Community Health Systems Announces Execution of Agreement to Affiliate with Longview, Texas, Multi-Speciality Clinic

Published on Tuesday, 31 January 2012 08:40 Written by TradersHuddle Staff

FRANKLIN, Tenn.-( Business Wire )-

Community Health Systems, Inc. (NYSE: CYH) announced today that a subsidiary of the Company has entered into an agreement to merge operations with Diagnostic Clinic of Longview, P.A., a multi-specialty clinic serving residents of Longview, Texas, and the surrounding region. Diagnostic Clinic of Longview is one of the largest multi-specialty practices in East Texas with more than 100 physicians, approximately 30 mid-level providers and 500 other employees providing quality patient care in 18 locations. After the transaction is completed, the physicians of Diagnostic Clinic of Longview will be employed by a separate entity in accordance with Texas law. The transaction is subject to normal closing conditions and is expected to be completed over the next few months.

The agreement will create the foundation for a new integrated healthcare delivery system with Longview Regional Medical Center, which is owned by a separate subsidiary of Community Health Systems, Inc.

Commenting on today’s announcement, Wayne T. Smith, chairman, president and chief executive officer of Community Health Systems, Inc., said, “Longview Regional Medical Center and Diagnostic Clinic of Longview have worked together for more than thirty years to increase access to comprehensive, high-quality healthcare services for residents of their community. The formation of this network of providers is a progressive strategy that will enhance clinical collaboration, create a more coordinated patient experience across the continuum of care, advance operational objectives for the hospital and the practice, and bring immense benefit to the entire community. We look forward to working with the leadership, physicians, mid-level providers, and employees of this highly regarded practice.”

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 Relations:W. Larry Cash, 615-465-7000Executive Vice President and Chief Financial OfficerorMedia Relations:Tomi Galin, 615-628-6607Vice President, Corporate Communications