HealthSouth Announces Plans to Build Rehabilitation Hospital in Ocala, Florida

Press Release

OCALA, Fla., Dec. 10, 2010 /PRNewswire/ — HealthSouth Corporation (NYSE: HLS) today announced that it has received notification of the state’s preliminary approval of its certificate of need (CON) application to open a new inpatient rehabilitation hospital in Ocala, Fla. The 40-bed hospital will enable residents in Marion County to have enhanced access to high-quality, cost-effective inpatient rehabilitative healthcare services.

Construction on the 49,900-square foot hospital is expected to begin in the fourth quarter of 2011 unless the decision is challenged in the timeframe allotted by state law. The proposed state-of-the-art rehabilitation hospital will include 40 all-private rooms, a spacious, on-site therapy gym and cutting-edge rehabilitation technologies. The development of Ocala Rehabilitation Hospital of Marion County, LLC represents a $21 million investment in the community and once fully operational, is expected to generate approximately 112 new, full-time jobs.

“The new hospital will ensure that residents have appropriate and reasonable access to the latest rehabilitative treatment and technology in a hospital setting,” said Linda Wilder, president of HealthSouth’s Southeast region. “Currently citizens in the area have access to a nursing home level of rehabilitation services and we look forward to adding this hospital specialty to the strong network of other healthcare services in the area.”

With 81,000 residents over the age of 65, Marion County is the largest county in Florida that currently doesn’t have access to inpatient rehabilitation—a number that is expected to grow at a rate of 18 percent, faster than any other county in Florida. There is limited access to inpatient rehabilitative services in the area. While residents have access to long-term acute care, skilled nursing facilities and home health, they currently have to drive to Leesburg or Gainesville for inpatient rehabilitation services.

HealthSouth’s application, approved by the Florida Agency for Health Care Administration (AHCA) on Dec. 10, 2010, was comparatively reviewed with an application for a 20-bed rehabilitation unit submitted by West Marion Community Hospital, which was denied.

HealthSouth currently operates nine inpatient rehabilitation hospitals and one long-term acute care hospital (LTCH) in Florida.

About HealthSouth

HealthSouth is the nation’s largest provider of inpatient rehabilitative healthcare services. Operating in 26 states across the country and in Puerto Rico, HealthSouth serves patients through its network of inpatient rehabilitation hospitals, long-term acute care hospitals, outpatient rehabilitation satellite clinics and home health agencies. HealthSouth’s hospitals provide a higher level of rehabilitative care to patients who are recovering from conditions such as stroke and other neurological disorders, orthopedic, cardiac and pulmonary conditions, brain and spinal cord injury, and amputations. HealthSouth can be found on the Web at

Statements contained in this press release which are not historical facts are forward-looking statements. In addition, HealthSouth, through its senior management, may from time to time make forward-looking public statements concerning the matters described herein. All such estimates, projections, and forward-looking information speak only as of the date hereof, and HealthSouth undertakes no duty to publicly update or revise such forward-looking information, whether as a result of new information, future events, or otherwise. Such forward-looking statements are necessarily estimates based upon current information and involve a number of risks and uncertainties. Actual results may differ materially from the results anticipated in these forward-looking statements as a result of a variety of factors. While it is impossible to identify all such factors, factors which could cause actual results to differ materially from those estimated by HealthSouth include, but are not limited to, any adverse outcome of various lawsuits, claims, and legal or regulatory proceedings that may be brought against it; significant changes in HealthSouth’s management team; changes, delays in (including in connection with resolution of Medicare payment reviews or appeals), or suspension of reimbursement for HealthSouth’s services by governmental or private payors; changes in the regulation of the healthcare industry at either or both of the federal and state levels; competitive pressures in the healthcare industry and HealthSouth’s response thereto; general conditions in the local or national economy and capital markets; and other factors which may be identified from time to time in HealthSouth’s SEC filings and other public announcements, including HealthSouth’s Form 10K for the year ended December 31, 2009 and Form 10-Q for the quarters ended June 30, 2010 and March 31, 2010.

Media Contact

Casey Lassiter, 205-969-6176

Investor Relations Contact

Mary Ann Arico, 205-969-6175

SOURCE HealthSouth Corporation