TeamHealth Government Division Proceeding with Clinics Contract for the US Army
January 04, 2012
St. Louis, Mo. - January 4, 2012 –Spectrum Healthcare Resources (Spectrum), the government staffing division of TeamHealth, has been directed by the Army Medical Command to proceed with a contract originally awarded in 2009 and subsequently re-awarded in June 2011 for completing the construction of and providing clinical staffing and management services for two new Family Health Centers (FHCs) in Northern Virginia. Although appeal activities are expected to continue, the directive to proceed is a result of the U.S. Court of Federal Claims’ resolution of protest issues associated with the original contract awards.
Located in Fairfax and Dumfries, Va., the Family Health Centers are extensions of the new Fort Belvoir Community Hospital (FBCH), in Ft. Belvoir, Va. Targeted for completion on or before July 1, 2012, the Family Health Centers will serve approximately 47,000 active and retired U.S. Military personnel and their dependents with primary care, laboratory, radiology and specialty healthcare services and pharmacies for the exclusive use of eligible patients.
“Spectrum Healthcare Resources is honored and privileged the Army has selected our organization to develop these impressive, state-of-the-art clinics in order to serve their beneficiaries,” said George Tracy, President of Spectrum. “We are excited to partner with the Army in transitioning the primary setting of care for so many individuals”.
Under its contract, Spectrum expects to complete construction of the new clinics on or before June 30 before beginning a five-year engagement to provide patient care services. More than 300 physicians, nurses, allied health professionals and administrative employees will staff these new clinics, and Spectrum will prioritize recruiting staff from FBCH’s current FHCs to transition with the patients to the new facilities. Upon the completion of the clinic construction and commencement of clinical staffing and management services, annual revenues under the contract are estimated to be approximately $43 million.
About Spectrum Healthcare Resources
Spectrum Healthcare Resources (Spectrum), a Joint Commission-certified healthcare staffing services firm, was established in 1988 and is a leading organization providing physician and clinical staffing and management services to U.S. military treatment facilities, VA clinics and other federal agencies across the nation. For more information about Spectrum visit www.spectrumhealth.com.
About TeamHealth
TeamHealth (Knoxville, Tenn.) (NYSE: TMH) was founded in 1979 and has become one of the largest suppliers of outsourced healthcare professional staffing and administrative services to hospitals and other healthcare providers in the United States. Through its six principal service lines located in 15 regional sites, TeamHealth's approximately 6,900 affiliated healthcare professionals provide emergency medicine, hospital medicine, anesthesia, and pediatric staffing and management services to approximately 700 civilian and military hospitals, clinics, and physician groups in 46 states. The term "TeamHealth" as used throughout this release includes Team Health, Inc., and all of its related entities, divisions, subsidiaries and affiliated physicians and physician groups.
Forward Looking Statements
Statements and information contained herein that are not historical facts and that reflect the current view of Team Health Holdings, Inc. (the “Company”) about future events and financial performance are hereby identified as “forward looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Some of these statements can be identified by terms and phrases such as “anticipate,” “believe,” “intend,” “estimate,” “expect,” “continue,” “could,” “should,” “may,” “plan,” “project,” “predict” and similar expressions. The Company cautions that such “forward looking statements,” including without limitation, those relating to the Company’s future business prospects, revenue, working capital, professional liability expense, liquidity, capital needs, interest costs and income, wherever they occur in this or in other statements attributable to the Company, are necessarily estimates reflecting the judgment of the Company’s senior management and involve a number of risks and uncertainties that could cause actual results to differ materially from those suggested by the “forward looking statements.” Factors that could cause our actual results to differ materially from those expressed or implied in such forward-looking statements include but are not limited to current or future government regulation of the healthcare industry, exposure to professional liability lawsuits and governmental agency investigations, the adequacy of insurance coverage and insurance reserves, as well as those factors detailed under the caption “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in the Company’s most recent annual report on Form 10-K and the most recent quarterly report on Form 10-Q filed with the Securities and Exchange Commission. The Company’s “forward looking statements” speak only as of the date hereof and the Company disclaims any intent or obligation to update “forward looking statements” herein to reflect changed assumptions, the occurrence of unanticipated events, or changes to future operating results over time.