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GALEN HEALTH CARE ANNOUNCES THIRD QUARTER RESULTS

 LOUISVILLE, Ky., June 15 /PRNewswire/ -- Galen Health Care, Inc. (NYSE: GHC) reported net income from hospital operations of $73 million or $.46 per share for the three months ended May 31, 1993, compared to $78 million or $.50 per share for the same period last year. This is the first quarter in which Galen has operated independently since completion of the spin-off transaction with Humana Inc. (NYSE: HUM) on March 1, 1993.
 Hospital revenues for the fiscal third quarter totaled $992 million, down 3 percent from last year. Pretax income declined to $116 million from $123 million a year ago, primarily as a result of a decline in non- discounted admissions.
 Same-hospital admissions were approximately the same as the third quarter a year ago. "Our efforts to attract new business have produced some positive results in a very short period of time since the spin-off, but there is still much to be done," remarked Carl F. Pollard, Galen Chairman and Chief Executive Officer. Same-hospital admissions had declined in each of the previous four quarters compared to the same periods of the prior year.
 Net income for last year's third quarter also includes a loss from discontinued health plan operations of $3 million or $.02 per share.
 For the nine months ended May 31, 1993, net income from hospital operations was $199 million or $1.25 per share, compared to $233 million or $1.47 per share last year (excluding income of $51 million or $.32 per share from a change in accounting for income taxes). Hospital revenues for the first nine months of fiscal 1993 declined 4 percent to $3 billion.
 Net income for the nine month period also includes income from the discontinued health plan business of $25 million or $.16 per share compared to $4 million or $.03 per share for the same period of 1992.
 On June 10, 1993, the company announced its intention to merge with Columbia Hospital Corporation (NASDAQ: CHOS) in a tax free stock-for- stock transaction that would create one of the nation's largest healthcare providers. A shareholder meeting to vote on the transaction is planned for September 1993.
 Galen, based in Louisville, Ky., owns and operates 73 acute-care hospitals containing 16,485 licensed beds located in 19 states and two foreign countries.
 Summary of consolidated operating results for the three months ended May 31:
 1993 1992
 Continuing operations (hospitals):
 Revenues $ 992,000,000 $1,027,000,000
 Income before income taxes 116,000,000 123,000,000
 Net income (loss):
 Continuing operations (hospitals) $ 73,000,000 $ 78,000,000
 Discontinued operations (health plans) - (3,000,000)
 Net income $ 73,000,000 $ 75,000,000
 Earnings (loss) per common share:
 Continuing operations (hospitals) $ 0.46 $ 0.50
 Discontinued operations (health plans) - (0.02)
 Net income $ 0.46 $ 0.48
 Average common shares outstanding 159,257,045 158,514,913
 For the nine months ended May 31:
 1993 1992
 Continuing operations (hospitals):
 Revenues $2,967,000,000 $3,095,000,000
 Income before income taxes 313,000,000 364,000,000
 Net income:
 Continuing operations (hospitals) $ 199,000,000 $ 233,000,000
 Discontinued operations (health plans) 25,000,000 4,000,000
 Cumulative effect on prior years of a
 change in accounting for income taxes - 51,000,000
 Net income $ 224,000,000 $ 288,000,000
 Earnings per common share:
 Continuing operations (hospitals) $ 1.25 $ 1.47
 Discontinued operations (health plans) 0.16 0.03
 Cumulative effect on prior years of a
 change in accounting for income taxes - 0.32
 Net income $ 1.41 $ 1.82
 Average common shares outstanding 158,961,809 158,445,007
 -0- 6/15/93
 /CONTACT: Richard A. Lechleiter of Galen Health Care, 502-572-2143/
 (GLN HUM CHOS)


CO: Galen Health Care, Inc. ST: Kentucky IN: HEA SU: ERN

CM -- CH003 -- 2013 06/15/93 10:08 EDT
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Date:Jun 15, 1993
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