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QUORUM HEALTH GROUP, INC. REPORTS RECORD REVENUE FOR FIRST QUARTER

 NASHVILLE, Tenn., Nov. 17 /PRNewswire/ -- Quorum Health Group, Inc. announced today operating results for the first quarter, ended Sept. 30, including record revenue and earnings.
 Net operating revenue for the quarter totaled $90,585,000, an increase of 11 percent compared with revenue of $81,319,000 during the first quarter last year. Quorum's four owned hospitals accounted for $61,538,000 of net revenue, or 68 percent. Net revenue from management services, which includes contract management and consulting, was $29,047,000.
 The results for the quarter do not include the financial contribution of 10 acute care hospitals which were acquired by an affiliate of Quorum on Sept. 30, from Charter Medical Corporation.
 For the quarter, earnings before interest expense, minority ownership interest, income taxes, depreciation and amortization (EBITDA) were $15,601,000, an increase of 27 percent from the same period a year ago, when EBITDA was $12,244,000. The EBITDA total includes $9,690,000 from owned hospitals and $5,911,000 from management services. Net income rose 42 percent to $4,393,000, compared with $3,084,000 in the same quarter a year ago.
 Primary earnings per share were $.10 for the quarter, compared with $.09 a year ago. Fully diluted earnings per share were $.09, up from $.08 in the comparable period last year. For the quarter, the company had a weighted average of 43,540,000 primary shares outstanding and 48,599,000 fully diluted shares, compared with 34,741,000 and 39,710,000 respectively for the prior year's quarter.
 "Quorum experienced a strong quarter both financially and operationally," said James E. Dalton Jr., president and chief executive officer. "Hospital admissions at Quorum's four owned hospitals rose almost 4 percent and net patient revenue increased 12 percent during the quarter. On the contract management side, we maintained a high retention rate while continuing to add new contracts."
 In addition to the hospital acquisitions from Charter, Quorum announced on Sept. 13, that it had signed a letter of intent under which an affiliate of Quorum will purchase 346-bed Baptist Memorial Hospital in Gadsden, Ala. The transaction, which is expected to be finalized by Nov. 30, will bring Quorum's total number of licensed hospital beds to 2,808.
 During the first quarter of the fiscal year the company placed private equity with investors in the amount of $58 million. This sum, along with the expansion of the company's credit line to $300 million and existing cash, made possible the acquisition of the Charter hospitals.
 "The quarter just ended was Quorum's most active to date in terms of hospital acquisitions," said Dalton. "We intend to continue to selectively seek opportunities to expand our owned hospital business, while we aggressively market all segments of our management services business."
 Quorum Health Group, Inc. is a privately held firm that owns and operates acute care hospitals. Quorum Health Resources, Inc., a subsidiary, is the nation's largest hospital management company, with client hospitals throughout the United States.
 -0- 11/17/93
 /CONTACT: Mike Wiley, 615-340-5735, or Sandy Anthony, 615-340-5737, both of Quorum Health Group/


CO: Quorum Health Group, Inc. ST: Tennessee IN: HEA SU: ERN

BR-TG -- AT005 -- 5380 11/17/93 10:36 EST
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Date:Nov 17, 1993
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