UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6K
REPORT OF FOREIGN ISSUER PURSUANT TO RULE 13a-16 AND 15d -16
UNDER THE SECURITIES EXCHANGE ACT OF 1934
For the month of January 1998
NATIONAL HEALTHCARE MANUFACTURING CORPORATION
(Name of Registrant)
251 Saulteaux Crescent, Winnipeg, Manitoba Canada R3J 3C7
(Address of principal executive offices)
1. News Releases: January 16, 1998
January 29, 1998
Indicate by check mark whether the Registrant files of will file annual
reports under cover of Form 20-F of Form 40-F.
Form 20-F X Form 40-F ___
Indicate by check mark whether the Registrant by furnishing the information
contained in this form is also thereby furnishing the information to the
Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of
1934. Yes ___ No X
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1943, the
registrant has duly cause this Form 6-K to be signed on its behalf by the
undersigned, thereunto duly authorized.
National Healthcare Manufacturing Corporation -- SEC No. 0-27998
(Registrant)
Date: January 31, 1998 By:/s/ M. Seyed Torabian
----------------------------
M. Seyed Torabian,
Vice President/Director
National Healthcare Manufacturing Corp.
(NASDAQ:NHMCF / VSE:NHM)
Internet: www.nationalhealthcare.com
Contact: Alex P. Tsakumis
FOR IMMEDIATE RELEASE (800)883-8841 / (604)689-8581
LONG TERM MEDICAL LOGISTICS SYSTEM ESTABLISHED
FOR FIVE FLORIDA BASED HOSPITALS
January 16, 1998 - National Healthcare Manufacturing Corporation (NHMC) is
pleased to announce its subsidiary National Healthcare Logistics (NHCL) has
signed its first long term agreement to establish and manage a "Hub &
Spoke" distribution center for five Florida based hospitals including
Sarasota Memorial and the Lee Memorial Healthcare System of Fort Myers.
The Hub & Spoke logistics system will revolutionize supply chain management
for U. S. and Canadian hospitals. This Hub & Spoke center, the first of
many, will be owned by the participating hospitals, and will account for
over US $300 million ($ 430 CDN) in purchases over the term of the
agreement.
The Hub & Spoke system replaces conventional distribution methods, and will
lower the total cost for logistical support by as much as 15-20%. NHCL's
President, Duane Jorgensen stated "as more hospitals are learning of the
tremendous potential cost savings from our Hub & Spoke Program, they are
moving away from the current high cost distribution systems to Hub &
Spoke."
NHCL's Hub & Spoke system is revolutionary because it dedicates the
distribution center to serve only those hospitals participating in the
local alliance. The hospitals will gain additional benefit through the
ability to replace hundreds of supply sources with one distribution entity
and shift many other internal functions to the hub.
The "Hub" is the dedicated distribution center and serves as the platform
upon which "Spokes" may be formed by mutual consent of the participating
hospitals. Each NHCL "hub" is customized to meet specific local
requirements. Feasibility studies conducted by NHCL will allow each
hospitals to determine the benefits to be gained from developing any
particular "spoke". The Spokes are common services that can be cost shared
by the local alliance or integrated Delivery Network. Spokes can take cost
savings beyond the 15-20% range mentioned above, and be a source of new
revenue for the hospitals. According to Jorgensen, "many hospitals will
prefer to outsource completely and will, therefore, contract with NHCL to
assume the ownership, and accept the financial risk for the Hub."
Mac Shahsavar, President and CEO of National Healthcare said, "We are very
excited about the potential of the Hub & Spoke Program. In addition to
NHCL's fees for managing these centers, National Healthcare will benefit by
establishing an immediate conduit to market its products and services
directly to healthcare providers."
Shahsavar continued, "National Healthcare is rapidly emerging as a market
leader capable of providing the healthcare industry with a comprehensive
array of products and services incorporating custom packaging, sterile re-
packing, and laundry services, along with the state of the art supply
management distribution technology. In the past two years NHMC has
broadened its multi-faceted mandate to include:
1. Logistics and distribution centers (Hub & Spoke) where NHMC in
partnership with hospitals and/or SYSCO Corp.(NYSE: SYY) designs and
implements centralized logistic services for regional authorities.
2. NHMC Hub & Spokes centers will be enhanced by construction of
facilities where reusable products such as Mertex and other protective wear
will be packed, sterilized and delivered daily to hospitals.
3. Packaging services where NHMC will provide procedure based
disposable kits and trays to meet most procedural supply needs in
hospitals.
By centralizing these services within the Hub & Spoke/Packaging Centers,
NHMC expects to deliver significant cost savings to the healthcare system
while providing high levels of customer focused service. We will continue
our pursuit for innovative products and services to further minimize
healthcare costs to end users."
On Behalf of the Board,
/S/ M. Seyed Torabian
- ------------------------------
M. Seyed Torabian, P.Eng.
Executive Vice President
Neither NASDAQ nor the VSE have reviewed or accept responsibility for the
accuracy of this release.
National Healthcare Manufacturing Corp.
(NASDAQ:NHMCF / VSE:NHM)
Internet: www.nationalhealthcare.com
Contact: Alex P. Tsakumis
FOR IMMEDIATE RELEASE (800)883-8841 / (604)689-8581
REGULATORY APPROVAL RECEIVED FOR MEDI GUARD ACQUISITION
January 29, 1998, Winnipeg, Manitoba - National Healthcare Manufacturing
Corp. (NHMC) is pleased to announce that further to its November 28, 1997
press release, it has received approval from the Vancouver Stock Exchange
for the acquisition of Medi Guard Inc. of Oakville, Ontario.
Medi Guard Inc. is Canada's leading manufacturer of cellulose based
disposable protective products for medical use. These products include
examination gowns, drapes, table paper, bibs, towels, and aprons. The
company also produces a line of single use products for airline in-flight
services. In 1995 Medi Guard revenues were $770,000 and which increased to
$2.8 million in 1996, with similar growth projected for 1997.
In consideration, the Company shall pay the greater of $400,000 or 3.5
times the annualized earnings of Medi-Guard (based on results of operations
for the 11 months following the agreement). The consideration shall be
paid in shares of the Company issued at the average closing price of the
shares for the five trading days preceding November 24, 1998 and not to
exceed 20% of the Company's shares outstanding. This is subject to
Exchange acceptance at that time.
This acquisition of Medi Guard and the inclusion of their products in
NHMC's custom procedure kits and trays enhances NHMC's vertical
integration strategy. Also, NHMC's existing distribution channels in
Canada, Europe & the United States will further assist in rapid growth of
Medi Guard product sales.
National Healthcare is rapidly emerging as a market leader capable of
providing the healthcare industry with a comprehensive array of products
and services that incorporate custom packaging, sterile re-packing and
laundry services, along with the state of the art supply management
distribution technology. In the past two years NHMC has broadened its
multi-faceted mandate to include:
1. Logistics and distribution centers (Hub & Spoke) where NHMC in
partnership with hospitals and/or SYSCO Corp.(NYSE: SYY) designs and
implements centralized logistic services for regional authorities. NHMC
Hub & Spokes centers will also be enhanced by construction of facilities
where reusable products such as Mertex and other protective wear will be
packed, sterilized and delivered daily to hospitals.
2. Packaging services where NHMC (utilizing its state-of-the-art robotic
technology) will provide procedure based disposable kits and trays to meet
most procedural supply needs in hospitals.
By centralizing these services within the Hub & Spoke Centers, NHMC expects
to deliver significant cost savings to healthcare systems while providing
high levels of customer focused service. We will continue our pursuit for
innovative products and services to further minimize healthcare costs to
end users.
On Behalf of the Board,
/s/Seyed M. Torabian
- ------------------------------
Seyed M. Torabian, P.Eng.
Executive Vice President
Neither NASDAQ nor the VSE have reviewed or accept responsibility for the
accuracy of this release.