Companies in the News
Air Liquide buys French unit of Gehe AG
Air Liquide SA (Paris, France) said its Air Liquide Sante unit acquired home care company PharmaCom, the French subsidiary of Gehe AG of Germany. This subsidiary, best known for its Orkyn brand products, derives its annual turnover from sales of home care products, including wheelchairs, walking frames, crutches, and respiratory aids. Air Liquide is a developer of and provider of healthcare products and services. The acquisition will enable Air Liquide to double the value of its home healthcare activities.
Beverly fights Labor Department policy
Beverly Enterprises (Fort Smith, AR) said it will ask a federal judge to bar a Labor Department demand that it have access to Beverly’s headquarters so investigators can review employment-related records, reported the Associated Press. The Labor Department said Beverly could be barred from contracting with the federal government if it doesn’t comply with the administrative decision. The department also said that access to the company’s records is critical. Having access to a company’s headquarters is "the only way we can be sure that companies doing business with the federal government are treating all their employees in accordance with the law, Alexis Herman, labor secretary, told the AP. A Beverly spokesman said the Labor Department has not explained why Beverly was chosen for review over other government contractors.
Caretenders announces new development plans
Caretenders (Louisville, KY) last week announced development plans and activities that will more than double its adult day care operations in Kentucky. The company was granted four certificates of need (CON) from the state authorizing it to add new adult day care centers in Elizabethtown, Frankfort, and Owensboro, KY, and the metropolitan Cincinnati area. Fulfillment of these CONs would increase to seven the number of centers the company has in Kentucky.
Caretenders also has acquired the assets of the Hardin County Adult Day Care Center in Elizabethtown, which recently moved into a newly constructed facility. The center has capacity for 49 guests per day. In addition, the company has doubled the capacity of one of its two existing Louisville, KY, centers from 50 to 100 guests per day.
Kelly sees increased sales in 2Q99
Kelly Services (Troy, MI) reported a profit in 2Q99 ended July 4 of $190 million, compared to a 2Q98 profit of $177.7 million. Total sales reached $1.1 billion, a 6.5% increase from 2Q98 sales of $1 billion. The company recorded a net income in 2Q99 of $20.7 million, 58 cents per share, compared to a net income in 2Q98 of $20.6 million, 54 cents per share.
Chairman/President/CEO Terence Adderley said in 2Q99, the company organized Kelly Financial Resources, a professional business that provides financial professionals on a temporary basis to corporations and accounting firms.
Olsten completes annual patient survey
Olsten Health Services (Melville, NY) said last week that children and their families who complete an average of 5.5 hours of in-home asthma self-management training can dramatically improve the quality of their lives, reduce visits to their doctors by 50% and hospital emergency rooms by 34.2%, and reduce healthcare costs by an average of $7,300, according to a study released recently by Olsten. More than 880 children and 460 adults participated in Olsten’s annual patient survey for the in-home Asthma Self-Management Program, the company said.
Upon completing the in-home training with Olsten’s nurses, according to the study, the children with asthma were healthier overall, with only 5% considered severe and 9% hospitalized within three months after the program’s conclusion. The study also showed that adults participating in the training program saved an average of $10,000 annually.
Respironics warns of lower 1Q00 results
Respironics (Pittsburgh) said last week that based on preliminary results, its operating results for 1Q00 ending Sept. 30 might be below published analysts’ estimates due primarily to certain company-specific factors associated with its previously announced restructuring. The company stated that it is not changing its outlook or guidance for the remainder of FY00.
The company estimated the revenues for 1Q00 will be less than the $86.4 million recorded in the comparable quarter last year, perhaps by as much as 5%. Accordingly, the related earnings per share, excluding the impact of previously announced restructuring charges, will likely be less than the 19 cents per share recorded in 1Q99, Respironics said, perhaps by as much as 5 cents per share. The revenue decrease includes the impact of the previously announced change in distribution in Germany, which will not impact company profitability, but will impact sales comparisons for the quarter by $2 million.
On July 6, the company announced its intent to restructure. The reorganization caused disruption during 1Q00, the company said.
Sunrise reaches agreement with Kolorfusion
Sunrise Medical’s (Carlsbad, CA) home health group has reached an agreement of exclusivity with Kolorfusion International (Denver), an innovator in the decoration of three-dimensional products. For the past several months, Sunrise has been using Kolorfusion’s patented process to decorate some of its Quickie custom manual wheelchairs with boldly colored, diverse designs, the company said.