Community Health Systems to Acquire Phoenixville, Pennsylvania Hospital from the University of Pennsylvania Health System.

BRENTWOOD, Tenn. -- Community Health Systems, Inc. (NYSE:CYH) announced today the execution of a definitive agreement to acquire Phoenixville Hospital, a 143-bed acute general hospital owned and operated by the University of Pennsylvania Health System. Phoenixville is located approximately 30 miles west of Philadelphia and 35 miles east of Reading, Pennsylvania. The acquisition is subject to federal and state regulatory approvals and is expected to close as soon as practicable after the approvals are obtained. The acquisition includes a 95,000 square foot medical complex in nearby Limerick, which houses an ambulatory surgical facility, an imaging center, and medical office space.

"Phoenixville Hospital represents the archetype for our acquisition model," said Wayne T. Smith, chairman, president and chief executive officer of Community Health Systems, Inc. "With the area's population growth trend and a need for enhanced services in the local community, we believe this will be a win-win acquisition. The affiliation with the University of Pennsylvania Health System, which began in 1997, will continue in a modified form but provides a strong growth and quality platform on which we can build. We look forward to working with the dedicated employees and licensed professionals in Phoenixville and to forming strong alliances with the community foundation and the University."

Located in the Nashville, Tennessee, suburb of Brentwood, Community Health Systems is a leading operator of general acute care hospitals in non-urban communities throughout the country. Through its subsidiaries, the Company currently owns, leases or operates 72 hospitals in 22 states. Its hospitals offer a broad range of inpatient and outpatient medical and surgical services. Shares in Community Health Systems, Inc. are traded on the New York Stock Exchange under the symbol "CYH."

Statements contained in this news release are forward-looking statements that involve risks 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, specifically the most recent filings which identify important risk factors that could cause actual results to differ from those contained in the forward-looking statements, including execution of our growth, acquisition, and business strategies. These and other applicable risks are summarized under the caption "risk factors" in the Company's Securities and Exchange Commission filings.