Day: May 27, 2016

Kindred is a home-grown Louisville company that almost wasn’t

Kindred headquarters
The hospital and nursing home giant’s headquarters at Fourth and Broadway.

Boulevard focuses on news about some of Louisville’s biggest employers, nonprofits, and cultural institutions. This is one in an occasional series about them.

Kindred Healthcare traces its history to the 1985 launch of a predecessor, Vencor, that ran long-term acute care hospitals. By 1999, Vencor had morphed into a much bigger enterprise, with 300 nursing homes and 60 hospitals — and too much debt. Then it got clobbered when the federal government cut Medicare payments at a time when they accounted for 30% of a typical nursing home’s revenue.

Unable to pay its bills, Vencor sought Chapter 11 bankruptcy court protection in September 1999 after suffering staggering losses: $600 million in the fourth quarter of 1998 and $64 million in the first half of 1999, according to The New York Times. Vencor warned shareholders that its very survival was at stake.

But less than two years later, April 2001, it emerged from court protection with a new name, Kindred, and a new business plan. It is now a stronger and bigger company that sums up its operations in a very long sentence:

“Kindred through its subsidiaries had approximately 102,000 employees providing healthcare services in 2,692 locations in 46 states, including 95 transitional care hospitals, 18 inpatient rehabilitation hospitals, 90 nursing centers, 19 sub-acute units, 604 Kindred at Home home health, hospice and non-medical home care sites of service, 100 inpatient rehabilitation units (hospital-based) and a contract rehabilitation services business, RehabCare, which served 1,766 non-affiliated sites of service.”

Considerable growth came last year when Kindred completed its $1.8 billion takeover of Gentiva Health Services, a big Atlanta-based provider of hospice services, at-home nursing care and physical therapy. That deal was announced in October 2014.

Kindred is one of only four Louisville companies in the Fortune 500 list of biggest businesses. In June 2016, it was ranked No. 372 — a big leap up from 491 in 2015. (The other three in Louisville are Humana, No. 52; Yum Brands, 218; and Brown-Forman, 702.)

Benjamin Breier
Breier

Kindred is still growing. It broke ground this year on an expansion of its headquarters at Fourth and Broadway, to house up to 500 new employees in the years ahead. The company is led by CEO Benjamin Breier.

Not to be missed: Kaleidoscope, an online gallery of writing, photography, and other artwork created by Kindred’s patients and residents.

Visit this lovely jewel-box home in NuLu on the annual AIA architect’s tour

That photo, top, shows the gorgeous garden at the Gilbert house at 216 Preston St., designed by Louisville architect Jeff Rawlins.

This year’s annual tour showcases eight Louisville homes built or renovated by architects and designers, and chosen by the American Institute of Architects’ Kentucky chapter, according to Broken Sidewalk; the urban planning site has addresses and photographs of all eight.

When: June 11, noon to 6 p.m. How much: Tickets for all eight houses are $15 in advance via Eventbrite or $20 at the door of any of the houses. Proceeds benefit Habitat for Humanity.

The tour also includes the historic Hendon House at 201 Crescent Court; architects for the project were Charles Cash and Mary Herd Jackson. The 1840s house is one of the best of The Courier-Journal’s weekly house features on Saturdays. The exterior:

Hendon House

DOJ trust-busters hint at ‘tough battle ahead’ for Humana; and Hut workers in U.K. show the name of the fan game is names

A news summary, focused on big employers; updated 8:23 a.m.

Pizza Hut employees Leicester
Those crazy kids: 12 British Pizza Hut employees show off their new names.

HUMANA: The U.S. Justice Department’s muscular anti-trust reviews in airline and other industries “suggests a tough battle ahead” for Aetna’s pending $34 billion takeover of Humana, and Anthem’s takeover of Cigna (Bloomberg). Aetna’s CEO last week said he expects their deal to close during the year’s second half.

PIZZA HUT employees in the U.K. celebrated their Leicester City Football Club’s unlikely victory over Tottenham in the Premier League championships in one of the most bizarre ways possible: 12 of them legally changed their names to those of club members (Telegraph). How crazy are Leicester fans? Watch this video. Note: It’s “football” there and “soccer” here.

In other news, Moody’s Investors Service has lowered its rating on the University of Louisville Foundation’s bonds, citing investment losses that have cut into the foundation’s endowment (WDRB); more about the foundation.

Finally, U.S. stock futures inched higher an hour before the opening bell, with investors hesitant to make major moves ahead of a speech by Federal Reserve Chairwoman Janet Yellen and a long holiday weekend (MarketWatch). The 11 big employers in Boulevard’s Stock Portfolio mostly closed lower yesterday.