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EXHIBIT 99.3
The following table sets forth certain unaudited summary financial
information for the Company on a pro forma basis. The pro forma information for
the year ended December 31, 1997 gives effect to the Company's acquisition of 24
nursing homes and 2 rehabilitation hospitals from Sun Healthcare Group as if net
fundings in October 1997 ($80.9 million) and April 1998 ($15 million) had been
completed on January 1, 1997. The initial funding relates to the purchase of
facilities from Regency Health Services in October 1997, while the April 1998
funding related to an amended agreement with Sun Healthcare. The pro forma
information also gives effect to additional borrowings assumed in the
transactions and on the Company's line of credit as if each had been completed
on January 1, 1997. The pro forma financial information is not necessarily
indicative of what the Company's results of operations would have been assuming
the above events actually occurred as of the dates indicated, nor do they
purport to project the Company's results of operations for any future date or
for any future period.
OMEGA HEALTHCARE INVESTORS, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
YEAR ENDED DECEMBER 31, 1997
(IN THOUSANDS, EXCEPT PER SHARE DATA)
Pro Forma
Historical Adjustments Pro Forma
---------- ----------- ---------
(Unaudited)
REVENUE:
Rental income $54,073 $7,721 $61,794
Mortgage interest income 28,727 28,727
Other investment income 6,888 6,888
Miscellaneous 1,132 1,132
------- ------ -------
90,820 7,721 98,541
EXPENSES:
Depreciation and amortization 16,910 2,388 19,298
Interest 24,423 5,379 29,802
General and administrative 4,636 4,636
------- ------ -------
45,969 7,767 53,736
------- ------ -------
Net earnings (loss) 44,851 (46) 44,805
Preferred stock dividends 3,546 3,546
------- ------ -------
Net earnings available to Common $41,305 ($46) $41,259
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PER SHARE:
Net earnings available to Common, Basic $2.16 $2.16
Net earnings available to Common, Diluted $2.16 $2.16
Weighted average number of shares outstanding, basic 19,085 19,085
Weighted average number of shares outstanding, diluted 19,137 19,137