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Diversicare Canada Management Services is a wholly owned subsidiary of Advocat Inc. headquartered in Franklin, Tennessee.

Advocat owns and manages 64 nursing homes with more than 7,230 beds in 12 states primarily in the southeastern US, Ontario, BC, Alberta and Nova Scotia. It also owns or manages 56 assisted living centres with 5,472 units. Fourteen of the nursing homes and 21 assisted living facilities are in Canada.

Gross profits for Advocat at the end of fiscal year December 1999 were US$3.9 million.

Advocat fell below the listing standards of the Toronto Stock Exchange in early 2000 and voluntarily de-listed from the TSE in May 2000. It was de-listed from the New York Stock Exchange in September 1999.

Advocat has had some difficulty remaining certified in the United States with both Medicare (government health insurance for the elderly) and Medicaid (government health insurance for the poor). During 1997 two of the companys facilities in Alabama were de-certified as a result of certain deficiencies, one for 69 days and the other for 91 days. In 1998 one facility was decertified in Arkansas from both Medicare and Medicaid.

In directly owned facilities Advocat is largely a non-union company with only 510 of 5,150 employees unionized. Of these 320 are Canadian employees. In facilities that Advocat manages there are 3,160 employees. Of these 2,130 are unionized and in Canada.