This excerpt taken from the SSY 8-K filed Dec 5, 2006.
TO FOCUS ON EXISTING BUSINESS PLAN
Atlanta, December 5, 2006 SunLink Health Systems, Inc. (AMEX:SSY) today announced that its Board of Directors has determined to focus the Companys strategic efforts on continued improvement in its existing hospital portfolio and pursuing additional hospital acquisitions. In connection with such announcement the Company also announced that its Board of Directors and North Atlantic Value LLP have mutually decided to terminate discussions concerning North Atlantics conditional proposal to acquire SunLink. The Board determined that, at the current time, a transaction with North Atlantic could not likely be concluded at a price which represents SunLinks true value and thus would not be in the best interest of SunLinks shareholders.
A spokesman for the Board stated: The business plan that the Company has adopted is sound and is working and is believed capable of delivering greater shareholder value than other alternatives considered. Although we believe it was in the best interests of the Companys shareholders to consider strategic alternatives which might enhance shareholder value and provide additional liquidity to our shareholders, we believe the better alternative at this time is to focus on executing SunLinks existing business plan.
The spokesman for the Board continued: Through our existing business plan SunLink is committed to enhancing shareholder value, while maintaining the highest standards of responsibility to our employees and patients and the communities we serve.