Graymark Healthcare Inc. is closing three sleep diagnostic and therapy centers in Oklahoma and Texas as it moves ahead with plans to trim $2 million in costs this year.
The company disclosed plans to close the three centers on Friday in a filing with the U.S. Securities and Exchange Commission. The filing did not specify which centers Graymark planned to close.
Calls to the company were not returned on Tuesday.
The Oklahoma City-based company is the second-largest provider of sleep diagnostic therapy and services in the nation and had 107 sleep clinics in 10 states at the end of September.
Graymark is closing the three centers because they were not profitable, the company said in the filing.
The company's remaining lease obligations, severance payments and other write-downs are expected to cost Graymark $1.5 million in the first quarter of the year, the company reported.
Lost $2.2M in quarter
In November, Graymark reported a $2.2 million loss in the third quarter of the year.
Revenues from the company's sleep therapy business were down 6 percent from the same period in 2011, in part because of decreased insurance reimbursements for sleep apnea treatments, the company said.
The equity group Oklahoma Health Partners, led by investor Mike Horrell, purchased 1.4 million shares of Graymark stock in November for $650,000. Graymark said it would use that investment for operating expenses while it downsized its operations.
The Nasdaq Stock Market moved to delist Graymark's stock in November for failing to meet the exchange's minimum stock price requirements. The company's stock is trading on the over-the-counter market and closed at 23 cents a share, down two cents or 8 percent on Tuesday.