Using the information in Table 12-17 for Kindred Healthcare, a major nursing home firm, discuss some of the primary observations that youll conclude regarding the financial performance of the HCO.

Question 3 Using the information in Table 12-17 for Kindred Healthcare, a major nursing home firm, discuss some of the primary observations that you'll conclude regarding the financial performance of the HCO. 12/31/2007 12/31/2006 $264,570 $ 598,108 150,969 $1,013,647 683,338 69,100 79,956 1,247,158 $2,079,552 $248,722 588,166 156,560 $993,448 551.230 107,852 117,345 1.239.700 $2,016, 127 Table 12-17 Kindred Healthcare, Inc., 2008 (Data in Thousands) , Balance Sheet Data 12/31/2008 Assets Current assets Cash & cash equivalents $337,778 Net accounts receivable 611,032 Other current assets 153,825 Total current assets $1,102,635 Property, plant, and equipment, not 735,960 Goodwill 72,244 Intangible assets 64,367 Other assets 1,309,190 Total assets $2,181,761 Liabilities Total current liabilities 625 270 Long-term debt 349,433 Other liabilities 187,804 Deferred long-term liability charges 104,279 Total liabilities $1,266,786 Total stockholders' equity $914,975 Income Statement Data 12/31/2008 Revenue $4,151,396 Expenses Salaries, wages, and benefits 2,409,673 Supplies 320,410 Rent 344,952 Other operating expenses 868,026 Other income (17.407) Investment income (7,101) Depreciation 121,413 Earnings before interest and taxes $111,430 Interest expense 15,373 Income before taxes $96,057 Income tax expense 37,164 Net income from continuing operations $58,893 Discontinued operations, net of income taxes (22,608) Net income $36,285 $629,942 275,814 202,412 109,260 $1,217,428 $862,124 $606,998 130,090 184,749 98,712 $1,020,549 $995,578 12/31/2007 $4,179,891 12/31/2006 $4,090,365 2,358,914 546,075 343,717 743,497 (7.701) (16,109) 120,421 $91,077 17.044 $74,033 34,385 $39,648 (86,518) ($46,870) 2,217,582 671,857 294,186 660,731 0 o (14,491) 116,182 $144,318 13,920 $130,398 51,417 $78,981 (270) $78,711