FOR IMMEDIATE RELEASE 
December 19, 2007     

CONTACT: 
Julie Eisenhardt
202-330-3164         

Carlyle and Manor Care Attempting to Steamroll Care Concerns, Regulatory Process

WASHINGTON, DC -- With a year-end deadline looming to close a $6.6 billion takeover deal, the Carlyle Group and HCR Manor Care, the nation's largest nursing home chain, are attempting to steamroll the regulatory process in states to avoid addressing concerns about resident care.  Despite a push to get states to rubber stamp approval of the buyout, state officials in Florida, Maryland, Oklahoma,Kansas, Virginia, Michigan, Illinois, and West Virginia have yet to issue licenses for the Carlyle takeover of nursing homes, according to the latest information available to SEIU. Those eight states have approximately 120 Manor Care nursing homes, nearly half of all Manor Care's skilled nursing facilities.

Despite the fact that eight states have not approved the takeover, Manor Care spokesperson Rick Rump today is cited by the Associated Press as claiming that "Regulators in more than 30 states have now approved the sale….  The only state that hasn't is West Virginia."

"Carlyle and Manor Care are pulling out all the stops in an attempt to steamroll the process," said Gerry Hudson, Executive Vice President, SEIU Healthcare, "They seem to want this deal all packaged up with a bow for the holidays, even if it means ignoring the responsible questions of state officials and others about the impact on care. It appears they weren't prepared for people to ask questions about the impact of this deal on nursing home residents and caregivers."

In West Virginia for example, Manor Care residents and SEIU have requested answers to basic questions that will help determine whether Carlyle will be able to fix care problems at Manor Care, in light of Manor Care telling investors in a conference call earlier this year that it can take care of "a lot more of them," meaning residents, with "current staffing." Manor Care has refused to answer these questions and instead has filed a motion demanding that the process already set up by the agency be skipped and licenses rubber-stamped.

Manor Care has also failed to acknowledge that it has not received licenses for Carlyle to operate homes in 7 other states. On December 12, the Illinois Department of Public Health stated that their process of review of Carlyle's applications will continue into next year.  In Michigan, SEIU has filed a complaint with the Department of Community Health asking for a full investigation of the deal prior to a decision about the licenses.

Manor Care staffing levels are below those identified by experts in a federally commissioned study as improving patient outcomes and its homes have been cited repeatedly for deficiencies that violate resident care standards.  Residents, family members, and caregivers are calling on regulators and lawmakers to make sure the Carlyle buyout will make care better and increase staffing to recommended levels.

More background at CarlyleFixManorCareNow.org