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LifeCare Holdings, Inc. Announces Third Quarter Results
Date:11/13/2009

sented may not be comparable to similarly titled measures of other companies. Credit Agreement EBITDA may not be indicative of historical operating results, and we do not mean for it to be predictive of future results of operations or cash flows. For the trailing 12-month period ended September 30, 2009, Credit Agreement EBITDA was $52.0 million.

LifeCare, based in Plano, Texas, operates 19 long-term acute care hospitals located in nine states. Long-term acute care hospitals specialize in the treatment of medically complex patients who typically require extended hospitalization. For more information on LifeCare, visit our website at www.lifecare-hospitals.com.

    Schedule 1
    Condensed Consolidated Statements of Operations
    For the Three Months Ended September 30, 2008 and 2009
    (In thousands)
    (Unaudited)


                                                                          %
                                                      2008     2009    Change
                                                      ----     ----    ------
    Net patient service revenue                     $82,394  $84,261      2.3%
                                                    -------  -------      ---

    Expenses:
      Salaries, wages and benefits                   40,520   39,978     -1.3%
      Supplies                                        8,353    8,269     -1.0%
      Rent                                            6,331    6,021     -4.9%
      Other operating expense                        19,902   20,447      2.7%
      Provision for doubtful accounts                   151    1,103    630.5%
      Gain on early extinguishment of debt                -     (558)      NM
      Depreciation and amortization                   3,018    2,724     -9.7%
      Interest expense, net                           9,209    7,613    -17.3%
                                                      -----    -----    -----
                              
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SOURCE LifeCare Holdings, Inc.
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