UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
SCHEDULE 13D
UNDER THE SECURITIES EXCHANGE ACT OF 1934
(AMENDMENT NO. 11)*
KINDRED HEALTHCARE, INC.
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(Name of Issuer)
COMMON STOCK, PAR VALUE $0.25
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(Title of Class of Securities)
494580 10 3
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(CUSIP Number)
KENNETH MAIMAN, ESQ.
APPALOOSA MANAGEMENT L.P.
26 MAIN STREET, FIRST FLOOR
CHATHAM, NJ 07928
(973) 701-7000
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(Name, Address and Telephone Number of Persons
Authorized to Receive Notices and Communications)
DECEMBER 5, 2003
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(Date of Event Which Requires Filing of This Statement)
If the filing person has previously filed a statement on Schedule 13G
to report the acquisition which is the subject of this Schedule 13D, and is
filing this Schedule because of Rule 13d-1(e), 13d-1(f) or 13d-1(g), check
the following box |_|.
Note. Schedules filed in paper format shall include a signed
original and five copies of the schedule, including all exhibits. See Rule
13d-7 for other parties to whom copies are to be sent.
* The remainder of this cover page shall be filled out for a
reporting person's initial filing on this form with respect to the subject
class of securities, and for any subsequent amendment containing
information which would alter disclosures provided in a prior cover page.
The information required on the remainder of this cover page shall not
be deemed to be "filed" for the purpose of Section 18 of the Securities
Exchange Act of 1934, as amended (the "Act") or otherwise subject to the
liabilities of that section of the Act but shall be subject to all other
provisions of the Act (however, see the Notes).
SCHEDULE 13D
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CUSIP No. 494580 10 3 PAGE 2 OF 10 PAGES
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------- -----------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
APPALOOSA INVESTMENT LIMITED PARTNERSHIP I
------- -----------------------------------------------------------------------
2
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [ ]
(b) [ ]
------- -----------------------------------------------------------------------
3 SEC USE ONLY
------- -----------------------------------------------------------------------
4 SOURCE OF FUNDS
OO
------- -----------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) or 2(e) [ ]
------- -----------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
DELAWARE
------------------- ------ ----------------------------------------------------
NUMBER OF SHARES 7 SOLE VOTING POWER
-0-
------ ----------------------------------------------------
BENEFICIALLY 8 SHARED VOTING POWER
OWNED BY
1,045,622
------ ----------------------------------------------------
EACH 9 SOLE DISPOSITIVE POWER
REPORTING
-0-
------ ----------------------------------------------------
PERSON 10 SHARED DISPOSITIVE POWER
WITH
1,045,622
------------------- ------ ----------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH
REPORTING PERSON
1,045,622
---------- -------- -----------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES [ ]
---------- -------- -----------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
5.3%
---------- -------- -----------------------------------------------------------
14 TYPE OF REPORTING PERSON
PN
---------- -------- -----------------------------------------------------------
SCHEDULE 13D
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CUSIP No. 494580 10 3 PAGE 3 OF 10 PAGES
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------- -----------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
PALOMINO FUND LTD.
------- -----------------------------------------------------------------------
2
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [ ]
(b) [ ]
------- -----------------------------------------------------------------------
3 SEC USE ONLY
------ ------------------------------------------------------------------------
4 SOURCE OF FUNDS
OO
------- -----------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) or 2(e) [ ]
------- -----------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
BRITISH VIRGIN ISLANDS
------------------- ------ ----------------------------------------------------
NUMBER OF SHARES 7 SOLE VOTING POWER
-0-
------ ----------------------------------------------------
BENEFICIALLY 8 SHARED VOTING POWER
OWNED BY
937,520
------ ----------------------------------------------------
EACH 9 SOLE DISPOSITIVE POWER
REPORTING
-0-
------ ----------------------------------------------------
PERSON 10 SHARED DISPOSITIVE POWER
WITH
937,520
---------- -------- -----------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH
REPORTING PERSON
937,520
---------- -------- -----------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES [ ]
---------- -------- -----------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
4.7%
---------- -------- -----------------------------------------------------------
14 TYPE OF REPORTING PERSON
CO
---------- -------- -----------------------------------------------------------
SCHEDULE 13D
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CUSIP No. 494580 10 3 PAGE 4 OF 10 PAGES
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------- -----------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
APPALOOSA MANAGEMENT L.P.
------- -----------------------------------------------------------------------
2
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [ ]
(b) [ ]
------- -----------------------------------------------------------------------
3 SEC USE ONLY
------- -----------------------------------------------------------------------
4 SOURCE OF FUNDS
OO
------- -----------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) or 2(e) [ ]
------- -----------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
DELAWARE
------------------- ------ ----------------------------------------------------
NUMBER OF SHARES 7 SOLE VOTING POWER
-0-
------ ----------------------------------------------------
BENEFICIALLY 8 SHARED VOTING POWER
OWNED BY
1,983,142
------ ----------------------------------------------------
EACH 9 SOLE DISPOSITIVE POWER
REPORTING
-0-
------ ----------------------------------------------------
PERSON 10 SHARED DISPOSITIVE POWER
WITH
1,983,142
---------- -------- -----------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH
REPORTING PERSON
1,983,142
---------- -------- -----------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES [ ]
---------- -------- -----------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
10.0%(*)
---------- -------- -----------------------------------------------------------
14 TYPE OF REPORTING PERSON
PN
---------- -------- -----------------------------------------------------------
------------------------------
(*) The Reporting Person owns 9.96% of the class represented in Row 11. For
purposes of this cover page, the Reporting Person has rounded off such
percentage to 10% to comply with the Instruction for Cover Page to
Schedule 13D.
SCHEDULE 13D
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CUSIP No. 494580 10 3 PAGE 5 OF 10 PAGES
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------- -----------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
APPALOOSA PARTNERS INC.
------- -----------------------------------------------------------------------
2
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [ ]
(b) [ ]
------- -----------------------------------------------------------------------
3 SEC USE ONLY
------- -----------------------------------------------------------------------
4 SOURCE OF FUNDS
OO
------- -----------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) or 2(e) [ ]
------- -----------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
DELAWARE
------------------- ------ ----------------------------------------------------
NUMBER OF SHARES 7 SOLE VOTING POWER
-0-
------ ----------------------------------------------------
BENEFICIALLY 8 SHARED VOTING POWER
OWNED BY
1,983,142
------ ----------------------------------------------------
EACH 9 SOLE DISPOSITIVE POWER
REPORTING
-0-
------ ----------------------------------------------------
PERSON 10 SHARED DISPOSITIVE POWER
WITH
1,983,142
---------- -------- -----------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH
REPORTING PERSON
1,983,142
--------- -------- ------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES [ ]
---------- -------- -----------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
10.0%(*)
---------- -------- -----------------------------------------------------------
14 TYPE OF REPORTING PERSON
CO
---------- -------- -----------------------------------------------------------
------------------------------
(*) The Reporting Person owns 9.96% of the class represented in Row 11. For
purposes of this cover page, the Reporting Person has rounded off such
percentage to 10% to comply with the Instruction for Cover Page to
Schedule 13D.
SCHEDULE 13D
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CUSIP No. 494580 10 3 PAGE 6 OF 10 PAGES
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------- -----------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
DAVID A. TEPPER
------- -----------------------------------------------------------------------
2
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [ ]
(b) [ ]
------- -----------------------------------------------------------------------
3 SEC USE ONLY
------- -----------------------------------------------------------------------
4 SOURCE OF FUNDS
OO
------- -----------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) or 2(e) [ ]
------- -----------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
UNITED STATES
------------------- ------ ----------------------------------------------------
NUMBER OF SHARES 7 SOLE VOTING POWER
-0-
------ ----------------------------------------------------
BENEFICIALLY 8 SHARED VOTING POWER
OWNED BY
1,983,142
------ ----------------------------------------------------
EACH 9 SOLE DISPOSITIVE POWER
REPORTING
-0-
------ ----------------------------------------------------
PERSON 10 SHARED DISPOSITIVE POWER
WITH
1,983,142
---------- -------- -----------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH
REPORTING PERSON
1,983,142
---------- -------- -----------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11)
EXCLUDES CERTAIN SHARES [ ]
---------- -------- -----------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
10.0%(*)
---------- -------- -----------------------------------------------------------
14 TYPE OF REPORTING PERSON
IN
---------- -------- -----------------------------------------------------------
------------------------------
(*) The Reporting Person owns 9.96% of the class represented in Row 11. For
purposes of this cover page, the Reporting Person has rounded off such
percentage to 10% to comply with the Instruction for Cover Page to
Schedule 13D.
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 13D
Under the Securities Exchange Act of 1934
This Amendment No. 11, filed on behalf of Appaloosa Investment
Limited Partnership I ("AILP"), Palomino Fund Ltd. ("Palomino"), Appaloosa
Management L.P. (the "Manager"), Appaloosa Partners Inc. ("API") and David
A. Tepper ("Mr. Tepper" and, together with AILP, Palomino, the Manager and
API, the "Reporting Persons"), amends and supplements the Schedule 13D
filed on behalf of the Manager, API and Mr. Tepper on April 26, 2001 (as
amended by Amendment No. 1 filed on November 15, 2001, Amendment No. 2
filed on October 23, 2002, Amendment No. 3 filed on April 7, 2003,
Amendment No. 4 filed on August 19, 2003, Amendment No. 5 filed on August
22, 2003, Amendment No. 6 filed on September 8, 2003, Amendment No. 7 filed
on September 18, 2003, Amendment No. 8 filed on September 25, 2003,
Amendment No. 9 filed on October 3, 2003, Amendment No. 10 filed on
December 3, 2003 and Amendment No. 11 filed on December 3, 2003, the
"Schedule 13D"), relating to the common stock, par value $0.25 per share
(the "Common Stock"), of Kindred Healthcare, Inc., a Delaware corporation
(the "Company"). Capitalized terms used but not otherwise defined herein
shall have the meanings ascribed to such terms in the Schedule 13D. The
Schedule 13D is hereby amended and supplemented as follows:
ITEM 4. Purpose of Transaction.
-----------------------
Item 4 is hereby amended to add the following:
The Reporting Persons do not hold the Shares of the Company for
the purpose of, or with the effect of, changing or influencing the control
of the Company, or in connection with or as a participant in any
transaction having that purpose or effect. Accordingly, the Reporting
Persons have determined to report their ownership position in the Company
on Schedule 13G under the Act and will file no further amendments to this
Schedule 13D.
ITEM 5. Interest in Securities of the Issuer
------------------------------------
Item 5 is hereby amended to reflect that, as of the date hereof:
The percentages set forth in this Item 5 are based on there being
17,923,929 shares of Common Stock outstanding as of October 31, 2003 as
disclosed by the Company in its Form 10-Q filed on November 7, 2003 for the
fiscal quarter ended September 30, 2003 and are calculated in accordance
with Rule 13d-3(d) of the Securities Exchange Act of 1934, as amended.
(a) Upon exercise of the New Warrants, AILP would
beneficially own 1,042,747 shares of Common Stock and Palomino would
beneficially own 934,645 shares of Common Stock. Upon exercise of the
vested portion of the non-qualified stock options granted to Mr. Tepper and
Mr. Bolin, a former employee of the Manager, pursuant to the Company's 2001
Stock Option Plan for Non-Employee Directors, AILP would beneficially own
an additional 2,875 shares of Common Stock and Palomino would beneficially
own an additional 2,875 shares of Common Stock. Each of the Manager, API
and Mr. Tepper may be deemed to beneficially own an aggregate of 1,983,142
shares of Common Stock. Therefore, as of the date hereof, the beneficial
ownership of (i) AILP constitutes approximately 5.3% of the issued and
outstanding shares of Common Stock, (ii) Palomino constitutes approximately
4.7% of the issued and outstanding shares of Common Stock and (iii) each of
the Manager, API and Mr. Tepper constitutes approximately 9.96% of the issued
and outstanding shares of Common Stock.
(b) AILP may be deemed to have shared voting and dispositive
power with respect to 1,045,622 shares of Common Stock and Palomino may be
deemed to have shared voting and dispositive power with respect to 937,520
shares of Common Stock. Each of the Manager, API and Mr. Tepper may be
deemed to have shared voting and dispositive power with respect to
1,983,142 shares of Common Stock.
(c) On December 5, 2003, in open market transactions, AILP
sold 258,507 New Warrants and Palomino sold 226,495 New Warrants at an
average price of approximately $22.18 per New Warrant. On December 8,
2003, in open market transactions, AILP sold 5,330 New Warrants and
Palomino sold 4,670 New Warrants at a price of $22.30 per New Warrant.
(d) Not applicable.
(e) Not applicable.
SIGNATURE
After reasonable inquiry and to the best of its knowledge and belief,
each of the undersigned certifies that the information set forth in this
statement is true, complete and correct.
Dated: December 8, 2003
APPALOOSA INVESTMENT LIMITED
PARTNERSHIP I
By: APPALOOSA MANAGEMENT L.P.,
Its General Partner
By: APPALOOSA PARTNERS INC.,
Its General Partner
By: /s/ David A. Tepper
--------------------------------
Name: David A. Tepper
Title: President
PALOMINO FUND LTD.
By: APPALOOSA MANAGEMENT L.P.,
Its Investment Adviser
By: APPALOOSA PARTNERS INC.,
Its General Partner
By: /s/ David A. Tepper
--------------------------------
Name: David A. Tepper
Title: President
APPALOOSA MANAGEMENT L.P.
By: APPALOOSA PARTNERS INC.,
Its General Partner
By: /s/ David A. Tepper
-------------------------------------
Name: David A. Tepper
Title: President
APPALOOSA PARTNERS INC.
By: /s/ David A. Tepper
------------------------------------------
Name: David A. Tepper
Title: President
/s/ David A. Tepper
----------------------------------------------
David A. Tepper