Community Health Systems, Inc. · NYSE:CYH
Community Health Systems — Merger or Acquisition (August 2015)
12 slides from Community Health Systems's merger presentation, Aug 3, 2015
Slide 1: Proposed Spin-Off of Quorum Health Corporation
Proposed Spin-Off of Quorum Health Corporation August 2015 Exhibit 99.2
Slide 2: Forward-Looking Statements
Forward-Looking Statements 2 Certain statements contained in this presentation may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements include, but are not limited to, statements regarding the expected timing of the com
Slide 3: Spin-Off Transaction Overview
Spin-Off Transaction Overview 3 Spinning off a group of 38 hospitals and Quorum Health Resources, a leading hospital management and consulting business (collectively, “Quorum Health”) 2014 Revenue of $2.1 billion (1) 2014 Adjusted EBITDA of ~$255 million (1) Transaction intended to qualify as a tax-
Slide 4: Creates Two Focused Companies Executing Two Distinct Business Strategies
Creates Two Focused Companies Executing Two Distinct Business Strategies 4 Enhance focus on larger markets Invest in and further strengthen regional healthcare networks Improve EBITDA margins Focus on cities and counties with populations of 50,000 or less Streamline management structure Direct acces
Slide 5: Quorum Health's Two Complementary Businesses
Quorum Health’s Two Complementary Businesses 5 38 Hospitals; 16 states; 3,635 licensed beds Sole hospital provider in 84% of markets 74% of hospitals named Top Performers on Key Quality Measures by the Joint Commission 7 states with $100m or more in revenue Owns 32 of 38 hospitals Provides managemen
Slide 6: Attractive, Geographically Diversified Portfolio
Attractive, Geographically Diversified Portfolio 6 38 Hospitals across 16 states with 3,635 licensed beds Williamston Jackson Louisa Paintsville Sunbury Lock Haven Massillon Hamlet Lexington Monroe Winder Centre Blue Ridge Ft. Payne McKenzie Augusta Anna Marion Mt. Vernon Red Bud Granite City Waukeg
Slide 7: Poised for Success
Poised for Success 7 Strong Market Presence – sole hospital provider in 84% of markets Geographically diversified – 38 hospitals across 16 states Emphasis on Quality of Care – 28 hospitals (74%) named Top Performers on Key Quality Measures by Joint Commission Develop facility-specific operating and
Slide 8: Experienced Leadership Team
Experienced Leadership Team 8 Independent executive management team dedicated to Quorum Health Executive management will consist of current CHS executives with experience and knowledge of the industry, markets and facilities These executives, along with other executives, will be named when the Form-
Slide 9: Pro Forma CHS Better Positioned to Execute Growth Strategy
Pro Forma CHS Better Positioned to Execute Growth Strategy 9 160 hospitals across 22 states with 27,700 licensed beds Sole hospital provider in approximately 60% of markets 12 of 22 states generate over $500 million of revenues Combined, these states contributed 84% of total revenues in 2014 Enhance
Slide 10: Process Overview
Process Overview 10 Quorum Health intends to file initial Form 10 information statement with the SEC before the end of the third quarter of 2015 Target completion in the first quarter of 2016 Distribution of Quorum Health common shares via a special distribution to CHS stockholders Following the dis
Slide 11: o ‘Community
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Slide 12: Non-GAAP Financial Measures
Non-GAAP Financial Measures 12 EBITDA is a non-GAAP financial measure which consists of net income attributable to Quorum Health Corporation, before interest, income taxes, and depreciation and amortization. Adjusted EBITDA is EBITDA adjusted to exclude impairment of long-lived assets, net income at
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