Emory Hospitals An Overview Emory University Hospital n

Emory Hospitals An Overview Emory University Hospital n Emory Crawford Long Hospital n Wesley Woods Hospital/Center “more than a hospital” n Robert J. Bachman , Chief Operating Officer, EUH Mark Aycock, Chief Financial Officer, Emory Hospitals

Emory Hospitals - An Overview Beginnings n Current Configuration n Leadership (Management) n Services n Operational Statistics n

Emory University Hospital Beginnings/Current Configuration Chartered in 1904/Opened as Wesley Memorial Hospital in 1905 n Moved to Emory campus in 1920 s n Currently n n n Licensed to operate 579 beds Actual: 360 Med/Surg Beds 82 ICU Beds (new 20 bed NICU open in 1/07) 52 Rehab Beds (38 in use) 20 Psych Beds (18 in use)

Emory Hospitals – Leaderhsip EUH: Robert J. Bachman, COO Mark Aycock, CFO Susan Grant, R. N. , CNO, EHC Ira Horowitz, M. D. , CMO Nathan Spell, M. D. , CQO ECLH: Albert Blackwelder, COO James Steinberg, CMO Richard Gitomer, M. D. , CQO WW: Peter Basler, COO Joseph Ouslander, M. D. , CMO n

Emory Healthcare System Leadership For EHs John T. Fox, President/CEO n James Hatcher, CFO n Susan Grant, R. N. , CNO n William Bornstein, M. D. , Ph. D. , CQO n

Emory University Hospital 12, 000 surgeries (300 transplants) 700 Heart surgeries/ 28, 000 ED visits (>28% of pts admitted) 494 - Adjusted Average Daily Census 27, 500 – Adjusted Admissions 2, 700 FTEs (3, 300 employees) ALOS – 6. 4 days CMI – 2. 15

Emory University Hospital Services Cardiology/Cardiovascular Surgery n Oncology – WCI n Neurology/Neuro. Surgery n Transplantation n Orthopaedics n The Rollins Pavilion n No OB/No Pediatrics - CHOA n

Emory University Hospital Organizational Chart President & Chief Executive Officer EMORY HEALTHCARE John T. Fox Chief Quality Officer, Emory Healthcare/Chief Medical Officer, Emory Hospitals William A. Bornstein , MD, Ph. D Infection Control EHC Information Systems’ Medical Director Medical Staff Office Risk Management Office Medical Staff Chief Medical Officer Ira Horowitz, MD Chief Operating Officer — EUH Senior Associate Administrator Emory Hospitals Robert J. Bachman Development Pathology & Laboratory Services Pharmacy Imaging Services Transplant Services Hospital Auxiliary Associate Medical Director Donald C. Davis, MD, Ph. D Associate Administrator Chief Operating Officer Emory Hospitals CRM, Mental Health Services, & Wesley Woods Chief Human Resources Officer Emory Healthcare Margaret A. Bloomquist , SPHR Chief Financial Officer Emory Healthcare James T. Hatcher , CPA Associate Administrator Emory Hospitals Chief Nursing Officer Emory Healthcare David E. Pugh Susan M. Grant, MS, RN, Associate Administrator Emory Hospitals Toni F. Wimby, CHE CNAA Peter A. Basler, Jr. Center for Rehabilitation Medicine Hospital Rehabilitation Services Mental Health Services Education & Learning Services Employee Health Services • Workers’ Compensation Educational Information & Media Services • Medical Library EHC Service Performance Associate Administrator Emory Hospitals Barbara E. Hargett, RN Clinical Performance Improvement Regulatory/Accreditation Assistant Administrator Emory Hospitals Larry F. Hodges, CHE Human Resources Chief Quality Officer Nathan Spell, MD Source: Administration, Emory Hospitals Materials Management • Purchasing Social Services • Clinical Resource Management Value Analysis Chief Financial Officer Emory Hospitals Mark A. Aycock Financial Services • Accounts Payable • Decision Support • Financial Planning • General Accounting • Payroll Management Engineering Medical Records Patient Accounts • Admissions • Audit Coordinators • Business Office Gambro Medical Services & Patient Services Information Systems Nursing Systems Integration & Maternity Services Oncology Services Perioperative & Endoscopic Services Support Systems General Surgery & Transplant Services Surgical Specialties/Community Services Geriatric Nursing Services Anesthesiology Services Facility Planning & Development Facility Services • Environmental Services • Laundry • Facilities Management • Property Management • Public Safety • Safety Medical Engineering Telecommunications Emergency Services Assistant Administrator Emory Hospitals Jane Vosloh, RN GID Operating Room PACU Ambulatory Surgery Sterile Processing Same Day Surgery Pre Admit Testing Food & Nutrition Services Guest & Volunteer Services Neurodiagnostics Testing Pastoral Services Respiratory Care Services • Electrocardiography • Pulmonary Function • Respiratory Therapy Assistant Administrator Emory Hospitals M. June Connor, RN Cardiac Services • EP • Cardiac Cath Lab • Heart Failure Program Cardiac Nursing Services Updated September 2006

Emory Crawford Long Hospital Licensed for 511 beds – 420 beds in service Emergency Room - 50, 000 visits/year 14, 000 surgeries (IP & OP) – 1, 100 cardiac OB - 4, 200 births/year “Open Medical Staff” Long Term Acute Care Hospital CMI – 1. 6 FTEs – 2300 Adjusted FTEs per AOB – 4. 8 Adjusted Admissions – 33, 000/year ALOS – 5 days

Emory Crawford Long Hospital Organizational Chart President & Chief Executive Officer EMORY HEALTHCARE John T. Fox Chief Quality Officer, Emory Healthcare/Chief Medical Officer, Emory Hospitals William A. Bornstein , MD, Ph. D Chief Operating Officer — ECLH Senior Associate Administrator Emory Hospitals Albert K. Blackwelder, FACHE Medical Staff Cardiothoracic Research Lab Development Infection Control EHC Information Systems’ Medical Director Chief Medical Officer James P. Steinberg, MD Medical Staff Office Risk Management Office Associate Medical Director James K. Bennett, MD Hospital Auxiliary Associate Medical Director William M. Mc. Kinnon, MD Associate Administrator Chief Operating Officer Emory Hospitals CRM, Mental Health Services, & Wesley Woods Chief Human Resources Officer Emory Healthcare Margaret A. Bloomquist , SPHR Chief Financial Officer Emory Healthcare James T. Hatcher , CPA Chief Nursing Officer Emory Healthcare Susan M. Grant, MS, RN, Associate Administrator Emory Hospitals Toni F. Wimby, CHE Associate Administrator Emory Hospitals David E. Pugh CNAA Peter A. Basler, Jr. Hospital Rehabilitation Services LTAC Education & Learning Services Employee Health Services • Workers’ Compensation Educational Information & Media Services • Medical Library EHC Service Performance Associate Administrator Emory Hospitals Barbara E. Hargett, RN Clinical Performance Improvement Regulatory/Accreditation Chief Quality Officer Richard Gitomer, MD Assistant Administrator Emory Hospitals Larry F. Hodges, CHE Human Resources Source: Administration, Emory Hospitals Financial Services • Accounts Payable • Decision Support • Financial Planning • General Accounting • Payroll Materials Management • Purchasing Social Services • Clinical Resource Management Value Analysis Chief Financial Officer Emory Hospitals Mark A. Aycock Management Engineering Medical Records Patient Accounts • Admissions • Audit Coordinators • Business Office Gambro Medical Services & Patient Services Information Systems Nursing Systems Integration & Maternity Services Oncology Services Perioperative & Endoscopic Services Support Systems General Surgery & Transplant Services Surgical Specialties/Community Services Geriatric Nursing Services Emergency Services Assistant Administrator Emory Hospitals Jane Vosloh, RN GID Bronchoscopy Operating Room PACU Ambulatory Surgery Sterile Processing Same Day Surgery Pre Admit Testing Food & Nutrition Services Guest & Volunteer Services Neurodiagnostics Testing Pastoral Services Respiratory Care Services • Electrocardiography • Pulmonary Function • Respiratory Therapy Anesthesiology Services Facility Planning & Development Facility Services • Environmental Services • Laundry • Facilities Management • Property Management • Public Safety • Safety Medical Engineering Telecommunications Assistant Administrator Emory Hospitals M. June Connor, RN Cardiac Services • EP • Cardiac Cath Lab • Heart Failure Program Cardiac Nursing Services Updated September 2006

Wesley Woods Hospital 100 Geriatric Hospital Long Term Acute Care Hospital No ED/OR/ICU “Continuum of Care” Budd Terace

Wesley Woods Center Organizational Chart CEO, Woodruff Health Sciences Center & Chairman of the Board, EHC Chairman of the Board, WWC Michael M. E. Johns, MD President & Chief Executive Officer EMORY HEALTHCARE John T. Fox Chief Operating Officer Wesley Woods Center Peter A. Basler, Jr. Chief Medical Officer Wesley Woods Center Joseph G. Ouslander, MD Pastoral Services Director Elwood H. Spackman Development Rehabilitation Services Mental Health Services Medical Director Assistant Administrator Emory Hospitals Barbara E. Hargett, RN Long Term Care Long Term Acute Care Hospital Frank W. Brown, MD Infection Control EHC Information Systems’ Medical Director Medical Staff Office Risk Management Office Medical Director Wesley Woods Hospital Chief Quality Officer, Emory Healthcare/Chief Medical Officer, Emory Hospitals William A. Bornstein , MD, Ph. D Clinical Performance Improvement Regulatory/Accreditation Jeff Lesesne, MD Gerry Staton, MD Director of Quality, Wesley Woods Center Vicki Davis Associate Administrator Chief Human Resources Officer Emory Hospitals Margaret A. Bloomquist , SPHR Education & Learning Services Employee Health Services • Workers’ Compensation Educational Information & Media Services • Medical Library EHC Service Performance Associate Administrator Chief Financial Officer Emory Hospitals James T. Hatcher , CPA Materials Management • Purchasing Social Services • Clinical Resource Management Value Analysis Assistant Administrator Emory Hospitals Larry F. Hodges, CHE Human Resources Assistant Administrator Emory Hospitals Mark A. Aycock Financial Services • Accounts Payable • Decision Support • Financial Planning • General Accounting • Payroll Management Engineering Medical Records Patient Accounts • Admissions • Audit Coordinators • Business Office Chief Nursing Officer Emory Healthcare Susan M. Grant, MS, RN, CNAA Wesley Woods, Inc. CEO Ken Weber Medical Services & Patient Services Information Systems Geriatric Nursing Services Budd Terrace Administrator Janice Langford SOURCE Director Jennifer Schuck Health Center Administrator & WWC Assoc. Administrator William J. Such Wesley Woods Clinic Administrator Jo. Ann Croley Director of Nursing Wesley Woods Center Becky Provine, RN Wesley Woods LTAC* Administrator William J. Such *Wesley Woods Long Term Acute Hospital (LTAC) is a separate corporate entity with a management agreement with Wesley Woods Center Source: Administration, Emory Hospitals Updated September 2006

Emory Hospitals FY 07 Budget n Total Operating Revenues of $1. 025 billion from $2. 1 billion in billings o o o Emory University Hospital $586 million (57%) Emory Crawford Long Hospital $384 million (38%) Wesley Woods Center $55 million (5%) Total Operating Expenses of $957 million n Operating Income of $68 million or 6. 6% n

Cardiology Services Market Share – 2004 Emory Hospitals combined = 15%

Orthopaedics and Spine Services Market Share – 2004 Emory Hospitals combined = 8%

Oncology Services Market Share – 2004 Emory Hospitals combined = 16%

Neuroscience Services Market Share – 2004 Emory Hospitals combined = 14%

Emory University Hospital FY 2007 Payer Mix Information

Emory Crawford Long Hospital FY 2007 Payer Mix Information

Wesley Woods Hospital FY 2007 Payer Mix Information

Emory Crawford Long Hospital FY 2007 Expense Information ($957 M)

Emory Hospitals Cash Flow FY 2007 Cash Generated from Operations: $105 million n LESS: n Debt Principal Payments Capital Expenditures Clifton Road Development WHSCAB & SOM Funding $30 million $37 million $12 million $34 million Funding Total $113 million This is our biggest financial challenge as a health science center.

Medical Education Hospital, via billing from GME office, reimburses SOM for residents in accredited programs q Hospital is then partially reimbursed for this expense from the Medicare program through the filing of an annual cost report q Medicare has capped Emory Hospitals resident FTEs at 356 q Tightly regulated area, particularly on accounting for residents time and the location where they are working q

Research The hospitals have a standard rate of 35% of charges for research (was 40% in FY 2006) q Hospital rates change each September and a new listing of charges is provided to the Clinical Trials Office for download into the Siteminder System q Upfront identification of research patients is a must if proper hospital billing is to occur q Research revenues are budgeted at $1. 5 million for FY 07 (0. 1% of hospital revenues) q

Emory Hospitals: An Overview n. Q U E S T I O N S

Emory Healthcare Organizational Chart CEO, Woodruff Health Sciences Center & Chairman of the Board, EHC Michael M. E. Johns, MD Chief of Staff Gary L. Teal, MBA President and Chief Executive Officer John T. Fox Chief Quality Officer William A. Bornstein, MD, Ph. D Chief Compliance Officer Anne Adams, JD President & CEO, Emory Children’s Center Barbara J. Stoll, MD Senior Director, Managed Care S. Patrick Hammond Chief Information Officer Dedra Cantrell Senior Director, Marketing Una H. Newman Associate Administrator Debra Bloom, APR Chief Human Resources Officer Margaret A. Bloomquist Director, The Emory Clinic Wright Caughman, MD Chief Operating Officer, The Emory Clinic Donald I. Brunn Senior Director, Risk & Insurance Svcs. Shulamith Klein Chief Operating Officer, Emory University Hospital Robert J. Bachman Chief Operating Officer, Wesley Woods Center Pete A. Basler, Jr. Chief Operating Officer, Emory Crawford Long Hospital Albert K. Blackwelder Chief Financial Officer, Emory Healthcare James T. Hatcher, CPA Chief Nursing Officer, Emory Healthcare Susan M. Grant, RN, MS, CNAA-BC Executive Director, Emory Center for Pastoral Services Elwood H. Spackman, M. Div. Source: Emory Healthcare, Office of the President and Chief Executive Officer Updated October 2006