Question-and-Answer Session
Operator
(Operator instructions) Your first question comes from the line of Pakstein Scott [ph] of Jefferies & Co. Please proceed sir.
Pakstein Scott - Jefferies & Co.
Hi, good morning guys.
Boyd Hendrickson
Good morning.
Pakstein Scott - Jefferies & Co.
One macroeconomic question just to start with, is I noticed that your percentage of Medicare days in the upper 9 RUGs went up sequentially and year-over-year and looking at some of your competitors they experienced a little bit of pressure there and quoted some of the economic pressures to delaying some elective procedures. And just I was hoping to get any thoughts on why you think you have been successful there?
Jose Lynch
Yes this is Jose. Most of the success we have in (inaudible) when the upper 9s come the clinical delivery of the patient. So, the 40% growth there just really shows that we are continuing to take those patients that are receiving meds and the patients that are requiring intensity in rehab. So, we saw a jump in overall rehab RUGs of about 1.5% and nice growth in upper 9s. So, I think even though we had some struggle with volume of incoming Medicaid residents we didn’t have any problems with the acuity that we are receiving.
Pakstein Scott - Jefferies & Co.
So, you are not really seeing much of a, it is less economically sensitive and not as elective as one may think.
Jose Lynch
I think if you ask the question on volumes we can speak to some of the slowness in new admission, but in regards to the patients that we are actually receiving in the acuity hospitals due to the intensity and acuity of those patients that we get for those Medicare days have been pretty consistent and continuing to get thicker and thicker.
Pakstein Scott - Jefferies & Co.
Okay and my second question is just on some of the details that Dave gave on the adjustments in the quarter. And I was more wanting to make sure that I get all my numbers right here. There was $2.3 million for the reserve adjustment and then there was $1.8 million on the bad debts, $1 million on the top line for the medical and Medicare Missouri Medicaid rate letters, $350,000 in hurricane cost and then a $2.2 million on the taxes. So in net I am getting about a $900,000 EBITDAR impact. Does that sound about right?
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