RehabCare Group, St. Louis, said its net income fell 3.9% to $4.9 million and revenue was down 2% to $102.4 million in the first quarter. The company blamed Medicare's 75% rule, which reduced the number of facilities that qualified as rehabilitation hospitals and therefore higher Medicare payments. Meanwhile, long-term-care operator Sun Healthcare Group, Irvine, Calif., said its net loss shrank to $1.2 million in the first quarter from a net loss of $10.4 million in the year-ago quarter, as divestitures began to pay off. Revenue rose 1.2% to $207.2 million, reflecting a better patient mix in inpatient services and higher per diem rates from all categories of payers. Sun operated 105 long-term- and post-acute-care facilities in 13 states as of March. -- by Paul Barr
Post-acute chains RehabCare, Sun report mixed results
Send us a letter
Have an opinion about this story? Click here to submit a Letter to the Editor, and we may publish it in print.
Recommended for You