UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM
CURRENT REPORT
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Item 8.01 Other Events
On April 10, 2020 VITAS Healthcare Corporation, a wholly-owned subsidiary of Chemed Corporation, received $80.2 million from the U.S. Federal government from the provider relief fund provided for in the Coronavirus Aid, Relief, and Economic Security (CARES) Act recently passed by Congress and signed by President Trump. While the details of the program have not been announced, the expressed intent of the CARES Act is to help defray significant healthcare-related expenses and lost revenue attributable to COVID-19. VITAS’ ability to utilize and retain the full amount will depend on the magnitude, timing and nature of the impact of COVID-19, as well as the guidelines and rules of the program, which have not yet been announced. VITAS also currently estimates increased revenue from the suspension of 2% Medicare sequestration from May 1, 2020 to December 31, 2020 to be approximately $15 million to $20 million, excluding the impact of Medicare Cap.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
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| CHEMED CORPORATION | |
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Dated: April 15, 2020 | By: | /s/ Michael D. Witzeman |
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| Michael D. Witzeman |
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| Vice President and Controller |
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