UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 13D
Under the Securities Exchange Act of 1934
(Amendment No. 5)*
KINDRED HEALTHCARE, INC.
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(Name of Issuer)
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Common Stock, par value $0.25 per share
(Title of Class of Securities)
494580 10 3
----------------------------
(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 Person
Authorized to Receive Notices and Communications)
August 20, 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 (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
----------------------- -----------------------
------- ------------------------------------------------------- ---------------
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
2,135,076
------ ----------------------------------------------------
EACH 9 SOLE DISPOSITIVE POWER
REPORTING
-0-
------ ----------------------------------------------------
PERSON 10 SHARED DISPOSITIVE POWER
WITH
2,135,076
------------------- ------ ----------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH
REPORTING PERSON
2,135,076
---------- -------- -----------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES [ ]
---------- -------- -----------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
10.5%
---------- -------- -----------------------------------------------------------
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
1,892,068
------ ----------------------------------------------------
EACH 9 SOLE DISPOSITIVE POWER
REPORTING
-0-
------ ----------------------------------------------------
PERSON 10 SHARED DISPOSITIVE POWER
WITH
1,892,068
---------- -------- -----------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH
REPORTING PERSON
1,892,068
---------- -------- -----------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES [ ]
---------- -------- -----------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
9.3%
---------- -------- -----------------------------------------------------------
14 TYPE OF REPORTING PERSON
CO
---------- -------- -----------------------------------------------------------
SCHEDULE 13D
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CUSIP No. 494580 10 3 Page 4 of 10 Pages
----------------------- -----------------------
------- ------------------------------------------------------- ---------------
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
4,027,144
------ ----------------------------------------------------
EACH 9 SOLE DISPOSITIVE POWER
REPORTING
-0-
------ ----------------------------------------------------
PERSON 10 SHARED DISPOSITIVE POWER
WITH
4,027,144
---------- -------- -----------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH\
REPORTING PERSON
4,027,144
---------- -------- -----------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES [ ]
---------- -------- -----------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
19.8%
---------- -------- -----------------------------------------------------------
14 TYPE OF REPORTING PERSON
PN
---------- -------- -----------------------------------------------------------
SCHEDULE 13D
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CUSIP No. 494580 10 3 Page 5 of 10 Pages
----------------------- -----------------------
------- -----------------------------------------------------------------------
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
4,027,144
------ ----------------------------------------------------
EACH 9 SOLE DISPOSITIVE POWER
REPORTING
-0-
------ ----------------------------------------------------
PERSON 10 SHARED DISPOSITIVE POWER
WITH
4,027,144
---------- -------- -----------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH
REPORTING PERSON
4,027,144
--------- -------- ------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES [ ]
---------- -------- -----------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
19.8%
---------- -------- -----------------------------------------------------------
14 TYPE OF REPORTING PERSON
CO
---------- -------- -----------------------------------------------------------
SCHEDULE 13D
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CUSIP No. 494580 10 3 Page 6 of 10 Pages
----------------------- -----------------------
------- ------------------------------------------------------- ---------------
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
USA
------------------- ------ ----------------------------------------------------
NUMBER OF SHARES 7 SOLE VOTING POWER
-0-
------ ----------------------------------------------------
BENEFICIALLY 8 SHARED VOTING POWER
OWNED BY
4,027,144
------ ----------------------------------------------------
EACH 9 SOLE DISPOSITIVE POWER
REPORTING
-0-
------ ----------------------------------------------------
PERSON 10 SHARED DISPOSITIVE POWER
WITH
4,027,144
---------- -------- -----------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH
REPORTING PERSON
4,027,144
---------- -------- -----------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11)
EXCLUDES CERTAIN SHARES [ ]
---------- -------- -----------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
19.8%
---------- -------- -----------------------------------------------------------
14 TYPE OF REPORTING PERSON
IN
---------- -------- -----------------------------------------------------------
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 13D
Under the Securities Exchange Act of 1934
This Amendment No. 5, 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 and
Amendment No. 4 filed on August 19, 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 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
17,862,454 shares of Common Stock outstanding as of July 31, 2003 as
disclosed by the Company in its Form 10-Q filed on August 13, 2003 for the
fiscal quarter ended June 30, 2003 and are calculated in accordance with
Rule 13d-3(d) of the Securities Exchange Act of 1934, as amended.
(a) AILP is the beneficial owner of 799,500 shares of Common
Stock and Palomino is the beneficial owner of 700,500 shares of Common
Stock. In addition, (i) upon exercise of the New Warrants, AILP would
beneficially own an additional 1,332,701 shares of Common Stock and
Palomino would beneficially own an additional 1,188,693 shares of Common
Stock and (ii) 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 4,027,144 shares of Common Stock.
Therefore, as of the date hereof, the beneficial ownership of (i) AILP
constitutes approximately 10.5% of the issued and outstanding shares of
Common Stock, (ii) Palomino constitutes approximately 9.3% of the issued
and outstanding shares of Common Stock and (iii) each of the Manager, API
and Mr. Tepper constitutes approximately 19.8% of the issued and
outstanding shares of Common Stock.
(b) AILP may be deemed to have shared voting and dispositive
power with respect to 2,135,076 shares of Common Stock and Palomino may be
deemed to have shared voting and dispositive power with respect to
1,892,068 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
4,027,144 shares of Common Stock.
(c) On August 20, 2003, AILP sold 148,334 shares of Common Stock
in open market transactions at an average price of approximately $30.77 per
share and Palomino sold 129,966 shares of Common Stock in open market
transactions at an average price of approximately $30.73 per share. On
August 21, 2003, AILP sold 22,653 shares of Common Stock and Palomino sold
19,847 shares of Common Stock in open market transactions at a price of
$31.64 per share. On August 22, 2003, AILP sold 95,848 shares of Common
Stock and Palomino sold 83,980 shares of Common Stock in open market
transactions at a price of $32.95 per share.
(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: August 22, 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