| (In thousands, except per share data) 2012 2011 2010 2009 2008 FOR THE YEARS ENDED Net operating revenue $ 2,948,969 $ 2,804,507 $ 2,390,290 $ 2,239,871 $ 2,153,362 Income from operations 336,859 310,719 236,137 235,838 196,408 Net income attributable to Select Medical Holdings Corporation 148,230 107,846 77,644 75,282 22,441 Income (loss) per common share, fully diluted 1.05 0.71 0.48 0.61 (0.04) Cash flow from operations 298,682 217,128 144,537 165,639 107,438 SEGMENT INFORMATION Net operating revenue Specialty hospitals $ 2,197,529 $ 2,095,519 $ 1,702,165 $ 1,557,821 $ 1,488,412 Outpatient rehabilitation 751,317 708,867 688,017 681,892 664,760 All other 123 121 108 158 190 TOTAL NET OPERATING REVENUE $ 2,948,969 $ 2,804,507 $ 2,390,290 $ 2,239,871 $ 2,153,362 Adjusted EBITDA(1) Specialty hospitals $ 381,354 $ 362,334 $ 284,558 $ 290,370 $ 236,388 Outpatient rehabilitation 87,024 83,864 83,772 89,072 77,279 All other (62,531) (60,237) (61,251) (49,215) (43,380) TOTAL ADJUSTED EbITDA $ 405,847 $ 385,961 $ 307,079 $ 330,227 $ 270,287 BALANCE SHEET SNAPSHOT AT YEAR END Cash and equivalents $ 40,144 $ 12,043 $ 4,365 $ 83,680 $ 64,260 Working capital (deficit) 65,200 99,472 (70,232) 156,685 118,370 Total assets 2,761,361 2,772,147 2,722,086 2,588,146 2,579,469 Total debt 1,470,243 1,396,798 1,430,769 1,405,571 1,779,925 Stockholders’ equity (deficit) 717,048 819,679 780,947 735,930 (174,204) We define adjusted eBitda as net income before interest, income taxes, depreciation and amortization, gain (loss) on early retirement of debt, stock compensation expense, equity in earnings (losses) of unconsolidated subsidiaries, other income (expense), and long-term incentive compensation. adjusted eBitda is used by management to evaluate financial performance and determine resource allocation for each of our operating units. (1) FINANCIAL HIGHLIGHTS SELECT MEDICAL HOLDINGS CORPORATION THROUGH ACQUISITIONS AND BUSINESS DEVELOPMENT, SELECT MEDICAL HAS HAD A STRONG TRACK RECORD OF GROWTH 1998 1997 1996 Founded NovaCare Rehabilitation ATH and Intensiva Significant Acquisitions / Joint Ventures Kessler Institute for Rehabilitation SemperCare Baylor Institute for Rehabilitation JV Regency Hospital Company SSM Rehabilitation JV Healthsouth Outpatient Division Penn State Hershey Rehabilitation JV 2000 1999 2001 2002 2003 2005 2004 2006 2007 2008 2010 2009 2011 $11 $131 $430 $774 $922 $1,087 $1,342 $1,602 $1,858 $1,851 $1,992 $2,153 $2,240 $2,390 $2,805 $2,949 2012 1,000 2,000 3,000 4,000 NET OPERATING REVENUES (IN MILLIONS) |