitals located throughout the United States. Shares in Community Health Systems, Inc. are traded on the New York Stock Exchange under the symbol “CYH.”
Statements contained in this press release regarding the proposed transactions and other events are forward-looking statements that involve risk and uncertainties. Actual future events or results may differ materially from these statements. Readers are referred to the documents filed by Community Health Systems, Inc. with the Securities and Exchange Commission, including the Company’s annual report on Form 10-K, current reports on Form 8-K and quarterly reports on Form 10-Q. These filings identify important risk factors and other uncertainties that could cause actual results to differ from those contained in the forward-looking statements. 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.
Community Health Systems, Inc.
W. Larry Cash, 615-465-7000
Executive Vice President and Chief Financial Officer
KEYWORDS: United States North America Tennessee
INDUSTRY KEYWORDS: Health Hospitals Other Health Professional Services Legal General Health