Premier Inc. Promotes Susan DeVore to New Position of Chief Operating Officer.

SAN DIEGO -- The Premier Inc. healthcare alliance has promoted Susan DeVore to the new position of chief operating officer, effective immediately, President and Chief Executive Officer Richard A. Norling announced today.

In her new role, DeVore will lead the continued integration of the offerings of Premier's three operating units - Premier Purchasing Partners, LP; Healthcare Informatics; and Premier Insurance Management Services, Inc.

One such recently launched offering is Service Line Solutions, which is designed to accelerate performance in clinical areas of the hospital that have the greatest impact on the bottom line. Service Line Solutions allows hospitals to simultaneously improve financial margin, operating efficiencies, clinical outcomes, and physician engagement and draws upon resources from each of Premier's business units.

Prior to serving as COO for Premier Inc., DeVore was president of Premier Purchasing Partners, which provides group purchasing and supply chain services to Premier's member hospitals and other providers.

Michael Alkire has been named as the new president of Purchasing Partners, of which he was previously COO.

"We have been on a journey for the past several years to create powerful new ways to help our members accelerate their clinical and financial performance," Norling said. "In her new role, Susan will focus on accelerating the pace at which we operationalize solutions that leverage the best of Premier's unique capabilities. With these moves, our alliance is positioned to go places no other organization has the capabilities to go."

As president of Purchasing Partners since August 2003, DeVore worked with her team to develop and implement a three-year Transformation Plan designed to dramatically increase returns to the alliance's shareholders - approximately 200 not-for-profit hospitals and healthcare systems. Purchasing Partners accomplished the goals of the plan within two years. Since DeVore's arrival, Premier has delivered $760 million in cash distributions to its members.

During the same period, Premier moved into the top place in the industry among group purchasing organizations as the value of supplies purchased through its contracts increased from $17 billion to $25 billion.

DeVore has been named to Modern Healthcare's list of the 100 Most Powerful People in Healthcare and to the magazine's list of the Top 25 Women in Healthcare.

Reporting to DeVore are Alkire; Stephanie Alexander, senior vice president in charge of Healthcare Informatics; and Robert Dowdy, president of Premier Insurance Management Services, all members of Premier's Executive Team. The other members of the Executive Team will continue to report directly to Norling. They include Jena Abernathy, senior vice president of Human Resources and Administration; Larry Grandia, chief technology officer; and Ann Rhoads, chief financial officer.

"It truly is an honor to be a part of an organization that has such a strong team, such a depth of resources and is so uniquely positioned to make a real difference in our nation's healthcare system," DeVore said. "I look forward to this new challenge."

Doug Hawthorne, president and CEO of Texas Health Resources and chairman of Premier's Board of Directors, said Norling made the right choice in creating the role of COO and naming DeVore to it. Norling's role as president and CEO will remain unchanged, Hawthorne said.

"Rick has a gift for knowing what needs to happen next in healthcare and what Premier must do to best serve its members," Hawthorne said. "Susan is the right person at the right time to help Rick move our alliance to the next level and Mike is well prepared to continue the impressive gains made by the Purchasing Partners team. These moves position our alliance for the future."

Before joining Premier, DeVore spent more than 17 years with Cap Gemini Ernst & Young (CGEY) as a senior healthcare industry management practice leader and member of the executive committee for the North American consulting organization. She led high-growth, high-tech, manufacturing and other business units of CGEY, giving her a broad understanding of supply chain solutions across industries. DeVore spent four years in hospital finance in Charlotte, NC. She is based in Premier's Charlotte office.

About Premier Inc.

Premier Inc. helps hospitals accelerate performance on both clinical outcomes and supply chain costs. Premier is a healthcare alliance entirely owned by more than 200 of the nation's leading not-for-profit hospitals and healthcare systems. These organizations operate or are affiliated with nearly 1,500 hospitals and more than 38,500 other healthcare sites. Premier provides an array of resources supporting health services delivery, including clinical and operational comparative data applications for quality/safety performance improvement, group purchasing and supply chain services, and insurance programs. Headquartered in San Diego, CA, Premier has offices in Charlotte, NC, and Washington, DC. For more information, visit www.premierinc.com.