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LHP Hospital Group, Inc. and the Seton Family of Hospitals Enter Joint Venture to Build Seton Medical Center Harker Heights

(Killeen, Harker Heights, Plano, and Austin, Texas- December 19, 2010) - LHP Hospital Group, Inc. (LHP) and the Seton Family of Hospitals (Seton), the leading provider of healthcare services in Central Texas, today announced the formation of a healthcare joint venture to construct Seton Medical Center Harker Heights in Harker Heights, Bell County, Texas. The approximately $100 million, 180,400 square foot, 83-bed hospital is slated to open in the third quarter of 2012. Groundbreaking is scheduled for the first quarter of 2011.

“Incredible growth in Bell and the surrounding counties and the overwhelming desire in the local community to have a choice in healthcare providers were two of the factors that drove our decision to partner with LHP Hospital Group in this venture,” said Charles J. Barnett, president and CEO of the Seton Family of Hospitals. “We share with LHP a culture that emphasizes person-centered care and quality services, so this is a comfortable fit for Seton.”

Seton Medical Center Harker Heights will be located on the south side of the highway at 860 West Central Texas Expressway, between Knights Way and East Stan Schlueter Loop, just east of the Rosewood Retirement Center.
The hospitals campus will also feature a 60,000-square-foot medical office building being developed by Rendina Companies, one of the nation’s largest full-service healthcare real estate development firms, in joint ownership with the many physicians who will occupy the building. Services provided in the office building will include family practice, internal medicine, cardiology, general surgery, orthopedic surgery, neurosurgery, plastic surgery, obstetrics and gynecology, gastroenterology, otolaryngology, nephrology, neurology, oncology, rheumatology and urology.

The joint venture’s governing board will have equal representation from LHP and Seton, and a local Board of Trustees composed of physicians and community leaders who will oversee day-to-day operating decisions.

“We are proud to join Seton in building this new hospital to serve the health care needs of Bell County and the surrounding area,” Dan Moen, LHP CEO, said. “The hospital will feature a full-service emergency department plus acute-care services including women’s services, obstetrics, cardiology, surgery, oncology, neurosurgery, orthopedics, imaging and diagnostic services, general medical and surgical services, and intensive and critical care.”

Jeffery Kroll, MD, president of the King’s Daughters Clinic, stated, “All of us at King’s Daughters Clinic are very excited about the association of LHP and Seton. Our commitment stands as strong as ever to offer the highest quality of health care with respect and dignity for each person. The presence of a brand new, state-of-the-art hospital for our patients that require advanced hospital care is most welcome news. We look forward to continued cooperation with LHP and Seton to bring a choice in health care to the people of Bell and surrounding counties.” "

Charles Day, MD, president of Killeen Investment Partners, commented, “Support for this project is overwhelming among local private practitioners. LHP has involved the medical community since the project’s inception, and we look forward to continued participation after construction is complete. Quality medical care will be enhanced for our patients by having a choice of possible options.”

Joan Howell, chairperson of local advocacy group Citizens Against the Health Care Monopoly added, “Our coalition welcomes both the choice in healthcare services that Seton Medical Center Harker Heights brings to Central Texas as well as the medical employment opportunities. It is the right thing to do."

About LHP Hospital Group, Inc.
LHP Hospital Group, Inc. (LHP) is a privately held company established to provide essential capital and expertise to not-for-profit hospitals and hospital systems. In cooperation with local hospitals, LHP forms joint ventures to acquire, own, operate and manage acute care facilities in small cities and select urban markets throughout the United States. Headquartered in Plano, Texas, LHP is owned by affiliates of private equity firm CCMP Capital Advisors, LLC and the CPP Investment Board as well as members of management and the board of directors. For more information, please go to www.lhphospitalgroup.com.

About the Seton Family of Hospitals
The Seton Family of Hospitals is the leading provider of comprehensive, advanced health care services in Central Texas. As a growing center for medical research and education, Seton is bringing world-class medicine to the region, which is increasing access to care and, in turn, securing its mission to improve the health of all Central Texans, especially the poor and the vulnerable. In Fiscal Year 2009, Seton provided almost a quarter of a billion dollars in charity care.
The Seton Family is affiliated with the University of Texas Southwestern Medical Center in Dallas, consistently ranked as one of the top 20 medical schools in the nation.

Seton’s 24 clinical locations include five major medical centers, two community hospitals, two rural hospitals, an inpatient mental health hospital, three primary care clinics for the uninsured, and several strategically located health facilities that provide medical care for well patients. The system includes the only Level I Trauma Centers for adult and pediatric patients and the only heart transplant center in Austin serving Central Texas, and the first two Designated Stroke Centers in Texas to receive a Gold Seal of Approval from The Joint Commission.
Seton hospitals have earned four Magnet designations, the highest award for nursing excellence given by the American Nurses Credentialing Center.
Seton is a member of Ascension Health, the largest not-for-profit health network in the nation. www.seton.net

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