Estate of William T. Rogers - Page 5

                                        - 5 -                                         

          Both Circle City and Arroyo Grande owned hospitals and other                
          assets.  The asset purchase agreements covered both the hospitals           
          as well as other assets including parcels of raw land that were             
          adjacent to the hospitals (nonhospital properties).  The                    
          agreements were assignable to "a section 501(c)(3) organization"            
          and were conditioned upon Alpha Hospital's obtaining financing in           
          an amount and on terms acceptable to Alpha Hospital in its sole             
               During the summer and early fall of 1990, Alpha Hospital and           
          AMH worked with Vista Hospital Systems, Inc., a California non-             
          profit organization, to complete the acquisition of the                     
          properties by Vista.  As we discuss below, such acquisition was             
          to be accomplished by the assignment to Vista of Alpha Hospital's           
          rights under the asset purchase agreements.  First Boston                   
          Corporation, New York, New York (First Boston), agreed to                   
          underwrite the financing of the acquisition, which financing was            
          to be accomplished by the City of Arroyo Grande's issuing Series            
          1990 A Certificates of Participation and the City of Corona                 
          issuing Series 1990 B Certificates of Participation (collectively           
          1990 certificates).  During October 1990, First Boston circulated           
          a Preliminary Official Statement to potential buyers of the 1990            
          certificates.  The principal amount sought during the initial               
          offering was $61.1 million.  First Boston was unable to raise               
          that amount.                                                                

Page:  Previous  1  2  3  4  5  6  7  8  9  10  11  12  13  14  Next

Last modified: May 25, 2011