Community Health Systems to Sell Nine Facilities in Alabama, Arkansas, Missouri, Oregon and Tennessee to Capella Healthcare, Inc.

Community Health Systems, Inc. (NYSE: CYH) today announced the execution of a definitive agreement to sell nine hospitals to Capella Healthcare, Inc., a privately held, for-profit hospital company headquartered in Franklin, Tennessee. The aggregate purchase price for the transaction, which is structured as a sale of stock, is $315 million. The transaction is subject to the typical closing contingencies for a transaction of this size, and is expected to close on January 31, 2008. The following facilities are included in the transaction:

Facility Name

Location

Licensed Beds

Hartselle Medical Center Hartselle, AL 150
Jacksonville Medical Center Jacksonville, AL 89
Parkway Medical Center Decatur, AL 108
Woodland Medical Center Cullman, AL 100
National Park Medical Center Hot Springs, AR 156
St. Marys Regional Medical Center Russellville, AR 170
Mineral Area Regional Medical Center Farmington, MO 135
White County Medical Center Sparta, TN 60
Willamette Valley Medical Center McMinnville, OR 80

For the last 12 months ended September 30, 2007, the facilities generated an aggregate of approximately $420 million net revenue. The facilities in the transaction are a mix of Triad acquisition facilities and existing Company facilities.

We are proud of each of these facilities and very respectful of the contributions made by their dedicated employees, medical staff members and leadership teams to the growth and success of our organization, said Wayne T. Smith, chairman, president and chief executive officer of Community Health Systems, Inc. We know that these facilities will continue to flourish and admirably serve their patients and communities under the Capella Healthcare banner. With this transaction, Capella is getting a fine group of properties while we have the opportunity to reduce our outstanding debt and devote more concentrated operating energies to the balance of our hospital portfolio.

Located in the Nashville, Tennessee, suburb of Franklin, Community Health Systems, Inc. is the largest publicly-traded hospital company in the United States and a leading operator of general acute care hospitals in non-urban and mid-size markets throughout the country. Through its subsidiaries, the Company currently owns, leases or operates approximately 127 hospitals in 28 states and one in the Republic of Ireland, with an aggregate of approximately 19,100 licensed beds. Its hospitals offer a broad range of inpatient medical and surgical services, outpatient treatment and skilled nursing care. In addition, through its QHR subsidiary, the Company provides management and consulting services to independent general acute care hospitals located throughout the United States. Shares in Community Health Systems, Inc. are traded on the New York Stock Exchange under the symbol CYH.

Statements contained in this news release are forward-looking statements that involve risks and uncertainties. Actual future events or results may differ materially from these statements. Readers are referred to the documents filed by Community Health Systems, Inc. with the Securities and Exchange Commission, specifically the most recent filings which identify important risk factors that could cause actual results to differ from those contained in the forward-looking statements, including execution of our growth, acquisition, and business strategies. These and other applicable risks are summarized under the caption "risk factors" in the Company's Securities and Exchange Commission filings.

Contacts:

Community Health Systems, Inc.
Investor Contact:
W. Larry Cash, 615-465-7000
Executive Vice President and Chief Financial Officer
or
Media Contact:
Lovell Communications
Rosemary Plorin (Tennessee), 615-297-7766
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