8-K: Current report filing
Published on October 25, 2006
The
estimated 3rd quarter information set forth herein is preliminary and remains
subject to review, including the potential impact, if any, of the prior period
restatements announced October 24, 2006. Although the information set forth
herein presents management's current views and estimates based on preliminary
analysis and information currently available, the completion of the review
process could result in further adjustments and refinements to the estimates
set
forth herein. Adjusted EBITDA eliminates the non-cash items such as restricted
stock amortization expense and FIN 46 related items and adds incremental income
from new investments made during the 3rd quarter, if any, assuming a July 1,
2006 start. Annualized EBITDA and Adjusted annualized EBITDA assume the current
quarter results multiplied by four. Below is the reconciliation of EBITDA and
adjusted EBITDA to net income. NOTE: ALL FIGURES SHOWN BELOW ARE ESTIMATED
AND
SUBJECT TO REVIEW AND ADJUSTMENT IN CONNECTION WITH THE RESTATEMENT OF PRIOR
PERIODS.
OMEGA
HEALTHCARE INVESTORS, INC.
EBITDA
RECONCILIATION AND
DEBT
COVERAGE RATIO CALCULATION
Estimated
and unaudited
(In
thousands)
|
Three
Months Ended
|
||||
|
September
30, 2006
|
||||
|
Estimated
Net Income*
|
$ 12,585
|
|||
|
Gain
on assets sold- net
|
(4,086
|
)
|
||
|
Loss
from discontinued operations
|
33
|
|||
|
Depreciation
and amortization
|
8,362
|
|||
|
Interest
|
11,581
|
|||
|
Estimated
EBITDA
|
$
|
28,475
|
||
|
Deduct
FIN 46 non-cash revenue
|
(676
|
)
|
||
|
Add
back restricted stock amortization expense
|
2,991
|
|||
|
Add
back provision for uncollectible mortgages, notes and accounts
receivable
|
179
|
|||
|
Estimated
Adjusted EBITDA
|
$
|
30,970
|
||
|
Add
incremental income from new investments in 3rd
Quarter
|
$
|
1,428
|
||
|
Estimated
Adjusted Proforma EBITDA
|
$
|
32,398
|
||
|
ESTIMATED
DEBT
|
||||
|
Revolving
line of credit
|
$
|
157,500
|
||
|
Unsecured
borrowings
|
485,000
|
|||
|
Tax-Exempt
Bonds
|
2,410
|
|||
|
Other
long-term borrowings
|
39,000
|
|||
|
Estimated
Total debt
|
683,910
|
|||
|
Deduct
FIN 46 long-term borrowings
|
(39,000
|
)
|
||
|
Estimated
Total adjusted debt
|
644,910
|
|||
|
Estimated
Total debt / annualized EBITDA ratio
|
6.00
x
|
|||
|
Estimated
Total debt/ adjusted annualized EBITDA ratio
|
5.52
x
|
|||
|
Estimated
Total adjusted debt / adjusted proforma annualized EBITDA
ratio
|
4.98
x
|
|||
The
ratios above are non-GAAP measures. Estimated Total Debt to Estimated Net Income
for the three months ended September 30, 2006 was 13.6x.
*
Estimated Net Income does not reflect any provision for income taxes. While
the
Company has determined to restate prior periods to record tax reserves, at
this
time the Company has not determined the amount of tax reserves, if any, to
be
recorded in the third quarter of 2006. Accordingly, actual net income would
be
reduced to the extent of tax expense recorded for the third quarter of
2006.