2011-08-01T17:30:55-05:00 2010-09-30 DIXON HUGHES GOODMAN LLP 500 Ridgefield Court Asheville NC 28806 990 2009-10-01 570359174 ANMED HEALTH ANME 8645121000 800 NORTH FANT STREET ANDERSON SC 29621 JERRY A PARRISH 8645121000 2011-07-27 1 Amy Bibby 8282542254 2009 2016-02-24 21:20:13Z JOHN A MILLER JR 800 NORTH FANT STREET ANDERSON SC 29621 470480434 0 X WWW.ANMEDHEALTH.ORG X 1906 SC OPERATION OF A HEALTHCARE SYSTEM INCLUDING A WIDE RANGE OF MEDICAL SERVICES 16 10 3646 185 2924661 738776 1035836 1465793 431062763 450524762 -18827358 11676693 6025159 6675776 419296400 470343024 21500 55000 0 181359273 181145447 0 0 251459050 275125478 432839823 456325925 -13543423 14017099 659885460 663280486 359757921 356984628 300127539 306295858 THE MISSION OF ANMED HEALTH IS TO PASSIONATELY BLEND THE ART OF CARING WITH THE SCIENCE OF MEDICINE TO OPTIMIZE THE HEALTH OF OUR PATIENTS, STAFF AND COMMUNITY. 0 0 426746984 55000 447772046 ANMED HEALTH IS A HEALTHCARE SYSTEM PROVIDING A FULL RANGE OF ACUTE CARE SERVICES FOR MEDICAL, SURGICAL, PEDIATRIC, OBSTETRIC, PSYCHIATRIC, SUBSTANCE ABUSE AND REHABILITATION PATIENTS, AS WELL AS SPECIALIZED CARE IN ITS INTENSIVE CARE AND CORONARY CARE UNITS. TO SUPPORT THESE INPATIENT SERVICES, ANMED HEALTH OFFERS A NORMAL COMPLEMENT OF DIAGNOSTIC AND ANCILLARY SERVICES. TWO SEPARATELY LICENSED FACILITIES ARE OPERATED BY ANMED HEALTH: (1) ANMED HEALTH MEDICAL CENTER IS A 461-BED FACILITY THAT OFFERS THE LATEST IN MEDICAL AND SURGICAL SERVICES. A MEDICAL STAFF OF OVER 400 PHYSICIANS PROVIDES HIGH QUALITY CARE TO THE PATIENTS AT THE MEDICAL CENTER. OPEN HEART SURGERY, VASCULAR SURGERY, GENERAL SURGERY, EMERGENCY/ TRAUMA MEDICINE, A NEUROLOGICAL/STROKE CENTER, THE LATEST IN DIAGNOSTIC MRI, CT AND LABORATORY MEDICINE ARE AVAILABLE.(2) ANMED HEALTH WOMEN'S AND CHILDREN'S HOSPITAL IS A 72-BED ALL-PRIVATE ROOM FACILITY OFFERING INPATIENT CARE FOR LABOR/DELIVERY, WOMEN'S ELECTIVE SURGERY AND CHILDREN. THIS HOSPITAL INCLUDES DEDICATED UNITS FOR LABOR/DELIVERY, MOTHER/BABY, WOMEN'S ELECTIVE SURGERY AND PEDIATRICS. ON THE FIRST FLOOR, PHYSICIANS' OFFICES, A LEARNING CENTER, CAFE, COMMUNITY MEETING ROOMS AND RETAIL SHOPS MAKE VISITORS FEEL WELCOME WITH A WEALTH OF RESOURCES.TO SUPPORT THESE INPATIENT SERVICES, ANMED HEALTH OFFERS A NORMAL COMPLEMENT OF DIAGNOSTIC AND ANCILLARY SERVICES. ADDITIONALLY, ANMED HEALTH OFFERS OUTPATIENT SERVICES AT D.K. OGLESBY CENTER AT THE ANMED HEALTH NORTH CAMPUS AND HAS SEVERAL CLINICS LOCATED IN ANDERSON, IVA, CLEMSON, HONEA PATH, FAIRPLAY, PENDLETON, AND WILLIAMSTON, SOUTH CAROLINA, AND IN HARTWELL, GEORGIA.THE SYSTEM PROVIDED 93,152 INPATIENT DAYS AND 5,251 NURSERY DAYS OF SERVICE FOR THE YEAR.THE SYSTEM MAINTAINS RECORDS TO IDENTIFY AND MONITOR THE LEVEL OF UNCOMPENSATED CARE, INCLUDING CHARITY CARE, IT PROVIDES. THE COST OF CHARITY CARE PROVIDED WAS APPROXIMATELY $12,818,000.THE UNCOMPENSATED COST TO PROVIDE CARE TO MEDICAID PATIENTS WAS APPROXIMATELY $3,924,000, AND UNCOMPENSATED COST TO MEDICARE PATIENTS WAS APPROXIMATELY $7,805,000. 426746984 1 1 0 1 0 0 0 0 0 1 0 1 0 0 0 0 0 0 0 0 1 1 1 1 1 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 1 1 0 0 1 299 0 1 3646 1 1 1 1 CJ 0 0 0 0 0 0 0 16 10 0 1 0 0 1 1 0 1 1 0 0 1 1 1 1 1 1 1 1 1 1 SC X X JERRY A PARRISH 8645121000 800 N FANT STREET ANDERSON SC 29621 WILLIAM E KIBLER 1.00 X X 0 0 0 JT BOSEMAN 1.00 X X 0 0 0 ANN D HERBERT 1.00 X X 0 0 0 CHARLES C THORTON JR 1.00 X 0 0 0 ROBERT RAINEY 1.00 X 63214 0 0 JOHN M GEER JR 1.00 X 0 0 0 EVERETTE NEWMAN 1.00 X 0 0 0 DR CHRIS PRZIREMBEL 1.00 X 0 0 0 DR JERRY POWELL 1.00 X 0 0 0 MARY ANNE D LAKE 1.00 X 0 0 0 DR PAUL FRASSINELLI 1.00 X 48547 0 0 DR JOHN R HUNT 1.00 X 0 0 0 DR STEPHEN HAND 1.00 X 45649 0 0 FRED L FOSTER 1.00 X 0 0 0 JANE W MUDD 1.00 X 0 0 0 JOHN A MILLER JR 50.00 X X 802784 0 556493 WILLIAM T MANSON III 50.00 X 492699 0 142478 JERRY A PARRISH 50.00 X 447215 0 81665 DR MICHAEL L TILLIRSON 50.00 X 400908 0 88998 JAMES T DOUGLAS III 50.00 X 242735 0 66161 TINA JURY 50.00 X 252365 0 77165 JOHN D GLYMPH 50.00 X 229821 0 47250 GARRICK CHIDESTER 50.00 X 304828 0 75529 DR HENRY B HEARN 50.00 X 448281 0 29158 DR MARK P LACY 50.00 X 402090 0 28997 DR DANIELLE W SHELLEY 50.00 X 363403 0 29411 DR TIMOTHY L DUNIHO 50.00 X 384424 0 27918 DR FELICE P MOODY 50.00 X 357570 0 24778 5286533 0 1276001 144 0 1 1 ANDERSON EMERGENCY ASSOCIATES 800 N FANT STREET ANDERSON SC 29621 ER PHYSICIANS 8730572 EPISODIC CARE CLINICS PC 130 CAYMAN WAY ANDERSON SC 29621 PHYSICIANS 990258 HOSPITAL MEDICINE CONSULTANTS 819 N FANT STREET ANDERSON SC 29621 HOSPITALISTS 968024 LABORATORY CORP OF AMERICA PO BOX 2280 BURLINGTON NC 27216 ESOTERIC LAB TESTING 936284 PIEDMONT PATHOLOGY 404 E CALHOUN ST ANDERSON SC 29621 PATHOLOGISTS 833644 47 15000 1450793 1465793 NET PATIENT SERVICE 621400 449477384 446594995 2882389 ANCILLARY SERVICES 900099 527158 513349 13809 PLASMA RECOVERY 900099 520220 520220 450524762 6994877 6994877 3166290 3166290 3166290 3166290 4819226 137410 4819226 -137410 4681816 4681816 CAFETERIA & VENDING 722210 2199482 2199482 MISCELLANEOUS REVENUE 900099 1124250 1124250 PURCHASE DISCOUNTS 900099 185754 143482 42272 3509486 470343024 447772046 2924661 18180524 37000 37000 18000 18000 3464708 2790606 674102 171072 171072 138132262 121211054 16921208 3043832 2665801 378031 25481123 22316472 3164651 10852450 9504620 1347830 576616 576616 148584 148584 19500 19500 1435747 1435747 31757961 29757961 2000000 671962 147954 524008 8623679 7732344 891335 6915202 6915202 16038565 16038565 842578 586024 256554 10086391 10086391 37475459 37475459 4984270 4984270 BAD DEBT EXPENSE 84014910 84014910 MEDICAL SUPPLIES 68413702 68264119 149583 MISCELLANEOUS EXPENSES 2920967 1829775 1091192 ENVIRONMENTAL CONTROL 199385 199385 456325925 426746984 29578941 0 25698000 22508471 11234639 86384536 83231575 3050344 2906410 5691980 6271118 662863953 374775038 295871929 288088915 206752752 235885430 4257862 3414239 20943418 20974328 659885460 663280486 35270535 40082108 266415278 263165395 58072108 53737125 359757921 356984628 X 298638359 304272742 1489180 2023116 300127539 306295858 659885460 663280486 X 0 1 1 X 0 X RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED RESTRICTED 0 0 0 0 0 0 0 0 1 19500 19500 0 Part II-B, Line 1i: Explanation of Other Lobbying Activities: THE ORGANIZATION IS A MEMBER OF THE AMERICAN HOSPITAL ASSOCIATION (AHA) AND THE SOUTH CAROLINA HOSPITAL ASSOCIATION (SCHA). EACH YEAR, A PORTION OF THE DUES PAID TO THESE ORGANIZATIONS IS ALLOCATED TOWARDS LOBBYING EFFORTS ON BEHALF OF THEIR MEMBERSHIP BODIES. FOR FY 2010, AMOUNTS OF MEMBERSHIP DUES ALLOCATED TO THESE EXPENDITURES WERE APPROXIMATELY $ 10,000 FOR AHA AND 9,500 FOR SCHA. 18976616 18976616 274875746 127381631 147494115 3596609 3324741 271868 342863023 244068666 98794357 22551959 22551959 288088915 INVESTMENT IN CLEMSON HEALTH CENTER 929922 F INVESTMENT IN UPSTATE LINEN SERVICES, LLC 872660 F INVESTMENT IN PREMIER 284871 F INVESTMENT IN ANDERSON AREA P.H.O. 1326786 F 3414239 CASH SURRENDER VALUE OF LIFE INSURANCE 6416579 UNAMORTIZED BOND ISSUE COSTS 6318596 ZERO COUPON SWAP EARNINGS RECEIVABLE 7674681 DUE FROM RELATED ENTITIES 564472 20974328 ACCRUED PENSION LIABILITY 42959619 ESTIMATED THIRD-PARTY SETTLEMENTS 2126792 DUE TO RELATED ENTITIES 29772 RABBI TRUST LIABILITY 446913 INTEREST RATE SWAP ALLOWANCE 8174029 53737125 470343024 456325925 14017099 142876 -7991655 -7848779 6168320 461542308 142876 1055280 1198156 460344152 951937 9046935 9998872 470343024 455373988 0 455373988 951937 951937 456325925 Part XI, Line 8 - Other Adjustments: LOSS ON BOND REDEMPTIONS: -793069. CHANGE IN UNFUNDED PENSION COSTS: -8253866. TRANSFERS FROM RELATED ORGANIZATIONS: 1055280. Part XII, Line 2d - Other Adjustments: TRANSFERS FROM RELATED ORGANIZATIONS: 1055280. Part XII, Line 4b - Other Adjustments: LOSS ON BOND REDEMPTIONS: 793069. CHANGE IN UNFUNDED PENSION COSTS: 8253866. 1 1 X 1 X 1 X 1 1 1 0 1 1 12817693 0 12817693 0.03430 63129439 59205225 3924214 0.01050 75947132 59205225 16741907 0.04480 390536 12945 377591 0.00100 8908816 2317870 6590946 0.01760 4850583 2394971 2455612 0.00660 329096 179981 149115 0.00040 555422 0 555422 0.00150 15034453 4905767 10128686 0.02710 90981585 64110992 26870593 0.07190 1480 1480 0.00000 88144 88144 0.00020 89624 89624 0.00020 0 32891837 2773000 103719587 111524588 -7805001 X 1 1 ANMED HEALTH MEDICAL CENTER

800 N FANT STREET ANDERSON SC 29621

X X X X DISPROPORTIONATE SHARE HOSPITAL ANMED HEALTH WOMEN'S & CHILDREN'S HOSPIT

2000 EAST GREENVILLE STREET ANDERSON SC 29621

X X X X DISPROPORTIONATE SHARE HOSPITAL Part I, Line 6a: SOUTH CAROLINA DOES NOT REQUIRE HOSPITALS TO FILE A COMMUNITY BENEFIT REPORT. EACH YEAR FOR THE PAST FOUR YEARS, ANMED HEALTH HAS PARTICIPATED IN THE SC HOSPITAL ASSOCIATION'S (SCHA) COMMUNITY BENEFIT SURVEY PROCESS. SCHA CONTRACTS WITH THE MICHIGAN HOSPITAL ASSOCIATION FOR USE OF THE COMMUNITY BENEFIT TRACKER SOFTWARE. IN EACH PARTICIPATION YEAR, ANMED HEALTH HAS REPORTED ITS COMMUNITY BENEFIT INFORMATION TO SCHA, USING THE TRACKER SURVEY INSTRUMENT. A SUMMARY OF THE RESULTS OF ANMED HEALTH'S COMMUNITY BENEFIT REPORT IS INCLUDED IN THE "YEAR IN REVIEW" REPORT, WHICH IS PUBLISHED ON ANMED HEALTH'S WEBSITE (WWW.ANMEDHEALTH.ORG). OUR FY' 10 REPORT OUTLINES HOW ANMED HEALTH PROVIDED APPROXIMATELY $57.4 MILLION IN UNPAID COSTS OF PATIENT CARE, AND APPROXIMATELY $10.2 MILLION IN COSTS FOR COMMUNITY HEALTH AND EDUCATION PROGRAMS, SUBSIDIZED SERVICES, HEALTH SCREENINGS, HEALTH CARE SUPPORT SERVICES, ONCOLOGY RESEARCH, HEALTH PROFESSIONS EDUCATION, AND COMMUNITY BUILDING ACTIVITIES. ANMED HEALTH DOCUMENTED SERVING OVER 37,000 PERSONS THROUGH ITS COMMUNITY BENEFIT-RELATED SERVICES. Part I, Line 7: WORKSHEET 2 FROM THE 2009 SCHEDULE H INSTRUCTIONS WAS USED TO COMPUTE A COST-TO-CHARGE RATIO USED TO CALCULATE COMMUNITY BENEFIT EXPENSE AT COST FOR USE IN PART I, LINE 7. Part I, Line 7g: SUBSIDIZED HEALTH SERVICES INCLUDES AN OUTPATIENT CLINIC AND A PSYCHIATRIC INPATIENT CLINIC OPERATED BY THE ORGANIZATION THAT RUN AT A FINANCIAL LOSS BUT ARE NECESSARY FOR THE BENEFIT OF THE COMMUNITIES THEY SERVE. Part I, Line 7f: THE AMOUNT OF TOTAL EXPENSE ON FORM 990, PART IX, LINE 25 CONTAINS BAD DEBT EXPENSE OF $84,014,910 THAT WAS REMOVED FROM THE CALCULATION OF CHARITY CARE ON PART I, LINE 7. IN ADDITION, $1,288,567 OF ADDITIONAL EXPENSE WAS ADDED TO ACCOUNT FOR THE ORGANIZATION'S SHARE OF EXPENSES FROM JOINT VENTURES. Part III, Line 4: THE ORGANIZATION'S AUDITED FINANCIAL STATEMENTS DO NOT INCLUDE A FOOTNOTE ON BAD DEBT, ACCOUNTS RECEIVABLE, OR ALLOWANCE FOR DOUBTFUL ACCOUNTS. WORKSHEET 2 FROM THE 2009 SCHEDULE H INSTRUCTIONS WAS USED TO COMPUTE A COST-TO-CHARGE RATIO TO DETERMINE BAD DEBT EXPENSE AT COST REPORTED ON PART III, LINE 2.TO DETERMINE AN ESTIMATE OF THE AMOUNT OF BAD DEBT EXPENSE ATTRIBUTABLE TO PATIENTS ELIGIBLE UNDER THE ORGANIZATION'S CHARITY CARE POLICY, THE ORGANIZATION ESTIMATED THE NUMBER OF CHARITY APPLICATIONS BEGUN BUT NEVER COMPLETED BY THE PATIENT, AND APPLIED THAT RATIO OF INCOMPLETE APPLICATIONS TO THE TOTAL BAD DEBT EXPENSE. THIS METHOD IS AN APPROXIMATION BASED ON THE ASSUMPTION THAT AN APPLICATION STARTED BUT NOT COMPLETED FOR WHATEVER REASON WAS LIKELY TO QUALIFY FOR SOME DEGREE OF DISCOUNT. THE ORGANIZATION IS WORKING TO DEVISE A SYSTEM TO CAPTURE MORE ACCURATE INFORMATION TO ESTIMATE THIS AMOUNT FOR FUTURE YEARS. Part III, Line 8: THE MEDICARE COST REPORT WAS USED TO COMPUTE MEDICARE ALLOWBLE COSTS OF CARE RELATING TO MEDICARE PAYMENTS.ANMED HEALTH TREATS MEDICARE PATIENTS AT A LOSS AND BELIEVES ALL OF THIS SHOULD BE COUNTED AS A COMMUNITY BENEFIT. ANMED HEALTH TREATS ALL PATIENTS, REGARDLESS OF THEIR ABILITY TO PAY. WITHOUT THE MEDICARE PROGRAM, A PERCENTAGE OF THE POPULATION RECEIVING MEDICARE WOULD QUALIFY FOR OUR CHARITY PROGRAM AND SOME WOULD FAIL TO PAY AND BE WRITTEN OFF AS BAD DEBT EXPENSE. ALTERNATIVELY, SOME WOULD HAVE COMMERCIAL INSURANCE AND WE WOULD RECEIVE MORE THAN WE DO FROM MEDICARE. BECAUSE OF THESE FACTORS, THE ORGANIZATION TAKES THE POSITION THAT THE ENTIRETY OF THE MEDICARE SHORTFALL SHOULD BE CONSIDERED A COMMUNITY BENEFIT. Part III, Line 9b: ONCE APPROVED FOR THE FINANCIAL ASSISTANCE POLICY, THE HOSPITAL WOULD ONLY EXPECT PAYMENT IF THE PATIENT RECEIVED MONEY FROM AN INSURANCE CLAIM. Part V: THE ORGANIZATION HAS LISTED TWO GENERAL MEDICAL & SURGICAL INPATIENT FACILITIES IN PART V. IN ADDITION TO THOSE THAT ARE REQUIRED TO BE REPORTED IN PART V AS LICENSED MEDICAL FACILITIES, THE ORGANIZATION ALSO OPERATES THE FOLLOWING TYPES OF FACILITIES (DIRECTLY OR THROUGH JOINT VENTURE) THAT ARE NOT REQUIRED TO BE LICENSED AS A MEDICAL FACILITY: - CANCER CENTER - CARDIAC AND ORTHOPAEDIC CENTER - HOME CARE SERVICES - PHYSICIAN OFFICES ACROSS UPSTATE SOUTH CAROLINA & NE GEORGIA - OUTPATIENT CARE CENTER Part VI, Line 2: ANMED HEALTH ASSESSES THE HEALTH CARE NEEDS OF THE ANDERSON COMMUNITY THROUGH A NUMBER OF FORMAL AND INFORMAL PROCESSES. ANMED HEALTH CONDUCTED A FORMAL COMPREHENSIVE COMMUNITY HEALTH ASSESSMENT OF ANDERSON COUNTY IN 1995. IN 2002, ANMED HEALTH AND NINE OTHER COMMUNITY GROUPS PARTNERED TO CONDUCT A FOLLOW-UP COMMUNITY ASSESSMENT THAT ADDRESSED NOT ONLY HEALTH, BUT A FULL SCOPE OF OTHER COMMUNITY PRIORITIES. THE RESULTS OF THE HEALTH-RELATED COMPONENTS OF THE 2002 STUDY INDICATED THAT "ACCESS TO CARE" AND "HEALTHY LIFESTYLES" WERE KEY ISSUES TO BE ADDRESSED. SINCE 2002, ANMED HEALTH'S BOARD OF TRUSTEES HAVE DIRECTED THE HEALTH SYSTEM TO LOOK FOR OPPORTUNITIES TO IMPROVE ACCESS TO CARE AND TO PROMOTE HEALTHY LIFESTYLES IN THE RESIDENTS OF ANDERSON COUNTY. AS A RESULT, ANMED HEALTH HAS DEVELOPED A NETWORK OF PRIMARY CARE PHYSICIAN PRACTICES THAT SERVE PATIENTS THROUGHOUT ANMED HEALTH'S SERVICE AREA. ANMED HEALTH HAS ALSO PROVIDED REDUCED-FEE CLINICS FOR CHILDREN, AND FOR FAMILIES IN A MEDICALLY-UNDERSERVED NEIGHBORHOOD. BY OPENING TWO "MINOR CARE" (URGENT CARE) SITES, PRIMARY CARE IS ACCESSIBLE FOR PATIENTS WHO OTHERWISE WOULD USE THE EMERGENCY DEPARTMENT FOR CARE. IN ADDITION, ANMED HEALTH HAS CONTINUED TO PROVIDE COMMUNITY EDUCATION AND SCREENINGS TO PROMOTE HEALTHY LIFESTYLES AND PREVENTION. ON AN INFORMAL AND ONGOING BASIS, ANMED HEALTH ASSESSES THE HEALTH NEEDS IN THE COMMUNITY THROUGH VARIOUS PROCESSES. THE ANMED HEALTH BOARD OF TRUSTEES REPRESENTS A DIVERSE GROUP OF MEMBERS WHO CONSTANTLY ASSESS THE HEALTH NEEDS IN THE COMMUNITY AND THROUGH THEIR INTERACTIONS WITH OTHER COMMUNITY LEADERS. THE "COMMUNITY HEALTH IMPROVEMENT COMMITTEE" OF THE BOARD OF TRUSTEES IDENTIFIES AND PRIORITIZES COMMUNITY HEALTH NEEDS. ANMED HEALTH'S LEADERSHIP TEAM SERVES ON NUMEROUS BOARDS AND COMMITTEES OF LOCAL NOT-FOR-PROFITS, AND THUS ARE MADE AWARE OF UNMET NEEDS. ANMED HEALTH'S MEDICAL STAFF IDENTIFY UNMET NEEDS THAT THEY SEE WITHIN THEIR COMMUNITY PRACTICES. THE COUNTY HEALTH DEPARTMENT IS A RESOURCE TO HELP ANMED HEALTH IDENTIFY UNMET HEALTH NEEDS. Part VI, Line 3: ANMED HEALTH PROVIDES SIGNAGE ABOUT OUR CHARITY POLICY AT EACH REGISTRATION SITE AND IT IS AVAILABLE ON OUR WEBSITE. FINANCIAL COUNSELORS ARE AVAILABLE TO EXPLAIN THE APPLICATION FOR THOSE WHO NEED ASSISTANCE. THE APPLICATION FOR CHARITY CARE AND ASSOCIATED DOCUMENTATION IS AVAILABLE IN ENGLISH AND SPANISH. Part VI, Line 4: ANMED HEALTH SERVES NUMEROUS COUNTIES IN SOUTH CAROLINA AND GEORGIA. ANMED HEALTH HAS DEFINED THOSE COMMUNITIES WHICH IT SERVES BY LOOKING AT THE PERCENTAGE OF PATIENT ORGIN AT DISCHARGE AS WELL AS GEOGRAPHIC PROXIMITY TO THE HOSPITAL. THE COMMUNITIES SERVED BY ANMED HEALTH PRIMARILY INCLUDES ANDERSON COUNTY, AND WE SERVE AS A SECONDARY SERVICE TO OCONEE COUNTY, PICKENS COUNTY, AND ABBEVILLE COUNTY IN SOUTH CAROLINA, AS WELL AS HART COUNTY, GEORGIA. ANDERSON COUNTY--THE PRIMARY COMMUNITY SERVED BY ANMED HEALTH--IS AN URBAN COMMUNITY THAN ENCOMPASSES APPROXIMATELY 185,000 RESIDENTS. THE POPULATION OF ANDERSON COUNTY IS EXPECTED TO GROW AT 1% PER YEAR. THE MEDIAN INCOME FOR A HOUSEHOLD IN THE COUNTY WAS $44,747. THE PER CAPITA INCOME FOR THE COUNTY WAS $18,365, WITH APPROXIMATELY 14.3% OF COMMUNITY RESIDENTS HAVING INCOMES BELOW THE FEDERAL PROVERTY GUIDELINE. THE U.S. DEPARTMENT OF HEALTH AND HUMAN SERVICES DESIGNATED SIX MEDICALLY UNDERSERVED AREAS IN ANDERSON COUNTY. FROM THE SOUTH CAROLINA PRIMARY HEALTH CARE ASSOCIATION, REGARDING MEDICALLY UNDERSERVED AREAS IN ANDERSON COUNTY, THE AREAS ARE AS FOLLOWS IN THE ASSOCIATED CENSUS TRACTS: ANDERSON COUNTY 03093 - CT 0005.00, CT 0006.00, CT 0007.00 AND BELTON DIVISION SERVICE AREA 03099 - MCD (90221) BELTON CCD, MCD (91170 FORK CCD, MCD (93224) STARR CCD. OVER 12.5% IS UNEMPLOYED AND APPROXIMATELY 77.8% OF ANDERSON COUNTY RESIDENTS WHO ARE UNINSURED OR MEDICAID RECIPEINTS COME TO ANMED HEALTH FOR THEIR INPATIENT MEDICAL CARE. ANMED HEALTH MAINTAINS OVER 75% MARKET SHARE. Part VI, Line 5: ANMED HEALTH'S STAFF DOCUMENTED MORE THAN 750 VOLUNTEER HOURS IN SERVICE TO OTHER COMMUNITY ORGANIZATIONS IN FY '10. VOLUNTEER HOURS SERVING THE ANDERSON AREA CHAMBER OF COMMERCE SUPPORT THE MISSION OF THE CHAMBER. SUPPORTING THE BUSINESS COMMUNITY HELPS IN JOB CREATION, AND THE LIKELIHOOD THAT EMPLOYEES WILL HAVE HEALTH INSURANCE AND THE ABILITY TO ACCESS CARE FOR THEMSELVES AND THEIR FAMILIES. THROUGH COLLABORATIVE EFFORTS WITH LOCAL NOT-FOR-PROFITS, ANMED HEALTH IS ABLE TO SUPPORT ORGAIZANIZATIONS SUCH AS UNITED WAY, CANCER ASSOCIATION, AND MEALS ON WHEELS. THESE ORGANIZATIONS SUPPORT HEALTH, WELLNESS, AND OTHER ISSUES THAT REINFORCE AND STRENGTHENS ANMED HEALTH'S ABILITY TO MEET ITS MISSION IN THE COMMUNITY. ANMED HEALTH STAFF ALSO VOLUNTEERED ALMOST 1,000 HOURS TO ORGANIZATIONS THAT SHARE IN ITS HEALTH-RELATED MISSION. Part VI, Line 6: A MAJORITY OF THE ORGANIZATION'S GOVERNING BODY IS COMPRISED OF PERSONS WHO RESIDE IN THE ORGANIZATION'S PRIMARY SERVICE AREA AND WHO ARE NEITHER EMPLOYEES NOR INDEPENDENT CONTRACTORS OF THE ORGANIZATION, NOR FAMILY MEMBERS THEREOF. ANMED HEALTH EXTENDS MEDICAL STAFF PRIVILEDGES TO ALL QUALIFIED PHYSICIANS IN THE COMMUNITY FOR MANY OF ITS DEPARTMENTS.SURPLUS FUNDS ARE SPENT TO IMPROVE THE CARE WE PROVIDE OUR PATIENTS. THIS IS DONE THROUGH UPDATES TO OUR EQUIPMENT AND BUILDINGS, INVESTING IN NEW TECHNOLOGY, SUPPORTING OUR FAMILY MEDICINE RESIDENCY PROGRAM, ONCOLOGY RESEARCH, AND PROVIDING COMMUNITY BENEFITS.ANMED HEALTH PROVIDES, SUPPORTS, PROMOTES, AND/OR SPONSORS A BROAD SCOPE OF COMMUNITY BENEFIT ACTIVITIES AND PROGRAMS THAT PROMOTE GOOD HEALTH. EXAMPLES OF COMMUNITY HEALTH EDUCATION PROGRAMS INCLUDE: - A TEDDY BEAR CLINIC TO TEACH CHILDREN ABOUT SERVICES PROVIDED BY DOCTORS AND HOSPITALS; - NUTRITION TALKS TO EDUCATE ON HEALTH FOODS AND PROPER DIETS; - HEALTH FAIRS IN THE COMMUNITY AND BUSINESSES TO EDUCATE ON PREVENTION, WELLNESS, AND HEALTH RISKS; - SAFE KIDS PROGRAMS TO TEACH BIKE AND WATERSPORTS SAFETY, FIRE SAFETY, AND CAR SEAT USE; AND - A SUMMER CAMP FOR CHILDREN WITH ASTHMA, TO TEACH CHILDREN AND PARENTS ABOUT BEST PRACTICES IN MANAGING THIS CHRONIC DISEASE. EXAMPLES OF COMMUNITY HEALTH SCREENINGS INCLUDE MOBILE VAN SCREENINGS FOR HYPERTENSION AND CHOLESTEROL, AND OTHERS PROVIDED TO IDENTIFY THOSE AT RISK FOR HEART DISEASE AND STROKE. REDUCED-FEE CLINICS ARE PROVIDED IN FAMILY MEDICINE AND IN PEDIATRICS. FREE COUNSELING IS PROVIDED FOR GENETICS (RELATED TO CANCER RISKS), MENTAL HEALTH, AND SUBSTANCE ABUSE. FAMILY SUPPORT SERVICES INCLUDE ASSISTANCE WITH MEDICAID ENROLLMENT, MEDICATION ASSISTANCE PROGRAMS, AND A NURSEWISE REFERRAL LINE. ANMED HEALTH SUPPORTS A NUMBER OF HEALTH PROFESSIONALS EDUCATION PROGRAMS, INCLUDING A FAMILY MEDICINE RESIDENCY PROGRAM, NURSING TRAINING, A RADIOLOGY TECHNOLOGY PROGRAM, THERAPY INTERNSHIPS, PHARMACY STUDENT ROTATIONS. ANMED HEALTH SUPPORTS ONCOLOGY RESEARCH THROUGH A DEPARTMENT THAT WORKS WITH PHYSICIANS AND PATIENTS TO IDENTIFY AVAILABLE STUDIES AND TRIALS OF INVESTIGATIONAL MEDICATIONS AND REGIMENS. FINALLY, ANMED HEALTH SUPPORTS MANY OTHER NOT-FOR-PROFIT COMMUNITY ORGANIZATIONS THROUGH CASH AND IN-KIND DONATIONS. THESE ORGANIZATIONS SHARE A SIMILAR VISION OF A HEALTHY COMMUNITY, AND INCLUDE THE ANDERSON FREE CLINIC, UNITED WAY, ANDERSON CANCER ASSOCIATION, ANDERSON YMCA, AND MANY OTHERS. ANMED HEALTH'S LEADERS ARE INVOLVED IN VOLUNTEER ACTIVITIES IN THE CHAMBER OF COMMERCE, CIVIC ORGANIZATIONS, AND OTHER LOCAL, REGIONAL, AND STATEWIDE ORGANIZATIONS. Part VI, Line 7: ANMED HEALTH HAS AN AFFILIATION AND SERVICES AGREEMENT WITH THE CHARLOTTE-MECKLENBURG HOSPITAL AUTHORITY D/B/A CAROLINAS HEALTHCARE SYSTEM (CHS). THE AGREEMENT APPOINTS CHS AS THE MANAGER OF THE HOSPITAL. SEE FORM 990, PART VI, LINE 3 FOR MORE DETAILS. ANMED HEALTH ALSO HAS AN AFFILIATION AND SERVICES AGREEMENT WITH CANNON MEMORIAL HOSPITAL. THE AGREEMENT APPOINTS ANMED HEALTH AS THE MANAGER OF CANNON MEMORIAL HOSPITAL. THERE IS NO TRANSFER OF GOVERNANCE OR OWNERSHIP BETWEEN CHS AND ANMED HEALTH, NOR BETWEEN CANNON MEMORIAL HOSPITAL AND ANMED HEALTH. 1 ANDERSON FREE CLINIC PO BOX 728 ANDERSON SC 29622 570787584 501(C)(3) 20000 OPERATIONAL SUPPORT FOOTHILLS COMMUNITY FOUNDATION PO BOX 1228 ANDERSON SC 29622 582453349 501(C)(3) 7000 OPERATIONAL SUPPORT YOUNG MEN'S CHRISTIAN ASSOCIATION OF ANDERSON SC 201 E REED ROAD ANDERSON SC 29621 570314465 501(C)(3) 5000 OPERATIONAL SUPPORT CANCER ASSOCIATION OF ANDERSON 215 E CALHOUN STREET ANDERSON SC 29621 542098883 501(C)(3) 5000 OPERATIONAL SUPPORT 4 0 NURSING SCHOLARSHIPS 7 18000 Other Information: Part IV: TRI COUNTY TECHNICAL COLLEGE SCHOLARSHIP: RECIPIENTS MUST LIVE IN ANDERSON COUNTY, SC, MUST BE A NURSING MAJOR WITH AT LEAST A 3.0 GPA, AND MUST BE WILLING TO ACCEPT EMPLOYMENT AT ANMED HEALTH OR BE RESPONSIBLE FOR PAYING BACK THE AMOUNT OF THE SCHOLARSHIP. CLEMSON UNIVERSITY SCHOLARSHIP: RECIPIENT MUST LIVE IN ANDERSON, PICKENS, OR OCONEE COUNTIES, SC, MUST BE A NURSING MAJOR WITH AT LEAST A 2.5 GPA, AND MUST BE WILING TO ACCEPT EMPLOYMENT AT ANMED HEALTH OR BE RESPONSIBLE FOR PAYING BACK THE AMOUNT OF THE SCHOLARSHIP. THE CHIEF NURSING OFFICER OF ANMED HEALTH APPROVES ALL SELECTIONS FOR THIS SCHOLARSHIP. GREENVILLE TECHNICAL COLLEGE: RECIPIENT MUST LIVE IN ANDERSON, PICKENS, OR OCONEE COUNTY, MUST BE A NURSING MAJOR AND WILLING TO ACCEPT EMPLOYMENT AT ANMED HEALTH OR BE RESPONSIBLE FOR PAYING BACK THE AMOUNT OF THE SCHOLARSHIP. THE CHIEF NURSING OFFICER OF ANMED HEALTH APPROVES ALL SELECTIONS FOR THIS SCHOLARSHIP. IN PRIOR YEARS, ANMED HEALTH HAS CONTRIBUTED A TOTAL OF APPROXIMATELY $4.5 MILLION TO FOOTHILLS COMMUNITY FOUNDATION, A 501(C)(3) ORGANIZATION. THESE CONTRIBUTIONS WERE RESTRICTED AT THE TIME, AND EACH YEAR A PORTION OF THE CONTRIBUTION IS RELEASED BY FOOTHILLS FOR USE IN CHARITABLE PURPOSES. FOR THE YEAR ENDED SEPTEMBER 30, 2010, APPROXIMATELY $ 331,189 WAS RELEASED BY FOOTHILLS FROM THE RESTRICTED FUND. X X X 1 1 X X X X X 0 1 0 0 0 1 0 0 0 DR STEPHEN HAND 45649 0 0 0 0 0 0 0 0 0 45649 0 0 0 JOHN A MILLER JR 620894 0 137080 0 44810 0 369051 0 187442 0 1359277 0 0 0 WILLIAM T MANSON III 405124 0 68264 0 19311 0 90535 0 51943 0 635177 0 24843 0 JERRY A PARRISH 371419 0 60720 0 15076 0 45290 0 36375 0 528880 0 29390 0 DR MICHAEL L TILLIRSON 333490 0 54059 0 13359 0 44535 0 44463 0 489906 0 31291 0 JAMES T DOUGLAS III 201231 0 36616 0 4888 0 15692 0 50469 0 308896 0 7539 0 TINA JURY 210728 0 36146 0 5491 0 22610 0 54555 0 329530 0 19271 0 JOHN D GLYMPH 189454 0 34629 0 5738 0 17699 0 29551 0 277071 0 6718 0 GARRICK CHIDESTER 254993 0 42302 0 7533 0 36950 0 38579 0 380357 0 13718 0 DR HENRY B HEARN 443707 0 0 0 4574 0 6571 0 22587 0 477439 0 0 0 DR MARK P LACY 398952 0 0 0 3138 0 6540 0 22457 0 431087 0 0 0 DR DANIELLE W SHELLEY 362689 0 0 0 714 0 6363 0 23048 0 392814 0 0 0 DR TIMOTHY L DUNIHO 383039 0 0 0 1385 0 5331 0 22587 0 412342 0 0 0 DR FELICE P MOODY 354080 0 0 0 3490 0 0 0 24778 0 382348 0 0 0 Part I, Line 4b: THE FOLLOWING OFFICERS RECEIVED DEFERRED COMPENSATION ALLOCATIONS FROM A SUPPLEMENTAL EXECUTIVE RETIREMENT PLAN (SERP): JOHN A. MILLER - $ 242,290 WILLIAM T. MANSON - 34,740 THE PURPOSE OF THE SERP FOR JOHN A. MILLER IS TO PROVIDE THE PARTICIPANT WITH ADDITIONAL RETIREMENT BENEFITS TO ENCOURAGE THE PARTICIPANT'S CONTINUED INTEREST IN THE COMPANY'S SUCCESS AND TO REINFORCE THE PARTICIPANT'S COMMITMENT NOT TO COMPETE WITH THE COMPANY FOLLOWING SEPARATION FROM SERVICE BEFORE THE PARTICIPANT'S NORMAL RETIREMENT DATE (PARTICIPANT'S 65TH BIRTHDAY). THE PLAN COMMENCED ON JANUARY 1, 1998. IF THE PARTICIPANT REMAINS EMPLOYED TO THE NORMAL RETIREMENT DATE, THE COMPANY SHALL PAY TO THE PARTICIPANT IN A LUMP SUM A SERP BENEFIT EQUAL TO THE ACTUARIAL PRESENT VALUE OF A LIFETIME ANNUITY PAYING ANNUAL BENEFITS (IN MONTHLY INSTALLMENTS) EQUAL TO 60% TIMES THE PARTICIPANT'S FINAL AVERAGE TOTAL COMPENSATION, WHICH IS THEN REDUCED BY SOCIAL SECURITY BENEFITS AND THE COMPANY'S QUALIFIED PLAN BENEFITS. THE PURPOSE OF THE SERP FOR WILLIAM T. MANSON IS TO PROVIDE SUPPLEMENTAL RETIREMENT BENEFITS TO THE PARTICIPANT TO ENCOURAGE HIS CONTINUED INTEREST IN THE SUCCESS OF THE COMPANY, AND TO PROVIDE REASONABLE RETIREMENT BENEFITS. THE PLAN COMMENCED ON MARCH 1, 2005. THE COMPANY SHALL CREDIT TO THE PARTICIPANT'S SERP ACCOUNT AN AMOUNT PROJECTED TO PROVIDE ANNUAL RETIREMENT BENEFITS EQUAL TO 50% OF THE PARTICIPANT'S FINAL FIVE-YEAR AVERAGE CASH COMPENSATION AT AGE 65. THE PROJECTION TAKES INTO ACCOUNT THAT THE TOTAL TAGETED RETIREMENT BENEFIT CONSISTS OF THE QUALIFIED DEFINED BENEFIT PENSION PLAN, 403(B) PLAN MATCHING CONTRIBUTIONS EARNED THEREON, 50% OF THE PROJECTED SOCIAL SECURITY PRIMARY RETIREMENT BENEFITS, AND BENEFITS UNDER THIS PLAN. THE COMPANY DOES NOT GUARANTEE THAT THE CREDITS WILL ACTUALLY PROVIDE THE TARGETED BENEFIT; RATHER, THE PARTICIPANT'S BENEFIT IS LIMITED TO THE AMOUNT ACCRUED IN HIS ACCOUNT. THE PARTICIPANT'S ENTITLEMENT TO THE BENEFITS DEPENDS ON THE PARTICIPANT'S FUTURE PERFORMANCE OF SUBSTANTIAL SERVICES. Part I, Line 6 PHYSICIANS ARE COMMONLY COMPENSATED BY THE ORGANIZATION THROUGH AN AGREEMENT BASING THE BASE RATE ON A "TARGET COMPENSATION" AMOUNT THAT CONSIDERS THE MOST RECENT TWELVE MONTHS OF FINANCIAL DATA OF THE PHYSICIAN'S PRACTICE, WHICH IS A SUBSET OF THE ORGANIZATION AS A WHOLE, PROJECTED PATIENT VOLUMES AND COLLECTIONS DURING THE YEAR FROM THE SUBSET, AN ALLOCATION OF OVERHEAD COSTS FROM THE ORGANIZATION, EXPENSES OF THE PRACTICE, AND FULL-TIME EQUIVALENT STATUS OF THE PHYSICIAN. THE FOLLOWING INDIVIDUALS LISTED ON PART VII OF THE FORM 990 ARE ENGAGED IN SUCH AN AGREEMENT, AND THEIR COMPENSATION IS SET ANNUALLY ON THE PERFORMANCE FACTORS DISCUSSED HERE: HENRY B. HEARN MARK P. LACY DANIELLE W. SHELLEY TIMOTHY L. DUNIHO FELICE P. MOODY Supplemental Information Part III COMPENSATION FROM AN UNRELATED ORGANIZATION: DR. STEPHEN HAND WAS COMPENSATED BY HIS PERSONAL MEDICAL PRACTICE FOR SERVICES RENDERED TO ANMED HEALTH. ON OCTOBER 1, 2009, THE HOSPITAL ENTERED INTO A SERVICES AND AFFILIATION AGREEMENT WITH THE CHARLOTTE MECKLENBURG HOSPITAL AUTHORITY D/B/A CAROLINAS HEALTHCARE SYSTEM. THE AGREEMENT APPOINTS CAROLINAS HEALTHCARE SYSTEM AS THE MANAGER OF THE HOSPITAL. THE FOLLOWING OFFICERS AND KEY EMPLOYEES WERE COMPENSATED ACCORDING TO THIS AGREEMENT. AMOUNTS SHOWN RELATE TO COMPENSATION ACCRUED FOLLOWING THE AGREEMENT INITIATED OCTOBER 1, 2009: JOHN A. MILLER JR. -- $106,746 WILLIAM T. MANSON, III -- $65,853 JERRY A. PARRISH -- $60,190 DR. MICHAEL L. TILLIRSON -- $52,604 GARRICK CHIDESTER -- $42,317 THE ABOVE AMOUNTS ARE REPRESENTED IN THE TOTALS SHOWN IN PART II. THE REMAINDER OF THE AMOUNTS SHOWN IN PART II WERE PAID BY THE ORGANIZATION PRIOR TO THE INITIATION OF THE AGREEMENT. SOUTH CAROLINA JOBS-ECONOMIC DEVELOPMENT AUTHORITY 576000286 83703FBX9 2009-04-02 34585000 QUALIFIED HOSPITAL BOND, SERIES 2009A 0 0 SOUTH CAROLINA JOBS-ECONOMIC DEVELOPMENT AUTHORITY 576000286 83703FCQ3 2009-05-13 109368483 QUALIFIED HOSPITAL BOND, SERIES 2009B 0 0 SOUTH CAROLINA JOBS-ECONOMIC DEVELOPMENT AUTHORITY 576000286 83703FCQ3 2009-05-13 75605000 QUALIFIED HOSPITAL BOND, SERIES 2009C & D 0 0 SOUTH CAROLINA JOBS-ECONOMIC DEVELOPMENT AUTHORITY 590960018 83703FBX9 2010-03-04 43752346 QUALIFIED HOSPITAL BOND, SERIES 2010 0 0 34585000 730046 2007 1 0 1 1 109369980 993917 3977343 51142629 2010 1 0 0 1 75605000 66667 1355000 2010 1 0 0 1 43752346 3414817 668721 1999 1 0 1 1 0 0 0 0 1 0.00000 0.00000 0.00000 1 0 0 0 0 1 0.00000 0.00000 0.00000 1 0 0 0 0 1 0.00000 0.00000 0.00000 1 0 1 0 0 0 1 0 0 0 0 0 1 0 1 0 0 0 1 0 0 0 0 0 1 JAMES HERBERT FAMILY RELATIONSHIP TO BOARD MEMBER ANN HERBERT 143526 MEDICAL DOCTOR EMPLOYED BY THE HOSPITAL, COMPENSATION FOR MEDICAL SERVICES PERFORMED 0 CINDY KIBLER FAMILY RELATIONSHIP TO BOARD MEMBER WILLIAM E. KIBLER 27546 COMPENSATION PAID AS EMPLOYEE OF FOOTHILLS COMMUNITY FOUNDATION WHICH IS REIMBURSED TO ANMED HEALTH BY FOOTHILLS COMMUNITY FOUNDATION. 0 Form 990, Part VI, Section A, line 3 ON OCTOBER 1, 2009, THE HOSPITAL ENTERED INTO A SERVICES AND AFFILIATION AGREEMENT WITH THE CHARLOTTE MECKLENBURG HOSPITAL AUTHORITY D/B/A CAROLINAS HEALTHCARE SYSTEM (CHS). THE AGREEMENT APPOINTS CAROLINAS HEALTHCARE SYSTEM AS THE MANAGER OF THE HOSPITAL. THE BOARD OF ANMED HEALTH CONTINUES TO OVERSEE THE OPERATIONS OF THE HEALTHCARE FACILITY AND RELATED EXEMPT ACTIVITIES. AS PART OF THE AGREEMENT, ANMED HEALTH GRANTS CHS THE RESPONSIBILITY FOR MANAGEMENT OF THE HEALTH SYSTEM, SUBJECT TO THE GENERAL APPROVAL OF THE BOARD OF DIRECTORS OF ANMED HEALTH. BOARD APPROVAL IS REQUIRED FOR LARGE CAPITAL EXPENDITURES, SALE OR DISPOSAL OF SYSTEM ASSETS, AND BORROWING IN EXCESS OF IMMATERIAL AMOUNTS. CHS IS REQUIRED TO PROVIDE KEY MANAGEMENT PERSONNEL; HOWEVER, THE CURRENT CEO, CFO, AND A NUMBER OF KEY EMPLOYEES ARE PERSONS THAT WERE FORMERLY EMPLOYED DIRECTLY BY ANMED HEALTH, PRIOR TO THE EFFECTIVE DATE OF THE AGREEMENT. Form 990, Part VI, Section A, line 6 THE SOLE MEMBER OF THE ORGANIZATION IS ANMED HEALTH FOUNDATION. Form 990, Part VI, Section A, line 7a THE BOARD OF TRUSTEES OF ANMED HEALTH AS PROVIDED FOR IN ITS BYLAWS SHALL AUTOMATICALLY BECOME THE BOARD OF TRUSTEES OF THE ORGANIZATION UPON BEING ELECTED AS TRUSTEES OF ANMED HEALTH FOUNDATION. ACCORDINGLY, WHEN ANY BOARD MEMBER FOR ANY REASON CEASES BEING A BOARD MEMBER OF ANMEND HEALTH FOUNDATION, HE OR SHE SHALL ALSO AUTOMATICALLY CEASE BEING A BOARD MEMBER OF THE ORGANIZATION. Form 990, Part VI, Section B, line 11 THE RETURN WAS PREPARED BY AN INDEPENDENT ACCOUNTING FIRM WITH ASSISTANCE AND OVERSIGHT BY MANAGEMENT. UPON COMPLETION AND REVIEW BY MANAGEMENT, THE RETURN WAS EMAILED TO EACH VOTING MEMBER OF THE BOARD AND PLACED ON A SECURE WEBSITE PRIOR TO THE JULY 2011 BOARD MEETING. AT THE MEETING, BOARD MEMBERS HAD AN OPPORTUNITY TO DISCUSS THE RETURN AND ASK QUESTIONS OF THE CFO AND A REPRESENTATIVE OF THE ACCOUNTING FIRM. Form 990, Part VI, Section B, line 12c A COPY OF THE DISCLOSURE OF THE CONFLICT OF INTEREST POLICY, ALONG WITH AN EXPLANATION AND QUESTIONNIARE IS SENT TO ALL TRUSTEES, DIRECTORS, EXECUTIVE STAFF, MEDICAL STAFF WITH ADMINISTRATIVE RESPONSIBILITY, SELECTED OTHER EMPLOYEES, AND VOLUNTEERS ANNUALLY. THE QUESTIONNAIRE MUST BE COMPLETED AND RETURNED TO THE CHAIR OF THE BOARD. A REPORT IS SUBMITTED TO THE BOARD CONCERNING ANY POTENTIAL CONFLICTS THAT ARE DISCLOSED. IN SITUATIONS WHERE A POTENTIAL CONFLICT IS FOUND, THE BOARD REVIEWS THE CIRCUMSTANCES BEFORE A VOTE OR DISCUSSION OF MATTERS INVOLVING INTERESTED PARTIES. Form 990, Part VI, Section B, line 15 PERIODIC COMPENSATION SURVEYS ARE PERFORMED BY INTEGRATED HEALTHCARE STRATEGIES, AN OUTSIDE CONSULTING SERVICE. ANMED HEALTH TARGETS THE 65TH PERCENTILE OF THE GIVEN RANGE FOR ITS COMPENSATION PACKAGES. THE COMPENSATION COMMITTEE OF THE BOARD APPROVES COMPENSATION FOR ALL OFFICERS, EXECUTIVES, AND DEPARTMENT DIRECTORS. Form 990, Part VI, Section C, line 18 PHOTOCOPIES OF THE FORM 990 ARE AVAILABLE UPON REQUEST AT THE ORGANIZATION'S EXECUTIVE OFFICES. IN ADDITION, RECENT FILINGS OF THE FORM 990 ARE AVAILABLE ONLINE AT WWW.GUIDESTAR.ORG. Form 990, Part VI, Section C, line 19 PHOTOCOPIES OF THE ORGANIZATION'S GOVERNING DOCUMENTS AND CONFLICT OF INTEREST POLICY ARE AVAILABLE UPON REQUEST AT THE ORGANIZATION'S EXECUTIVE OFFICES. COPIES OF THE FINANCIAL STATEMENTS ARE AVAILABLE ON A SECURE WEBSITE FOR BONDHOLDERS. PLEASE CONTACT THE EXECUTIVE OFFICE FOR DETAILS. SCHEDULE K, PART I: EXTENDED DESCRIPTION OF PURPOSE: BOND (A): THE SERIES 2009A BONDS WERE ISSUED TO REFUND BONDS ISSUED APRIL 18, 2007. THE PRIOR BONDS WERE CALLED AND REFUNDED AS OF APRIL 20, 2009. BOND (B): THE SERIES 2009B BONDS WERE ISSUED IN PART TO REFUND BONDS ISSUED JULY 2, 2003. THE PRIOR BONDS WERE CALLED AND REFUNDED AS OF JUNE 4, 2009. IN ADDITION, THE BONDS WERE ALSO ISSUED FOR THE CAPITAL ACQUISITION OF BUILDINGS, STRUCTURES, AND EQUIPMENT WITH A RECOVERY PERIOD OF FIVE YEARS OR LESS. BOND (C): THE SERIES 2009C & D BONDS WERE ISSUED TO REFUND BONDS ISSUED JULY 2, 2003. THE PRIOR BONDS WERE CALLED AND REFUNDED AS OF JUNE 18, 2009. BOND (D): THE SERIES 2010 BONDS WERE ISSUED TO REFUND BONDS ISSUED JULY 28, 1999. THE PRIOR BONDS WERE CALLED AND REFUNDED AS OF APRIL 5, 2010. SCHEDULE K, PART II, LINE 5: BREAKDOWN OF COSTS OF ISSUANCE: BOND (A) COSTS OF ISSUANCE 235,121 CREDIT ENHANCEMENT 371,110 UNDERWRITER'S DISCOUNT 123,814 TOTAL 730,046 BOND (B) COSTS OF ISSUANCE 238,500 UNDERWRITER'S SPREAD 1,016,960 CREDIT ENHANCEMENT 2,721,883 TOTAL 3,977,343 BOND (C) COSTS OF ISSUANCE 653,394 CREDIT ENHANCEMENT 701,606 TOTAL 1,355,000 BOND (D) COSTS OF ISSUANCE 321,595 UNDERWRITER'S DISCOUNT 347,126 TOTAL 668,721 FORM 990, PART VII, LINE 1: BOARD MEMBER COMPENSATION: ROBERT RAINEY IS ISSUED A W-2 FROM ANMED HEALTH IN RELATION TO HIS POSITION AS THE EXECUTIVE DIRECTOR OF FOOTHILLS COMMUNITY FOUNDATION, OF WHICH ANMED HEALTH PERFORMS PAYROLL SERVICES. COMPENSATION FOR MR. RAINEY IS REIMBURSED TO ANMED HEALTH BY FOOTHILLS. MR. RAINEY IS NOT COMPENSATED IN ANY WAY FOR HIS SERVICES AS A BOARD MEMBER OF ANMED HEALTH. IN ADDITION TO HIS SERVICES TO THE BOARD, DR. PAUL FRASSINELLI RECEIVES COMPENSATON IN RELATION TO MEDICAL SERVICES RENDERED TO THE HOSPITAL WHICH IS LISTED ON PART VII OF THE FORM 990. DR. FRASSINELLI IS NOT COMPENSATED IN ANY WAY FOR HIS SERVICES AS A BOARD MEMBER OF ANMED HEALTH. IN ADDITION TO HIS SERVICES TO THE BOARD, DR. STEPHEN HAND IS COMPENSATED THROUGH HIS MEDICAL PRACTICE FOR SERVICES RENDERED TO THE HOSPITAL. ALL PAYMENTS ON PART VII OF THE FORM 990 ARE FOR MEDICAL SERVICES, AND DR. HAND IS NOT COMPENSATED IN ANY WAY FOR HIS SERVICES AS A BOARD MEMBER OF ANMED HEALTH. FORM 990, PART V, LINE 4A FINANCIAL ACCOUNTS IN A FOREIGN COUNTRY: THE ORGANIZATION WAS A 2.16% PARTNER IN PROFESSIONAL MONEY MANAGEMENT PARTNERSHIP WITH A HEDGE FUND BASED IN THE CAYMAN ISLANDS. THE PARTNERSHIP IS HELD FOR INVESTMENT PURPOSES ONLY. ANMED HEALTH FOUNDATION 800 N FANT STREET ANDERSON SC 29621 570817544 FUNDRAISING/SUPPORT OF ANMED HEALTH SC 501(c)(3) Line 7 N/A ANMED HEALTH ENTERPRISES INC 800 N FANT STREET ANDERSON SC 29621 570815011 HOLDING CORPORATION SC N/A C ANMED HEALTH PLAN INC 800 N FANT STREET ANDERSON SC 29621 570811053 MANAGEMENT SERVICES ORGANIZATION SC N/A C ANMED HEALTH SERVICES INC 800 N FANT STREET ANDERSON SC 29621 570741536 HEALTHCARE SC N/A C ANDERSON AREA PHYSICIAN HOSPITAL ORGANIZATION 800 N FANT STREET ANDERSON SC 29621 571042018 MEDICAL SERVICES SC N/A C 334188 2110017 0.83000 0 0 1 0 0 0 0 0 0 0 0 1 0 1 0 1 0 1 NO REPORTABLE TRANSACTIONS WITH CONTROLLED ORGANIZATIONS