GEN - Genesis HealthCare subsidiary established savings of ~19.6% on costs for 2019

Genesis HealthCare (GEN) subsidiary LTC ACO, the first long-term care sponsored Accountable Care Organization ((ACO)) in the U.S. received a positive reconciliation and settlement under the Medicare Shared Savings Program ((MSSP)) for the year 2019 and as a result, generated shared savings for the second consecutive year. During 2019, the Company managed ~5,800 Medicare fee-for-service beneficiaries with annualized Medicare spend of more than $160M.In 2019, the MSSP required the LTC ACO to save at least 2.8% of the total Medicare spend under management to share in up to 62.5% of the savings with Centers for Medicare and Medicaid Services ((CMS)).In August 2020, CMS notified Genesis that it reached the minimum savings rate required for gain share. As a result, in Q3, the LTC ACO will recognize MSSP shared savings of ~$18.8M and income of ~$17M net of participating provider distributions. “We generated an approximate 19.6% savings rate on costs under management and

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Genesis HealthCare subsidiary established savings of ~19.6% on costs for 2019