Pacific Health Care Case Analysis

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• The Business
 The Company:
1. Ownership: A couple of the leaders at the Pacific Health Care Company include the new controller, Tim Brighton, and the CFO, Amanda Mathews. The Company these two work for is a non-profit organization and they “provide needed health care services.”
2. Strategies: The Company uses a line of credit system with the regional bank for $500,000, but the economy seems to be causing this credit to be insufficient for Pacific’s needs. One of the requirements of the bank is that the Health Care Company checks their line at least twice a year in order for the bank to be provided with the latest financial statements. Amanda has the idea, to help deal with the repercussions of the recession, to slightly modify the financial statements. She believes these modifications will help rebuild their operating and financial position positively. Pacific Health Care is hoping to receive a $750,000 grant in the next 120 to 150 days from a national health care organization; this is the modification that Amanda is looking into. Mathews has discussed the idea with Tim, but he is still unsure on whether or not to pursue it.
3. Operations: Pacific Health Care has the main goal of providing health care services to low income residents. The Company provides a high level of service and they are well-received by the community they reside in. The way Pacific achieves revenues is by having 80% come from contracts with the city and the
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