Supplemental Condensed Consolidating Financial Information (Tables)

9 Months Ended

Sep. 30, 2015

Condensed Financial Information Of Parent Company Only Disclosure [Abstract]

Condensed Consolidating Statements of Income

UNIVERSAL HEALTH SERVICES, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATING STATEMENTS OF INCOME

FOR THE THREE MONTHS ENDED SEPTEMBER 30, 2015

(amounts in thousands)

	Parent			Guarantors			Non Guarantors			Consolidating Adjustments			Total Consolidated Amounts
Net revenues before provision for doubtful accounts	$	0		$	1,688,939		$	758,095		$	(7,963	)	$	2,439,071
Less: Provision for doubtful accounts		0			135,897			75,519			0			211,416
Net revenues		0			1,553,042			682,576			(7,963	)		2,227,655
Operating charges:
Salaries, wages and benefits		0			754,069			303,157			0			1,057,226
Other operating expenses		0			361,965			174,947			(7,529	)		529,383
Supplies expense		0			143,296			98,963			0			242,259
Depreciation and amortization		0			69,875			29,567			0			99,442
Lease and rental expense		0			15,261			9,717			(434	)		24,544
Electronic health records incentive income		0			(356	)		0			0			(356	)
		0			1,344,110			616,351			(7,963	)		1,952,498
Income from operations		0			208,932			66,225			0			275,157
Interest expense		25,543			1,173			414			0			27,130
Interest (income) expense, affiliate		0			23,054			(23,054	)		0			0
Equity in net income of consolidated affiliates		(166,054	)		(40,178	)		0			206,232			0
Income before income taxes		140,511			224,883			88,865			(206,232	)		248,027
Provision for income taxes		(9,776	)		74,531			19,618			0			84,373
Net income		150,287			150,352			69,247			(206,232	)		163,654
Less: Income attributable to noncontrolling interests		0			0			13,367			0			13,367
Net income attributable to UHS	$	150,287		$	150,352		$	55,880		$	(206,232	)	$	150,287

UNIVERSAL HEALTH SERVICES, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATING STATEMENTS OF INCOME

FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2015

(amounts in thousands)

	Parent			Guarantors			Non Guarantors			Consolidating Adjustments			Total Consolidated Amounts
Net revenues before provision for doubtful accounts	$	0		$	5,040,823		$	2,254,656		$	(23,627	)	$	7,271,852
Less: Provision for doubtful accounts		0			357,095			186,545			0			543,640
Net revenues		0			4,683,728			2,068,111			(23,627	)		6,728,212
Operating charges:
Salaries, wages and benefits		0			2,239,853			893,140			0			3,132,993
Other operating expenses		0			1,080,690			512,869			(22,499	)		1,571,060
Supplies expense		0			430,288			291,691			0			721,979
Depreciation and amortization		0			208,577			87,120			0			295,697
Lease and rental expense		0			43,160			28,599			(1,128	)		70,631
Electronic health records incentive income		0			(1,751	)		0			0			(1,751	)
		0			4,000,817			1,813,419			(23,627	)		5,790,609
Income from operations		0			682,911			254,692			0			937,603
Interest expense		80,087			3,566			1,198			0			84,851
Interest (income) expense, affiliate		0			69,163			(69,163	)		0			0
Equity in net income of consolidated affiliates		(556,213	)		(160,481	)		0			716,694			0
Income before income taxes		476,126			770,663			322,657			(716,694	)		852,752
Provision for income taxes		(30,653	)		257,400			66,624			0			293,371
Net income		506,779			513,263			256,033			(716,694	)		559,381
Less: Income attributable to noncontrolling interests		0			0			52,602			0			52,602
Net income attributable to UHS	$	506,779		$	513,263		$	203,431		$	(716,694	)	$	506,779

UNIVERSAL HEALTH SERVICES, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATING STATEMENTS OF INCOME

FOR THE THREE MONTHS ENDED SEPTEMBER 30, 2014

(amounts in thousands)

	Parent			Guarantors			Non Guarantors			Consolidating Adjustments			Total Consolidated Amounts
Net revenues before provision for doubtful accounts	$	0		$	1,548,315		$	655,321		$	(7,123	)	$	2,196,513
Less: Provision for doubtful accounts		0			109,858			47,938			0			157,796
Net revenues		0			1,438,457			607,383			(7,123	)		2,038,717
Operating charges:
Salaries, wages and benefits		0			680,877			272,706			0			953,583
Other operating expenses		0			384,689			155,758			(6,694	)		533,753
Supplies expense		0			134,966			87,742			0			222,708
Depreciation and amortization		0			67,204			26,252			0			93,456
Lease and rental expense		0			15,034			9,255			(429	)		23,860
Electronic health records incentive income		0			(531	)		(894	)		0			(1,425	)
Costs related to extinguishment of debt		36,171			0			0			0			36,171
		36,171			1,282,239			550,819			(7,123	)		1,862,106
Income from operations		(36,171	)		156,218			56,564			0			176,611
Interest expense		30,503			1,277			353			0			32,133
Interest (income) expense, affiliate		0			22,113			(22,113	)		0			0
Equity in net income of consolidated affiliates		(123,951	)		(32,595	)		0			156,546			0
Income before income taxes		57,277			165,423			78,324			(156,546	)		144,478
Provision for income taxes		(25,520	)		54,139			19,821			0			48,440
Net income		82,797			111,284			58,503			(156,546	)		96,038
Less: Income attributable to noncontrolling interests		0			0			13,241			0			13,241
Net income attributable to UHS	$	82,797		$	111,284		$	45,262		$	(156,546	)	$	82,797

UNIVERSAL HEALTH SERVICES, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATING STATEMENTS OF INCOME

FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2014

(amounts in thousands)

	Parent			Guarantors			Non Guarantors			Consolidating Adjustments			Total Consolidated Amounts
Net revenues before provision for doubtful accounts	$	0		$	4,574,273		$	2,018,260		$	(21,801	)	$	6,570,732
Less: Provision for doubtful accounts		0			367,375			174,560			0			541,935
Net revenues		0			4,206,898			1,843,700			(21,801	)		6,028,797
Operating charges:
Salaries, wages and benefits		0			2,038,171			812,697			0			2,850,868
Other operating expenses		0			950,549			464,488			(20,711	)		1,394,326
Supplies expense		0			403,195			259,085			0			662,280
Depreciation and amortization		0			199,540			77,966			0			277,506
Lease and rental expense		0			43,827			27,919			(1,090	)		70,656
Electronic health records incentive income		0			(2,665	)		(1,364	)		0			(4,029	)
Costs related to extinguishment of debt		36,171			0			0			0			36,171
		36,171			3,632,617			1,640,791			(21,801	)		5,287,778
Income from operations		(36,171	)		574,281			202,909			0			741,019
Interest expense		97,665			3,248			1,500			0			102,413
Interest (income) expense, affiliate		0			66,337			(66,337	)		0			0
Equity in net income of consolidated affiliates		(455,156	)		(125,458	)		0			580,614			0
Income before income taxes		321,320			630,154			267,746			(580,614	)		638,606
Provision for income taxes		(51,226	)		217,340			57,988			0			224,102
Net income		372,546			412,814			209,758			(580,614	)		414,504
Less: Income attributable to noncontrolling interests		0			0			41,958			0			41,958
Net income attributable to UHS	$	372,546		$	412,814		$	167,800		$	(580,614	)	$	372,546

Condensed Consolidating Statements of Comprehensive Income

UNIVERSAL HEALTH SERVICES, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATING STATEMENTS OF COMPREHENSIVE INCOME

FOR THE THREE MONTHS ENDED SEPTEMBER 30, 2015

(amounts in thousands)

	Parent			Guarantors			Non Guarantors		Consolidating Adjustments			Total Consolidated Amounts
Net income	$	150,287		$	150,352		$	69,247	$	(206,232	)	$	163,654
Other comprehensive income (loss):
Unrealized derivative gains on cash flow hedges		(9,888	)		0			0		0			(9,888	)
Amortization of terminated hedge		(84	)		0			0		0			(84	)
Foreign currency translation adjustment		(2,304	)		(2,304	)		0		2,304			(2,304	)
Other comprehensive income before tax		(12,276	)		(2,304	)		0		2,304			(12,276	)
Income tax expense related to items of other comprehensive income		(3,742	)		0			0		0			(3,742	)
Total other comprehensive income, net of tax		(8,534	)		(2,304	)		0		2,304			(8,534	)
Comprehensive income		141,753			148,048			69,247		(203,928	)		155,120
Less: Comprehensive income attributable to noncontrolling    interests		0			0			13,367		0			13,367
Comprehensive income attributable to UHS	$	141,753		$	148,048		$	55,880	$	(203,928	)	$	141,753

UNIVERSAL HEALTH SERVICES, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATING STATEMENTS OF COMPREHENSIVE INCOME

FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2015

(amounts in thousands)

	Parent			Guarantors			Non Guarantors		Consolidating Adjustments			Total Consolidated Amounts
Net income	$	506,779		$	513,263		$	256,033	$	(716,694	)	$	559,381
Other comprehensive income (loss):
Unrealized derivative gains on cash flow hedges		(4,950	)		0			0		0			(4,950	)
Amortization of terminated hedge		(252	)		0			0		0			(252	)
Foreign currency translation adjustment		(96	)		(96	)		0		96			(96	)
Other comprehensive income before tax		(5,298	)		(96	)		0		96			(5,298	)
Income tax expense related to items of other comprehensive income		(1,530	)		0			0		0			(1,530	)
Total other comprehensive income, net of tax		(3,768	)		(96	)		0		96			(3,768	)
Comprehensive income		503,011			513,167			256,033		(716,598	)		555,613
Less: Comprehensive income attributable to noncontrolling    interests		0			0			52,602		0			52,602
Comprehensive income attributable to UHS	$	503,011		$	513,167		$	203,431	$	(716,598	)	$	503,011

UNIVERSAL HEALTH SERVICES, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATING STATEMENTS OF COMPREHENSIVE INCOME

FOR THE THREE MONTHS ENDED SEPTEMBER 30, 2014

(amounts in thousands)

	Parent			Guarantors		Non Guarantors		Consolidating Adjustments			Total Consolidated Amounts
Net income	$	82,797		$	111,284	$	58,503	$	(156,546	)	$	96,038
Other comprehensive income (loss):
Unrealized derivative gains on cash flow hedges		4,712			0		0		0			4,712
Amortization of terminated hedge		(84	)		0		0		0			(84	)
Currency translation adjustment		(2,506	)		0		0		0			(2,506	)
Other comprehensive income before tax		2,122			0		0		0			2,122
Income tax expense related to items of other comprehensive income		1,620			0		0		0			1,620
Total other comprehensive income, net of tax		502			0		0		0			502
Comprehensive income		83,299			111,284		58,503		(156,546	)		96,540
Less: Comprehensive income attributable to noncontrolling    interests		0			0		13,241		0			13,241
Comprehensive income attributable to UHS	$	83,299		$	111,284	$	45,262	$	(156,546	)	$	83,299

UNIVERSAL HEALTH SERVICES, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATING STATEMENTS OF COMPREHENSIVE INCOME

FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2014

(amounts in thousands)

	Parent			Guarantors		Non Guarantors		Consolidating Adjustments			Total Consolidated Amounts
Net income	$	372,546		$	412,814	$	209,758	$	(580,614	)	$	414,504
Other comprehensive income (loss):
Unrealized derivative gains on cash flow hedges		12,922			0		0		0			12,922
Amortization of terminated hedge		(252	)		0		0		0			(252	)
Currency translation adjustment		(2,506	)		0		0		0			(2,506	)
Other comprehensive income before tax		10,164			0		0		0			10,164
Income tax expense related to items of other comprehensive income		4,685			0		0		0			4,685
Total other comprehensive income, net of tax		5,479			0		0		0			5,479
Comprehensive income		378,025			412,814		209,758		(580,614	)		419,983
Less: Comprehensive income attributable to noncontrolling    interests		0			0		41,958		0			41,958
Comprehensive income attributable to UHS	$	378,025		$	412,814	$	167,800	$	(580,614	)	$	378,025

Condensed Consolidating Balance Sheet

UNIVERSAL HEALTH SERVICES, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATING BALANCE SHEET

AS OF SEPTEMBER 30, 2015

(amounts in thousands)

	Parent		Guarantors			Non Guarantors			Consolidating Adjustments			Total Consolidated Amounts
Assets
Current assets:
Cash and cash equivalents	$	0	$	27,934		$	11,589		$	0		$	39,523
Accounts receivable, net		0		940,262			388,038			0			1,328,300
Supplies		0		69,744			42,974			0			112,718
Deferred income taxes		132,407		2,147			0			0			134,554
Other current assets		0		69,304			12,155			0			81,459
Total current assets		132,407		1,109,391			454,756			0			1,696,554
Investments in subsidiaries		7,569,657		1,821,777			0			(9,391,434	)		0
Intercompany receivable		0		0			507,740			(507,740	)		0
Intercompany note receivable		0		0			1,267,637			(1,267,637	)		0
Property and equipment		0		4,664,695			1,851,219			0			6,515,914
Less: accumulated depreciation		0		(1,828,173	)		(911,649	)		0			(2,739,822	)
		0		2,836,522			939,570			0			3,776,092
Other assets:
Goodwill		0		2,862,325			526,053			0			3,388,378
Deferred charges		27,171		5,641			2,301			0			35,113
Other		8,031		259,784			42,926			0			310,741
	$	7,737,266	$	8,895,440		$	3,740,983		$	(11,166,811	)	$	9,206,878
Liabilities and Stockholders’ Equity
Current liabilities:
Current maturities of long-term debt	$	61,177	$	1,214		$	22,492		$	0		$	84,883
Accounts payable and accrued liabilities		22,084		1,018,055			62,477			0			1,102,616
Federal and state taxes		8,697		0			0			0			8,697
Total current liabilities		91,958		1,019,269			84,969			0			1,196,196
Intercompany payable		259,415		248,325			0			(507,740	)		0
Intercompany note payable		0		1,267,637			0			(1,267,637	)		0
Other noncurrent liabilities		4,236		217,605			70,600			0			292,441
Long-term debt		2,984,200		17,095			8,659			0			3,009,954
Deferred income taxes		264,358		0			0			0			264,358
Redeemable noncontrolling interests		0		0			250,213			0			250,213
Equity:
UHS common stockholders’ equity		4,133,099		6,125,509			3,265,925			(9,391,434	)		4,133,099
Noncontrolling interest		0		0			60,617			0			60,617
Total equity		4,133,099		6,125,509			3,326,542			(9,391,434	)		4,193,716
	$	7,737,266	$	8,895,440		$	3,740,983		$	(11,166,811	)	$	9,206,878

UNIVERSAL HEALTH SERVICES, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATING BALANCE SHEET

AS OF DECEMBER 31, 2014

(amounts in thousands)

	Parent		Guarantors			Non Guarantors			Consolidating Adjustments			Total Consolidated Amounts
Assets
Current assets:
Cash and cash equivalents	$	0	$	21,784		$	10,285		$	0		$	32,069
Accounts receivable, net		0		933,971			348,764			0			1,282,735
Supplies		0		67,847			40,268			0			108,115
Deferred income taxes		113,822		743			0			0			114,565
Other current assets		0		62,431			15,223			0			77,654
Total current assets		113,822		1,086,776			414,540			0			1,615,138
Investments in subsidiaries		7,013,540		1,661,296			0			(8,674,836	)		0
Intercompany receivable		103,808		0			408,682			(512,490	)		0
Intercompany note receivable		0		0			1,222,637			(1,222,637	)		0
Property and equipment		0		4,494,567			1,717,463			0			6,212,030
Less: accumulated depreciation		0		(1,686,192	)		(846,149	)		0			(2,532,341	)
		0		2,808,375			871,314			0			3,679,689
Other assets:
Goodwill		0		2,764,555			526,658			0			3,291,213
Deferred charges		32,379		5,402			2,538			0			40,319
Other		9,601		283,302			55,181			0			348,084
	$	7,273,150	$	8,609,706		$	3,501,550		$	(10,409,963	)	$	8,974,443
Liabilities and Stockholders’ Equity
Current liabilities:
Current maturities of long-term debt	$	44,874	$	1,260		$	22,185		$	0		$	68,319
Accounts payable and accrued liabilities		20,245		1,051,309			41,508			0			1,113,062
Federal and state taxes		1,446		0			0			0			1,446
Total current liabilities		66,565		1,052,569			63,693			0			1,182,827
Intercompany payable		0		512,490			0			(512,490	)		0
Intercompany note payable		0		1,222,637			0			(1,222,637	)		0
Other noncurrent liabilities		1,322		189,456			77,777			0			268,555
Long-term debt		3,187,103		20,212			2,900			0			3,210,215
Deferred income taxes		282,214		0			0			0			282,214
Redeemable noncontrolling interests		0		0			239,552			0			239,552
Equity:
UHS common stockholders’ equity		3,735,946		5,612,342			3,062,494			(8,674,836	)		3,735,946
Noncontrolling interest		0		0			55,134			0			55,134
Total equity		3,735,946		5,612,342			3,117,628			(8,674,836	)		3,791,080
	$	7,273,150	$	8,609,706		$	3,501,550		$	(10,409,963	)	$	8,974,443

Condensed Consolidating Statements of Cash Flows

UNIVERSAL HEALTH SERVICES, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS

FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2015

(amounts in thousands)

	Parent			Guarantors			Non Guarantors			Consolidating Adjustments		Total Consolidated Amounts
Net cash (used in) provided by operating activities	$	(51,998	)	$	554,650		$	293,847		$	0	$	796,499
Cash Flows from Investing Activities:
Property and equipment additions, net of disposals		0			(154,460	)		(115,118	)		0		(269,578	)
Proceeds received from sale of assets and businesses		0			0			2,744			0		2,744
Cash paid/reserved related to acquisition of    property and businesses		0			(171,116	)		(11,987	)		0		(183,103	)
Net cash used in investing activities		0			(325,576	)		(124,361	)		0		(449,937	)
Cash Flows from Financing Activities:
Reduction of long-term debt		(203,284	)		(3,163	)		(924	)		0		(207,371	)
Additional borrowings		16,300			0			0			0		16,300
Repurchase of common shares		(129,862	)		0			0			0		(129,862	)
Dividends paid		(29,696	)		0			0			0		(29,696	)
Issuance of common stock		6,030			0			0			0		6,030
Excess income tax benefits related to stock-based compensation		29,287			0			0			0		29,287
Profit distributions to noncontrolling interests		0			0			(35,965	)		0		(35,965	)
Proceeds received from sale/leaseback of real property		0			0			12,765			0		12,765
Changes in intercompany balances with affiliates, net		363,223			(219,165	)		(144,058	)		0		0
Net cash  provided by (used in) financing activities		51,998			(222,328	)		(168,182	)		0		(338,512	)
Effect of exchange rate changes on cash and cash equivalents		0			(596	)		0			0		(596	)
Increase in cash and cash equivalents		0			6,150			1,304			0		7,454
Cash and cash equivalents, beginning of period		0			21,784			10,285			0		32,069
Cash and cash equivalents, end of period	$	0		$	27,934		$	11,589		$	0	$	39,523

UNIVERSAL HEALTH SERVICES, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS

FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2014

(amounts in thousands)

	Parent			Guarantors			Non Guarantors			Consolidating Adjustments		Total Consolidated Amounts
Net cash provided by operating activities	$	8,445		$	431,986		$	249,123		$	0	$	689,554
Cash Flows from Investing Activities:
Property and equipment additions, net of disposals		0			(205,455	)		(103,906	)		0		(309,361	)
Proceeds received from sale of assets and businesses		0			11,450			3,728			0		15,178
Cash paid/reserved related to acquisition of    property and businesses		0			(394,854	)		(7,551	)		0		(402,405	)
Costs incurred for purchase and implementation of    electronic health records application		0			(11,204	)		0			0		(11,204	)
Net cash used in investing activities		0			(600,063	)		(107,729	)		0		(707,792	)
Cash Flows from Financing Activities:
Reduction of long-term debt		(830,680	)		(609	)		(11,254	)		0		(842,543	)
Additional borrowings		969,800			0			0			0		969,800
Financing costs		(13,413	)		0			0			0		(13,413	)
Repurchase of common shares		(63,292	)		0			0			0		(63,292	)
Dividends paid		(19,794	)		0			0			0		(19,794	)
Issuance of common stock		4,907			0			0			0		4,907
Excess income tax benefits related to stock-based compensation		30,242			0			0			0		30,242
Profit distributions to noncontrolling interests		0			0			(25,074	)		0		(25,074	)
Changes in intercompany balances with affiliates, net		(86,215	)		190,021			(103,806	)		0		0
Net cash (used in) provided by financing activities		(8,445	)		189,412			(140,134	)		0		40,833
Effect of exchange rate changes on cash and cash equivalents		0			(122	)		0			0		(122	)
Increase in cash and cash equivalents		0			21,213			1,260			0		22,473
Cash and cash equivalents, beginning of period		0			7,990			9,248			0		17,238
Cash and cash equivalents, end of period	$	0		$	29,203		$	10,508		$	0	$	39,711