Regional Health Properties, Inc. · OTC:RHEP
Regional Health Properties — Adcare Health Systems — Investor Presentation (July 2014)
11 slides from Regional Health Properties's investor presentation, Jul 24, 2014
Slide 1: The New AdCare: Maximizing Cash Flow and Shareholder Value
July 24, 2014 NYSE MKT: ADK AdCare Health Systems, Inc. "THE NEW ADCARE" “Maximizing Cash Flow and Shareholder Value” ® EXHIBIT 99.1
Slide 2: Forward-Looking Statements
Maximizing Cash Flow and Shareholder Value NYSE MKT: ADK Forward-Looking Statements Any forward-looking statements made in this presentation are based on management's current expectations, assumptions and beliefs about the Company’s business and the environment in which AdCare operates. These statem
Slide 3: Important Additional Information to be Filed With the SEC
Maximizing Cash Flow and Shareholder Value NYSE MKT: ADK Important Additional Information to be Filed With the Securities & Exchange Commission This presentation may be deemed to be solicitation material in respect of the proposed shareholder vote to be held at the Company’s special meeting of share
Slide 4: Why We are Here
Maximizing Cash Flow and Shareholder Value NYSE MKT: ADK 4 Why We are Here Introduce new business model that maximizes CASH FLOW and SHAREHOLDER VALUE
Slide 5: New Business Model: Cash Flow
Maximizing Cash Flow and Shareholder Value NYSE MKT: ADK New Business Model: “Cash Flow” Current Business Model Primarily through a successful M&A strategy the Company has built a portfolio of high quality properties at attractive valuations Owner and operator of SNFs High G&A expenses High variabil
Slide 6: Strategy Rationale
Maximizing Cash Flow and Shareholder Value NYSE MKT: ADK Strategy Rationale 6 ADK has spent several months analyzing strategic options and putting together an actionable plan to maximize shareholder value Leasing/sub-leasing properties mitigates operational underperformance Predictable revenue and i
Slide 7: Selected Financial Information
Maximizing Cash Flow and Shareholder Value NYSE MKT: ADK Selected Financial Information 7
Slide 8: Timeline and Action Plan
Maximizing Cash Flow and Shareholder Value NYSE MKT: ADK Timeline and Action Plan 8 2013 2016 2015 2014 Hired SunTrust Shareholder Vote 10/14/14 Initiate Dividend Initiate New Plan Michael Fox Joins BoD Strategic Analysis Period Action Period Dividend Ramp $0.40 ANNUALIZED DIVIDEND IN 1Q16
Slide 9: Dividend Ramp
Maximizing Cash Flow and Shareholder Value NYSE MKT: ADK Dividend Ramp 9 *1Q15 2Q15 3Q15 4Q15 1Q16 2Q16 Run- Rate $0.05 $0.06 $0.07 $0.08 $0.09 $0.10 $0.40 *The Board plans to declare a $0.05 dividend in 4Q14, payable in 1Q15
Slide 10: Summary
Maximizing Cash Flow and Shareholder Value NYSE MKT: ADK Summary 10 New operating strategy emphasizing cash flow not revenue growth De-lever balance sheet to reduce interest expense and unlock cash collateral Clear path to initiate a dividend in Q4 2014 and ramp each subsequent quarter Explore addit
Slide 11: For More Information
Maximizing Cash Flow and Shareholder Value NYSE MKT: ADK For More Information Company Contacts Dave Tenwick, Interim CEO Ron Fleming, CFO AdCare Health Systems, Inc., Atlanta, Georgia Tel 678.869.5116 • www.adcarehealth.com Investor Relations Brett Maas, Managing Partner Hayden IR • www.haydenir.com
Adcare Health Systems — Investor Presentation (July 2014) on 6ix