National Medical Enterprises in changing times

National Medical Enterprises (NME) is a diversified healthcare company with interests in acute care hospitals, nursing homes, psychiatric hospitals, substance abuse treatment centers, rehabilitation hospitals, home healthcare, durable medical equipment outlets, and a variety of other healthcare-related enterprises. The second largest of the nation's four major investor-owned healthcare companies, NME had fiscal 1986 net revenues of $3.0 billion. Adopting the industry's new orthodoxy, the company moved into the health plans business in 1984 and continued to vigorously expand its acute care hospital base. After troubles emerged late in 1985, the company swiftly changed course, selling off acute care hospitals and certain health plans.