Print Page | Close Window

HANGER, INC. filed this Form 8-K on 08/09/2017
Entire Document


Item 2.02                                           Results of Operations and Financial Condition.


On May 12, 2017, Hanger, Inc. (the “Company”) filed its Annual Report on Form 10-K with the Securities and Exchange Commission (the “SEC”) for the year ended December 31, 2014 (the “2014 Form 10-K”), which included financial statements for the full year of 2014, restated financial statements for 2012, 2013 and the first two quarters of 2014, and restated unaudited information for 2010 and 2011. Due to the various accounting issues, material weaknesses in its internal controls over financial reporting and related matters discussed in the 2014 Form 10-K, the Company has been delayed in its financial filings with the SEC.


The Company has not yet filed financial statements for the first, second and third quarters of 2015, the full year ended December 31, 2015, the first, second and third quarters of 2016, the full year ended December 31, 2016 and the first and second quarters of 2017. The Company is currently preparing its 2015 and 2016 financial statements and certain related financial data, and has commenced the audit process for those years. The Company believes its prior reconstruction, reconciliation and correction of the accounting records and ledgers supporting the preparation of its 2014 consolidated financial statements, along with its formal clarification and documentation of its updated and revised accounting policies, will reduce the time necessary for the completion of its 2015 and 2016 financial accounting and reporting processes compared to the 2012, 2013 and 2014 years encompassed in the 2014 Form 10-K. Nevertheless, due to the existing material weaknesses in its internal controls over financial reporting, it will be necessary for the Company to prepare, review and undertake substantive testing and confirmation of its financial accounting, and these activities will cause an extended timetable for the completion of its 2015 and 2016 financial statements. Accordingly, the Company intends to prepare and complete its consolidated financial statements for 2015 and 2016, and file its Annual Report on Form 10-K for the year ended December 31, 2016 (the “2016 Form 10-K”) containing those financial statements, as expeditiously as possible, and currently believes that absent unforeseen issues or circumstances, it can do so prior to February 15, 2018.


Cash Flow Data


Due to the continuing activities described above, the Company is not yet able to provide preliminary balance sheet or income statement data for the financial periods for which it has not yet provided financial statements or reports. The Company believes, however, that it has sufficient information from which to provide the following preliminary estimates of certain cash flow data for the periods set forth below.


The preliminary estimated amounts provided below are based on information currently available, which the Company believes is reasonable. However, the amounts remain subject to material change at such time as the Company files its financial statements and reports covering the periods set forth below, and there can be no assurance that these numbers will remain as disclosed herein in the financial statements and reports that the Company files with the SEC. Such changes, if they occur, may include re-classification of amounts between cash flow statement line items.