AMED ... Amedisys Inc

[Aufan 1983]

Several of us jumped in this one today as it fell from yesterdays close of 43.36 to a low today of 29.71. The fall was caused by the resignation of the COO and the CIO which led to panic. After reading the following afternoon article I think we are sitting on a HUGE WINNER.




UPDATE 2-Amedisys: COO resigns over succession plan differences
Thu Sep 3, 2009 1:57pm

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* CIO also resigns

* To begin search for the two positions immediately

* Shares plunge as much as 32 pct

By Anuradha Ramanathan

BANGALORE, Sept 3 (Reuters) - Amedisys Inc (AMED.O) said its chief operating officer Larry Graham resigned over differences with the board related to the company's succession plan for the CEO position.

Shares of the company fell as much as 32 percent to $29.71, but pared some of their early losses to trade at $32.33 Thursday on Nasdaq.

A company spokesman said there was a "fundamental difference in the time-line" between when the COO expected to step in as the chief executive and when the board wanted him to take over.

"It was lot sooner than what the board was wanting to acquiescence to Graham on that," he said.

Amedisys said that Graham's duties will be temporarily assumed by CEO William Borne.

The home healthcare and hospice services provider said Chief Information Officer Alice Ann Schwartz also resigned to pursue other opportunities.

The company is planning to split the CIO role into two -- one for managing the technical side and the other to look after its clinical operations.

"You don't want these kind of situations to play out the way this one is playing out because people assume the worst," Jefferies & Co analyst Arthur Henderson said.

However, he said the stock was oversold and that Amedisys is still fine as a company.

"When the stock's down...I think people are shooting first and asking questions later," Henderson said. "Yes, it is ugly, yes the stock should be down, but it shouldn't be down this much."

John Ransom, an analyst with Raymond James, downgraded Amedisys to "market perform" from "outperform," saying these resignations cast a shadow over the company, which is currently plagued by reimbursement concerns.

The home health care industry is currently facing up to $50 billion in reimbursement cuts as part of the overall healthcare reform package being considered by the U.S. Congress, he said.

Jefferies' Henderson does not expect the stock price to go back to where it was trading but said that it could "recover a bit." (Reporting by Anuradha Ramanathan in Bangalore; Editing by Maju Samuel and Anil D'Silva)

[Aufan 1983]

Going to be a good day!!!!!!!!!!!!!!!!!


UPDATE 1-Amedisys reaffirms 2009 outlook
Fri Sep 4, 2009 7:34am EDT

Sept 4 (Reuters) - Home healthcare and hospice services provider Amedisys Inc (AMED.O) reaffirmed its 2009 earnings outlook Friday, a day after the company's shares plunged 32 percent following the resignations of two top executives.

Amedisys, which is already plagued by reimbursement concerns, took another hit on Thursday after its Chief Operating Officer Larry Graham left the company over differences with the board relating to its CEO succession plan. [ID:nBNG446559]

For 2009, the company expects to earn $4.75 a share to $4.90 a share, excluding certain items, on net service revenue view of between $1.48 billion and $1.5 billion.

Analysts were expecting it to earn $4.84 a share, before items, on revenue view of $1.5 billion, according to Reuters Estimates.

Shares of the Baton Rouge, Louisiana-based company closed at $34.04 Thursday on Nasdaq. (Reporting by Anuradha Ramanathan in Bangalore; Editing by Aradhana Aravindan)

[thegreatgate]

Out AMED at $34.56.....11% gain....Thank you sir!