Sale of Riverview Regional Medical Center Announced

Riverview Regional Medical Center announced today an agreement for the sale of substantially all of the assets of the 281-bed hospital and its related outpatient services to
a subsidiary of Prime Healthcare Services, LLC.
The purchase agreement includes a commitment from Prime to continue the
employment of all employees who satisfy Primes employment
requirements. There will be no change or modification to the current
privileges for physicians on the medical staff.
During the first three years following the transaction close, Prime will
fund at least $15 million in capital expenditures at the hospital to fund
equipment, development of new services, physician recruitment and other
capital improvements.
The agreement includes a commitment to operate as a general acute care
hospital with an open and accessible emergency room for a period of at
least five years following the transaction close.
Riverview will be divested by a subsidiary of Community Health Systems to
fulfill requirements set by the Federal Trade Commission during the
acquisition of Health Management Associates.
The transaction is subject to customary regulatory approvals, including
approval by the Federal Trade Commission. Until the transaction is
complete, current ownership will remain in place. Financial terms of the
transaction have not been disclosed.