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The Ensign Group Acquires California Skilled Nursing Facility
Date:1/5/2009

SAN LUIS OBISPO, Calif., Jan. 5 /PRNewswire-FirstCall/ -- The Ensign Group, Inc. (Nasdaq: ENSG), announced today that it has acquired Cabrillo Care Center, a 156-bed skilled nursing facility in San Luis Obispo, California. The transfer was effective January 1, 2009. The facility has been renamed Cabrillo Rehabilitation & Care Center.

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"We are excited to extend our growing footprint into California's Central Coast area, and are especially pleased to be joining San Luis Obispo's vibrant and well-regarded healthcare community," said Christopher Christensen, Ensign's President and Chief Executive Officer. He added that Ensign expects the newly-acquired facility, which had an occupancy rate of 58% at acquisition, to be accretive to earnings in 2009.

An Ensign operating subsidiary assumed the property's existing lease from a long-time operator who is retiring. John Albrechtsen, President of the Ensign subsidiary that will include Cabrillo, noted that the facility has an outstanding history of clinical quality, a stable long-term staff and an excellent reputation in the community. "We are pleased that the former operator would entrust his legacy of excellence to us, and we expect to grow and enhance that legacy as a key part of the San Luis Obispo community going forward," he added.

A multi-disciplinary transition team took over the operation in the early morning hours New Year's Eve. Among other things, the facility's local leaders will be adjusting clinical systems and staff to serve a larger skilled nursing population. Renovations and other building improvements are also planned.

Mr. Christensen reconfirmed that the company is activ
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SOURCE The Ensign Group, Inc.
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