LTC Properties, Inc. (NYSE:LTC) Q3 2023 Earnings Call Transcript

Clint Malin: The real story for Prestige is building back census and improving operations. So, what we have done is we have afforded them the ability to have a lower current pay while they are doing that. And in addition to our participation in the retroactive Medicaid payments in exchange for implementing the current rate that LTC will be participating in 50% of the excess cash flow beginning January 1, 2025. And that amount that – if it materializes, will just be added into our letter of credit to provide more security, if there is accrued interest, that will be money available to pay down accrued interest. So, that was the – it was giving them a runway of effectively 2.5 years as we are guiding to getting full contractual interest through that timeframe. We are giving them a 2.5-year runway to make improvement in operations and improve margins.

Michael Carroll: Okay. Great. Thank you.

Clint Malin: Thank you.

Operator: We had reached the end of the question-and-answer session, and I will now turn the call over to Wendy for closing remarks.

Wendy Simpson: Thank you everyone. We really appreciate the time you take to listen to our comments and we appreciate your questions to help us clarify those comments. I look forward to talking to you after the end of the year. Have a great rest of your 2023 and a great weekend. Talk to you soon. Bye-bye.

Operator: This concludes today’s conference and you may disconnect your lines at this time. Thank you for your participation.