Discontinued Operations

6 Months Ended

Jun. 30, 2012

Discontinued Operations

8. Discontinued Operations

As disclosed in Note 3, we sold HealthSouth Rehabilitation Hospital of Fayetteville in Fayetteville, Arkansas during the 2012 second quarter.

On December 30, 2011, we sold Mountain View Regional Rehabilitation Hospital in Morgantown, West Virginia to HealthSouth Corporation for $21.1 million, resulting in a gain of $2.3 million. We also sold Sherman Oaks Hospital in Sherman Oaks, California to Prime, on December 30, 2011 for $20.0 million, resulting in a gain of $3.1 million. Due to this sale, we wrote-off $1.2 million in straight-line rent receivables.

The following table presents the results of discontinued operations, which include the revenue and expenses of the three previously-owned facilities noted above, for the three and six months ended June 30, 2012 and 2011 (dollar amounts in thousands except per share/unit amounts):

	For the Three Months Ended June 30,					For the Six Months Ended June 30,
	2012			2011		2012			2011
Revenues	$	598		$	1,492	$	1,237		$	3,284
Gain (loss) on sale		(1,446	)		—		(1,446	)		5
Income (loss)		(1,280	)		1,007		(855	)		2,449
Earnings (loss) per share/unit — diluted	$	(0.01	)	$	0.01	$	—		$	0.02