UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported):
November 8, 2006 (November 8, 2006)
U.S. PHYSICAL THERAPY, INC.
(Exact name of registrant as specified in its charter)
Nevada 1-11151 76-0364866
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(State or other jurisdiction of (Commission File (I.R.S. Employer
incorporation or organization) Number) Identification No.)
1300 West Sam Houston Parkway South, Suite 300, Houston, Texas 77042
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(Address of Principal Executive Offices) (Zip Code)
Registrant's telephone number, including area code: (713) 297-7000
Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under any of the
following provisions:
[_] Written communications pursuant to Rule 425 under the Securities Act (17
CFR 230.425)
[_] Soliciting material pursuant to Rule 14a-12(b) under the Exchange Act (17
CFR 240.14a-12(b))
[_] Pre-commencement communications pursuant to Rule 14d-2(b) under the
Exchange Act (17 CFR 240.14d-2(b))
[_] Pre-commencement communications pursuant to Rule 13e-4(c) under the
Exchange Act (17 CFR 240.13e-4(c))
Item 8.01 Other Events
On November 8, 2006, U.S. Physical Therapy, Inc. (the "Company") filed its
quarterly report on Form 10-Q for the period ended September 30, 2006. Included
in this filing is information regarding recently promulgated changes relating to
Medicare reimbursement for 2007 including the following:
In November 2006, The Centers for Medicare and Medicaid Services (CMS)
released the final rule regarding Revisions to Payment Policies Under
the Physician Fee Schedule for calendar year 2007. The rule is
projected to result in a 10% reduction in reimbursement for outpatient
physical and occupational therapy provided to Medicare and Medicaid
patients. The rule also provides for a $1,780 therapy reimbursement
cap per Medicare or Medicaid patient for 2007 with no exception
process. The fee schedule will be published in the December 1, 2006
Federal Register and will take effect January 1, 2007.
Through the first three quarters of 2006, Medicare and Medicaid
reimbursement accounted for 19% of the Company's billed services or
approximately $19.0 million of net patient revenue from continuing
operations. Using that interim figure, then on an annualized basis a
corresponding 10% reduction to the Company in Medicare and Medicaid
payments could result in a more than $2.5 million reduction in revenue
unless Congress were to change the fee schedule and exception process
or unless the Company were to be successful in offsetting the Medicare
and Medicaid reduction through expansion of its business with other
reimbursement sources.
For additional information, see the Company's Form 10-Q for the period ended
September 30, 2006, dated November 8, 2006, and the Company's Form 10-K for the
year ended December 31, 2005, dated March 8, 2006.
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
U.S. PHYSICAL THERAPY, INC.
Dated: November 8, 2006 By: /s/ LAWRANCE W. MCAFEE
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Lawrance W. McAfee
Chief Financial Officer
(duly authorized officer and principal financial
and accounting officer)