Nov. 3--Tenet Healthcare Corp. lost money in the third quarter, but still boosted year-end projections.

For the three months ended Sept. 30, Dallas-based Tenet lost $3 million, or 1 cent per share, compared to a net income of $104 million, or 22 cents per share, during the third quarter of 2008.

Wall Street analysts surveyed by Thomson Reuters expected a loss of 2 cents per share.

During the quarter Tenet had $18 million in after-tax penalties, or 4 cents per share, in part because it:

--lost $5 million from discontinued operations

--got rid of $16 million in pre-tax debt before it matured

--had $3 million in pre-tax legal costs

After Tenet adjusted its earnings to exclude certain charges, it said it earned $240 million, a 50 percent increase from $160 million in third quarter 2008.

In his reaction to the quarter, Tenet CEO Trevor Fetter focused on the adjusted earnings rather than the losses.

"Strong revenue growth, excellent cost control, and robust growth in our outpatient business were more than sufficient to offset an adverse shift in payer mix," Fetter said.

By year's end, Tenet expects an adjusted income of $925 million to $975 million, up from $900 million to $950 million.

Tenet traded slightly higher during the Tuesday lunch hour, selling for $5.37 a share, up from $5.30 a share.

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