Alvarez & Marsal Forms Dedicated Turnaround Group for Healthcare Industry.

NEW YORK -- Seasoned Turnaround and Healthcare Specialists Bring Operational, Financial and Turnaround Management Expertise to Serve the Needs of the Healthcare Industry

As the healthcare industry tackles an ongoing period of dramatic change, Alvarez & Marsal, a global professional services firm, announced it has formed a dedicated Healthcare Industry Group, comprised of senior executives who have an established track record of serving the needs of healthcare industry clients. The group works with management, boards of directors and stakeholders to improve the performance of healthcare organizations across the full continuum of care, from providers to payors and suppliers.

"Since 1983, A&M has specialized in delivering turnaround, restructuring and interim management services to improve the operational and financial performance of companies across many industry sectors, including healthcare," said Bryan Marsal, co-CEO of A&M. "We've now decided to put our skills to work and serve the broader healthcare industry with a dedicated team of experienced "A" players who have previously led operations and served in management or advisory roles in academic medical centers, investor-owned and not-for-profit service providers, durable medical equipment manufacturers and life-sciences companies."

Under the direction of A&M managing director Guy Sansone, the new Healthcare Industry Group offers a diverse range of capabilities - from helping CEOs and CFOs to develop and implement operational and financial performance plans to working with boards of directors and stakeholders during turnaround and crisis situations. Services include: turnaround consulting and interim management; crisis and restructuring management; operational performance improvement; organizational assessment and realignment; core business strategy and execution; financial, clinical and business process improvement; mergers, acquisitions, divestitures and integrations; and special investigations and forensic accounting.

Mr. Sansone recently served as interim chief financial officer of HealthSouth during A&M's successful turnaround and restructuring of the nation's largest commercial outpatient rehab provider. For the past six years at A&M, he has served in leadership and turnaround roles on many of the firm's most high-profile engagements, including investor-owned healthcare providers and life sciences entities. Mr. Sansone's advisory assignments have included serving as the restructuring officer of Integrated Health Systems, a 400-facility provider of skilled nursing services, and serving as interim president and chief executive officer of Rotech Healthcare, one of the nation's largest providers of home medical care respiratory equipment for the elderly.

Joining A&M's Healthcare Industry Group as a managing director is Scott Phillips, who brings more than 25 years of healthcare industry management and consulting experience. He focuses on serving hospitals and health systems, with a deep base of experience with academic medical centers and not-for-profit acute care providers. Prior to joining A&M in 2004, he served as the president and chief executive officer of a 636 bed academic medical center, chief operating officer of a private health sciences university, and president and chief executive officer of a community hospital that owned and operated a 600 resident continuing care retirement community.

Also part of the senior team, A&M managing director Martin Winter is a specialist in government investigations, forensic accounting, business plan reviews and creditor advisory, with experience across a wide range of client types in the healthcare industry. Over the course of his career, Mr. Winter has led direct settlement negotiations with the US Department of Justice - Civil Frauds Division, settlement negotiations with the Center for Medicare & Medicaid Services (CMS), meetings with the SEC New York regional office on compliance and civil fraud matters, depositions with the US Attorney's office - Southern District of New York and testimony in connection with securities arbitration, among other complex matters.

"The healthcare industry is going through a transformation, and organizations are wrestling with many complex challenges resulting from a confluence of factors," said Mr. Sansone. "These include an increased preference for the delivery of post-acute care on an outpatient basis, an aging population, reimbursement pressures, public policy shifts and increased risk - all of which are straining resources, impacting bottom lines and affecting operations. Increasingly, boards and management are recognizing the need to apply a more intense focus on the implementation of operational and financial plans. They're looking to professionals who not only can provide a fresh perspective, but who also have the experience and hands-on approach to help organizations quickly and effectively implement change."

A&M's professional experience and notable healthcare assignments have included: HealthSouth Corporation, Monitor and Bradford Teaching Hospital/NHS Foundation Trust (U.K.), Robert Wood Johnson Health Network, Integrated Health Services, Inc., Republic Health Corporation (ORDNA), Magellan Health Services, Inc., Rotech Healthcare, St. Francis Medical Center, Affiliated Medical Enterprises, Healthcare International, Inc., Allegheny Health, Education and Research Foundation, Charter Behavioral Health System, LLC, Charter Medical Corporation, Hahnemann University and Hospital, Glenbeigh, Inc., Strategic Optical Holdings, Inc. (WISE) and Sun Healthcare Group, among others.

Alvarez & Marsal

Alvarez & Marsal is a leading global professional services firm with expertise in guiding companies and public sector entities through complex financial, operational and organizational challenges. Employing a unique hands-on approach, the firm works closely with clients to improve performance, identify and resolve problems and unlock value for stakeholders. Founded in 1983, Alvarez & Marsal draws on a strong operational heritage in providing services including turnaround management consulting, crisis and interim management, performance improvement, creditor advisory, financial advisory, dispute analysis and forensics, tax advisory, real estate advisory and business consulting. A network of nearly 400 seasoned professionals in locations across the US, Europe, Asia and Latin America, enables the firm to deliver on its proven reputation for leadership, problem solving and value creation. For more information, visit www.alvarezandmarsal.com. Contact: Chief Marketing Officer Rebecca Baker at [phone], or e-mail [e-mail].