Universal Health Services, Inc. Reports 2007 Fourth Quarter and Full Year Earnings and 200...(and cost report settlements net of...),Health

net of income taxes 3,419 0.07 (10,059) (0.18)

Favorable tax reserve

adjustment (2,079) (0.04) (2,900) (0.05)

Reserve for legal judgment and

lawsuit, net of income taxes 2,307 0.04 6,273 0.11

Write-down of investment in

joint-venture, net of income

taxes 1,612 0.03 - -

W&M Funding - - 4,466 0.08

Subtotal after-tax adjustments to

income from continuing

operations (6,076) (0.11) (102,128) (1.77)

Adjusted income from

continuing operations $164,443 $3.07 $157,466 $2.80

Calculation of Adjusted

Net Income

Net income $170,387 $3.18 $259,458 $4.56

After-tax adjustments to

income from continuing

operations, as indicated

above (6,076) (0.11) (102,128) (1.77)

Adjusted net income $164,311 $3.07 $157,330 $2.79

Universal Health Services, Inc.

Condensed Consolidated Balance Sheets

(in thousands)

December 31, December 31,

2007 2006

Assets:

Cash and cash equivalents $16,354 $14,939

Accounts receivable, net 627,186 595,009

Other current assets 131,307 118,558

Property, plant and equipment, net 1,933,916 1,685,085

Other assets 899,894 863,451

Total Assets $3,608,657 $3,277,042

Liabilities and Stockholders' Eq
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