HCA Holdings 2011 Annual Report Download - page 63

HCA HOLDINGS, INC.
MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS
Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations
The selected financial data and the accompanying consolidated financial statements present certain
information with respect to the financial position, results of operations and cash flows of HCA Holdings, Inc.
which should be read in conjunction with the following discussion and analysis. The terms “HCA,” “Company,”
“we,” “our,” or “us,” as used herein, refer HCA Inc. and our affiliates prior to the Corporate Reorganization and
to HCA Holdings, Inc. and our affiliates after the Corporate Reorganization unless otherwise stated or indicated
by context. The term “affiliates” means direct and indirect subsidiaries of HCA Holdings, Inc. and partnerships
and joint ventures in which such subsidiaries are partners.
Forward-Looking Statements
This annual report on Form 10-K includes certain disclosures which contain “forward-looking statements.”
Forward-looking statements include all statements that do not relate solely to historical or current facts, and can
be identified by the use of words like “may,” “believe,” “will,” “expect,” “project,” “estimate,” “anticipate,”
“plan,” “initiative” or “continue.” These forward-looking statements are based on our current plans and
expectations and are subject to a number of known and unknown uncertainties and risks, many of which are
beyond our control, which could significantly affect current plans and expectations and our future financial
position and results of operations. These factors include, but are not limited to, (1) the impact of our substantial
indebtedness and the ability to refinance such indebtedness on acceptable terms, (2) the effects related to the
enactment and implementation of the Budget Control Act of 2011 (“BCA”) and the Patient Protection and
Affordable Care Act, as amended by the Health Care and Education Reconciliation Act (collectively, the “Health
Reform Law”), the possible enactment of additional federal or state health care reforms and possible changes to
the Health Reform Law and other federal, state or local laws or regulations affecting the health care industry,
(3) increases in the amount and risk of collectibility of uninsured accounts and deductibles and copayment
amounts for insured accounts, (4) the ability to achieve operating and financial targets, and attain expected levels
of patient volumes and control the costs of providing services, (5) possible changes in the Medicare, Medicaid
and other state programs, including Medicaid upper payment limit programs or Waiver Programs, that may
impact reimbursements to health care providers and insurers, (6) the highly competitive nature of the health care
business, (7) changes in service mix and revenue mix, including potential declines in the population covered
under managed care agreements and the ability to enter into and renew managed care provider agreements on
acceptable terms, (8) the efforts of insurers, health care providers and others to contain health care costs, (9) the
outcome of our continuing efforts to monitor, maintain and comply with appropriate laws, regulations, policies
and procedures, (10) increases in wages and the ability to attract and retain qualified management and personnel,
including affiliated physicians, nurses and medical and technical support personnel, (11) the availability and
terms of capital to fund the expansion of our business and improvements to our existing facilities, (12) changes in
accounting practices, (13) changes in general economic conditions nationally and regionally in our markets,
(14) future divestitures which may result in charges and possible impairments of long-lived assets, (15) changes
in business strategy or development plans, (16) delays in receiving payments for services provided, (17) the
outcome of pending and any future tax audits, appeals and litigation associated with our tax positions,
(18) potential adverse impact of known and unknown government investigations, litigation and other claims that
may be made against us, (19) our ongoing ability to demonstrate meaningful use of certified electronic health
record technology and recognize income for the related Medicare or Medicaid incentive payments, and (20) other
risk factors described in this annual report on Form 10-K. As a consequence, current plans, anticipated actions
and future financial position and results of operations may differ from those expressed in any forward-looking
statements made by or on behalf of HCA. You are cautioned not to unduly rely on such forward-looking
statements when evaluating the information presented in this report.
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