Community Health Systems Announces Termination of Agreement to Acquire Roswell, New Mexico Hospital

Published on Wednesday, 11 January 2012 07:07 Written by TradersHuddle Staff

FRANKLIN, Tenn.-( Business Wire )-

Community Health Systems, Inc. (NYSE: CYH) announced today that a subsidiary of the Company has terminated its agreement to acquire substantially all of the assets of 26-bed Roswell Regional Hospital in Roswell, New Mexico. A separate subsidiary currently owns 162-bed Eastern New Mexico Medical Center, which is also located in Roswell. Following the Company’s initial announcement of the proposed acquisition, which would have reduced the Roswell market from two competing hospitals to a single integrated healthcare network, the Federal Trade Commission launched a review of the transaction. The Company’s subsidiary terminated the transaction after the FTC recently advised that it would be continuing its review, which would extend beyond the agreed upon timeframe for closing the transaction.

Located in the Nashville, Tennessee, suburb of Franklin, Community Health Systems, Inc. is one of the largest publicly-traded hospital companies in the United States and a leading operator of general acute care hospitals in non-urban and mid-size markets throughout the country. Through its subsidiaries, the Company currently owns, leases or operates 133 hospitals in 29 states with an aggregate of approximately 20,000 licensed beds. Its hospitals offer a broad range of inpatient and surgical services, outpatient treatment and skilled nursing care. In addition, through its subsidiary, Quorum Health Resources, LLC, the Company provides management and consulting services to non-affiliated general acute care hospitals located throughout the United States. Shares in Community Health Systems, Inc. are traded on the New York Stock Exchange under the symbol “CYH.”

Forward-Looking Statements

Statements contained in this news release regarding expected operating results, acquisition transactions or divestitures and other events are forward-looking statements that involve risk and uncertainties. Actual future events or results may differ materially from these statements. Readers are referred to the documents filed by Community Health Systems, Inc. with the Securities and Exchange Commission, including the Company’s annual report on Form 10-K, current reports on Form 8-K and quarterly reports on Form 10-Q. These filings identify important risk factors and other uncertainties that could cause actual results to differ from those contained in the forward-looking statements. The Company undertakes no obligation to revise or update any forward-looking statements, or to make any other forward-looking statements, whether as a result of new information, future events or otherwise.

Community Health Systems, Inc.Investor Contact:W. Larry Cash, 615-465-7000Executive Vice Presidentand Chief Financial OfficerorMedia Contact:Tomi Galin, 615-628-6607Vice President, Corporate Communications