Vanderbilt University Medical Center to Continue Relationship with Premier Inc.

SAN DIEGO -- Following a thorough evaluation, Vanderbilt University Medical Center, a leader in medical education, research and patient care in the Southeast and the nation, will continue its ownership position with the Premier Inc. alliance of nearly 1,500 not-for-profit hospitals.

"Maintaining a relationship with an alliance that offers a comprehensive set of services and capabilities was important in our evaluation process," said Larry M. Goldberg, M.H.A., executive director and chief executive officer of Vanderbilt University Hospital. "We evaluated a number of group purchasing organizations and found that Premier continues to provide the right value for our supply chain needs."

"Premier has demonstrated its leadership by offering a comprehensive purchasing portfolio, advanced technology, supply chain consultation, advocacy, and clinical performance improvement services," Goldberg said. "This is a partnership that has delivered significant benefits and one we continue to value."

One of more than 200 of the nation's leading hospital and healthcare systems that own Premier Inc., Vanderbilt University Medical Center has been an owner since 1996, and prior to that was an original member of the Sun Alliance, which became SunHealth, one of the three organizations which merged to form Premier Inc.

"Vanderbilt is one of the leading academic medical centers in the country. We are pleased they have validated that Premier is the best alliance to meet their financial and strategic objectives," said Richard A. Norling, CEO, Premier Inc. "We look forward to helping Vanderbilt meet its ongoing group purchasing and performance improvement goals."

About Vanderbilt University Medical Center (VUMC)

Vanderbilt University Medical Center has earned a reputation as a national leader in patient care, education, and research. Vanderbilt University Hospital and The Vanderbilt Clinic consistently rank among the premier healthcare facilities in the U.S. VUMC is ranked among the foremost programs in the nation by U.S. News & World Report and as one of "America's Best Hospitals" in nine of 12 major services ranked. Child magazine ranks the Monroe Carell Jr. Children's Hospital one of the 10 best children's hospitals and in the top 10 for pediatric cancer care in the nation. Constructed in 2004, the freestanding hospital is filled with the latest, state-of-the-art equipment and information systems and offers a variety of accommodations to help fulfill its mission of family-centered care. The VUMC research enterprise has seen extraordinary growth. From 2000-2004, the compound annual growth rate in NIH grant awards was 20.4 percent, the fastest growth of all U.S academic medical centers, and the school of medicine ranked 15th overall (out of 123 medical schools) in NIH funding in 2004.

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, Chicago, and Washington, DC. For more information, visit www.premierinc.com.