13D Filing: Brigade Capital and Kindred Healthcare Inc (KND)

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Item 5. Interest in Securities of the Issuer

Item 5 of the Schedule 13D is hereby amended
by deleting it in its entirety and substituting the following in lieu thereof:

(a) As of March 23, 2018, Brigade beneficially
owns 6,891,602 shares of Common Stock, of which 5,884,031 shares of Common Stock are owned by LCS, 922,571 shares of Common Stock
are owned by DSTR and 85,000 shares of Common Stock are owned by EQTY, representing approximately 7.54% in the aggregate, and 6.44%,
1.01% and 0.09% by LCS, DSTR and EQTY, respectively, of the issued and outstanding shares of Common Stock as of January 31, 2018,
as set forth in the Issuer’s most recent Form 10-K filed March 1, 2018.

(b) Brigade, as the investment manager of LCS,
DSTR and EQTY, has the shared power to vote and dispose of the 6,891,602 shares of Common Stock described in the Amendment.

(c) Schedule I annexed hereto lists all transactions
in the securities of the Issuer by the Reporting Persons since March 21, 2018, the filing date of Amendment No. 3. All such transactions
were effected in the open market. Except as described in this Amendment No. 4, during the period from March 21, 2018 through and
including March 23, 2018, there were no other purchases or sales of Common Stock, or securities convertible into or exchangeable
for Common Stock, by the Reporting Persons or any person or entity for which the Reporting Persons possess voting or dispositive
control over the securities thereof.

(d) To the knowledge of the Reporting Persons,
no other person named or incorporated by reference in Item 2 of the Schedule 13D has the right to receive or the power to direct
the receipt of dividends from, or the proceeds from the sale of, shares of Common Stock.

(e) Not applicable.

Item 7. Material to be Filed as Exhibits

Exhibit A: Joint Filing Agreement, dated as
of March 26, 2018

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