Health Management Associates 8-K Reports Fourth Quarter and Year-end 2007 Earnings

Exhibit 99.1

Contact:	John C. Merriwether
	Vice President of Financial Relations
	Health Management Associates, Inc.
	(239) 598-3131

HEALTH MANAGEMENT ASSOCIATES, INC.

REPORTS FOURTH QUARTER AND YEAR-END 2007 EARNINGS

NAPLES, FLORIDA (February 20, 2008) Health Management Associates, Inc. (NYSE: HMA)announced its consolidated financial results for the fourth quarter and year ended December 31, 2007. For the quarter, HMA reported net revenue of $1,096.3 million; earnings before interest, income taxes, depreciation, amortization, refinancing and debt modification costs and after minority interests (“EBITDA”) of $149.8 million; net income of $12.5 million; income from continuing operations of $18.8 million; diluted earnings per share (“EPS”) of $0.05; and diluted EPS from continuing operations of $0.08.

For continuing operations at hospitals owned and operated by HMA for one year or more, referred to as same hospital continuing operations, net revenue increased 4.6%, net revenue per adjusted admission increased 3.0%, admissions declined 1.0%, adjusted admissions increased 1.6%, emergency room visits increased 4.1%, and surgeries increased 0.5%, all compared to the prior year’s fourth quarter. Same hospital EBITDA from continuing operations for the quarter was $170.8 million, which represented a margin of 15.9%.

During the fourth quarter, HMA ceased operating its Mesquite Community Hospital as a general acute care hospital, converted it into a specialty women’s hospital, and renamed it Woman’s Center at Dallas Regional Medical Center. As part of the conversion, the new Woman’s Center discontinued virtually all emergency room services, and as expected, emergency room volumes and their corresponding general acute care admissions declined significantly. The comparative statistics for same hospital continuing operations, provided above, exclude the changes in the Woman’s Center.

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Health Management Associates, Inc./Page 2

Provision for doubtful accounts, or bad debt expense, was $135.2 million (or 12.3% of net revenue) for the quarter compared to $125.7 million (or 11.8% of net revenue) for the third quarter ended September 30, 2007.

Since February 2007, HMA has given a 60% discount to uninsured patients for non-elective services. Uninsured discounts for the quarter were $149.9 million compared to $153.5 million for the quarter ended September 30, 2007. Charity/indigent care write-offs for the quarter were $17.7 million, compared to $145.8 million for the same period a year ago and $19.1 million for the third quarter. The sum of uninsured discounts, charity/indigent write-offs and bad debt expense, as a percent of the sum of net revenue, uninsured discounts and charity/indigent write-offs, was 24.0% for the fourth quarter, compared to 37.7% (which included $200 million of additional bad debt reserves) for the same quarter a year ago and 24.1% for the third quarter ended September 30, 2007.

In addition, during the fourth quarter uninsured accounts receivable declined approximately $12.8 million compared to September 30, 2007, continuing the $9.0 million decline in uninsured accounts receivable during the third quarter as compared to June 30, 2007.

During the fourth quarter, the Company accounted for its Little Rock, Arkansas hospital and one of its two Biloxi, Mississippi hospitals as assets held-for-sale. Prior periods have been reclassified for these hospitals, as well as for two Virginia-based hospitals that the Company sold during the third quarter. The pre-tax loss from held-for-sale assets was approximately $8.7 million during the fourth quarter.

Total net revenue from continuing operations for the quarter increased 4.9%, total admissions from continuing operations declined 1.3%, and total adjusted admissions from continuing operations increased 1.1%, in each case as compared to the same quarter a year ago.

For the year, HMA reported net revenue of $4,392.1 million; EBITDA of $631.0 million; net income of $119.9 million; income from continuing operations of $117.9 million; diluted EPS of $0.49; and diluted EPS from continuing operations of $0.48. Cash flow from continuing operating activities for the year was $322.5 million, after cash interest and cash tax payments aggregating $294.2 million.

For 2008, HMA expects diluted earnings per share from continuing operations to be between $0.40 and $0.50 on anticipated net revenue of between $4.5 and $4.7 billion.

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Health Management Associates, Inc./Page 3

HMA will hold a conference call and webcast to discuss this press release on Thursday, February 21, 2008 at 11:00 a.m. ET. All interested investors are invited to access the webcast via HMA’s website atwww.hma.com or viawww.streetevents.com or join the conference call by dialing877-476-3476. The Company will archive a copy of the audio webcast, along with any related information that HMA may be required to provide pursuant to Securities and Exchange Commission rules, on its website under the heading “Investor Relations.”

HMA owns and operates 58 hospitals, with approximately 8,300 licensed beds, in non-urban communities located throughout the United States. The Company’s mission is the delivery of compassionate and high quality health care services that improve the quality of life for our patients, physicians, and the communities we serve.

All references to “HMA” or the “Company” used in this release refer to Health Management Associates, Inc. or its affiliates.

Certain statements contained in this release, including, without limitation, statements containing the words “believes,” “anticipates,” “intends,” “expects,” “optimistic,” and words of similar import, constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements may include projections of revenue, income or loss, capital expenditures, debt structure, bad debt expense, capital structure, or other financial items, statements regarding the plans and objectives of management for future operations, statements of future economic performance, statements of the assumptions underlying or relating to any of the foregoing statements, and other statements which are other than statements of historical fact.

Statements made throughout this release are based on current estimates of future events, and HMA has no obligation to update or correct these estimates. Readers are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially as a result of these various factors.

(financial tables follow)

HEALTH MANAGEMENT ASSOCIATES, INC.

CONSOLIDATED STATEMENTS OF INCOME

(unaudited, in thousands except per share amounts)

	Three Months Ended December 31,						Years Ended December 31,
	2007			2006			2007			2006
Net revenue	$	1,096,278		$	1,044,599		$	4,392,086		$	4,050,425
Operating expenses:
Salaries and benefits		453,540			430,394			1,786,610			1,627,559
Supplies		140,537			131,750			586,061			546,632
Provision for doubtful accounts		135,220			302,683			528,719			570,768
Depreciation and amortization		59,201			52,258			220,827			185,450
Rent expense		22,835			17,428			86,886			80,309
Other operating expenses		193,390			177,492			774,954			698,891
Total operating expenses		1,004,723			1,112,005			3,984,057			3,709,609
Income (loss) from operations		91,555			(67,406	)		408,029			340,816
Other income (expense):
Gains (loss) on sales of assets & insurance recoveries, net		(737	)		14,581			2,514			16,568
Interest expense		(63,335	)		(20,832	)		(221,960	)		(51,243	)
Refinancing and debt modification costs		—			—			(761	)		(7,602	)
Income (loss) from continuing operations before minority interest and income taxes		27,483			(73,657	)		187,822			298,539
Minority interests in (earnings) losses of consolidated entities, net		(220	)		133			(326	)		(2,037	)
Income (loss) from continuing operations before income taxes		27,263			(73,524	)		187,496			296,502
Income tax (expense) benefit		(8,505	)		28,282			(69,587	)		(114,721	)
Income (loss) from continuing operations		18,758			(45,242	)		117,909			181,781
(Loss) income from discontinued operations, net of income taxes		(6,298	)		(10,963	)		1,970			968
Net income (loss)	$	12,460		$	(56,205	)	$	119,879		$	182,749
Earnings (loss) per share:
Basic earnings (loss) per share:
Continuing operations	$	0.08		$	(0.18	)	$	0.49		$	0.76
Discontinued operations		(0.03	)		(0.05	)		0.01			—
Basic earnings (loss) per share	$	0.05		$	(0.23	)	$	0.50		$	0.76
Diluted earnings (loss) per share:
Continuing operations	$	0.08		$	(0.18	)	$	0.48		$	0.75
Discontinued operations		(0.03	)		(0.05	)		0.01			—
Diluted earnings (loss) per share	$	0.05		$	(0.23	)	$	0.49		$	0.75
Dividends per share	$	—		$	0.06		$	10.00		$	0.24
Weighted average number of shares outstanding:
Basic		242,733			240,759			242,308			240,723
Add: Stock-based compensation arrangements		1,385			—			2,811			2,611
Convertible debt		—			—			—			6
Diluted		244,118			240,759			245,119			243,340

HEALTH MANAGEMENT ASSOCIATES, INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

(unaudited, in thousands)

	Years Ended December 31,
	2007			2006
Cash flows from operating activities:
Net income	$	119,879		$	182,749
Adjustments to reconcile net income to net cash provided by continuing operating activities:
Depreciation and amortization		227,099			185,450
Provision for doubtful accounts		528,719			570,768
Stock-based compensation expense		18,402			18,330
Minority interests in earnings of consolidated entities		326			2,037
Gains on sales of assets and insurance recoveries		(2,514	)		(16,568	)
Write-offs of deferred financing costs		761			4,628
Non-deferred financing costs		—			2,974
Long-lived asset impairment charge		—			2,000
Deferred income tax (benefit) expense		64,893			(109,092	)
Changes in assets and liabilities of continuing operations, net of the effects of acquisitions:
Accounts receivable		(548,115	)		(489,407	)
Supplies		(4,933	)		(13,479	)
Prepaid expenses		7,359			1,483
Prepaid and recoverable income taxes and income taxes payable		(63,883	)		26,274
Deferred charges and other long-term assets		(13,878	)		3,260
Accounts payable		14,083			26,029
Accrued expenses and other current liabilities		(42,903	)		26,540
Other long-term liabilities		19,403			32,489
Equity compensation excess income tax benefit		(273	)		(1,369	)
Income from discontinued operations, net of income taxes		(1,970	)		(968	)
Net cash provided by continuing operating activities		322,455			454,128
Cash flows from investing activities:
Acquisitions of hospitals, minority interests and other		(38,599	)		(184,870	)
Additions to property, plant and equipment		(270,598	)		(336,049	)
Proceeds from sales of assets and insurance recoveries		32,345			6,051
Proceeds from sales of discontinued operations		70,000			37,196
Increases in restricted funds, net		(10,674	)		(18,495	)
Net cash used in continuing investing activities		(217,526	)		(496,167	)
Cash flows from financing activities:
Proceeds from long-term debt, net		2,707,608			866,948
Principal payments on debt and capital lease obligations		(344,587	)		(743,262	)
Proceeds from exercises of stock options		24,793			22,451
Purchases of treasury stock		—			(36,762	)
Payments of financing costs		(3,277	)		(3,568	)
Investments by minority shareholders		8,369			—
Cash distributions to minority shareholders		(3,025	)		(1,776	)
Payments of cash dividends		(2,425,001	)		(57,877	)
Equity compensation excess income tax benefit		273			1,369
Net cash (used in) provided by continuing financing activities		(34,847	)		47,523
Net increase in cash and cash equivalents before discontinued operations		70,082			5,484
Net decrease in cash and cash equivalents from discontinued operations:
Operating activities		(11,312	)		(4,070	)
Investing activities		(1,416	)		(4,202	)
Financing activities		(181	)		(307	)
Net increase (decrease) in cash and cash equivalents		57,173			(3,095	)
Cash and cash equivalents at beginning of period		66,814			69,909
Cash and cash equivalents at end of period	$	123,987		$	66,814

HEALTH MANAGEMENT ASSOCIATES, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(unaudited, in thousands)

	December 31, 2007		December 31, 2006
Assets
Current Assets:
Cash and cash equivalents	$	123,987	$	66,814
Accounts receivable, net		627,879		633,555
Other current assets		285,496		265,428
Assets of discontinued operations		28,745		79,877
Property, plant and equipment, net		2,443,189		2,395,237
Restricted funds		76,179		58,986
Other assets		1,058,444		991,055
	$	4,643,919	$	4,490,952
Liabilities and Stockholders’ Equity
Current liabilities	$	597,646	$	472,665
Deferred income taxes		70,457		109,790
Other long-term liabilities and minority interests		328,433		205,972
Long-term debt		3,566,355		1,296,403
Stockholders’ equity		81,028		2,406,122
	$	4,643,919	$	4,490,952

	Three Months Ended December 31,				Years Ended December 31,
	2007		2006		2007		2006
Same Hospitals(a)
Occupancy	42.8	%	45.2	%	45.0	%	45.3	%
Patient Days	317,744		322,474		1,266,207		1,283,942
Admissions	75,854		76,600		299,253		300,702
Adjusted Admissions	131,986		129,921		511,393		503,375
Average length of stay	4.2		4.2		4.2		4.3
Surgeries	68,929		68,620		271,051		272,983
Outpatient Revenue percentage	49.6	%	49.9	%	49.0	%	49.4	%
Inpatient Revenue percentage	50.4	%	50.1	%	51.0	%	50.6	%
Total Hospitals(a)
Occupancy	42.1	%	44.6	%	44.8	%	45.6	%
Patient Days	323,215		329,575		1,332,424		1,340,873
Admissions	77,531		78,576		316,486		314,914
Adjusted Admissions	134,842		133,422		543,312		529,528
Average length of stay	4.2		4.2		4.2		4.3
Surgeries	70,420		69,828		284,150		285,144
Outpatient Revenue percentage	49.4	%	50.7	%	49.3	%	51.0	%
Inpatient Revenue percentage	50.6	%	49.3	%	50.7	%	49.0	%

^(a) Continuing Operations

HEALTH MANAGEMENT ASSOCIATES, INC.

SUPPLEMENTAL CONSOLIDATED STATEMENTS OF INCOME INFORMATION

(unaudited, in thousands)

	Three Months Ended December 31,						Years Ended December 31,
	2007 (a)			2006 (a)			2007 (a)			2006 (a)
Net revenue	$	1,096,278		$	1,044,599		$	4,392,086		$	4,050,425
Less acquisitions, corporate and other		25,264			21,087			298,652			219,394
Same hospital net revenue	$	1,071,014		$	1,023,512		$	4,093,434		$	3,831,031
Income (loss) from continuing operations before income taxes	$	27,263		$	(73,524	)	$	187,496		$	296,502
Add:
Interest expense		63,335			20,832			221,960			51,243
Depreciation and amortization		59,201			52,258			220,827			185,450
Refinancing and debt modification costs		—			—			761			7,602
EBITDA (b)		149,799			(434	)		631,044			540,797
Adjustment for acquisitions, corporate and other		21,003			202,365			79,544			248,453
Same hospital EBITDA	$	170,802		$	201,931		$	710,588		$	789,250
Same hospital EBITDA margins =
Same hospital EBITDA / same hospital net revenue (b)		15.9	%		19.7	%		17.4	%		20.6	%

(a) Continuing operations.

(b) EBITDA is defined as earnings, before interest, refinancing and debt modification costs, income taxes, depreciation and amortization and after minority interest. EBITDA margin is defined as EBITDA divided by net revenue. EBITDA does not represent cash flows from operations as defined by generally accepted accounting principles in the United States, commonly known as GAAP, and should not be considered as either an alternative to net income as an indicator of HMA’s operating performance or as an alternative to cash flows as a measure of HMA’s liquidity. Nevertheless, HMA believes that providing non-GAAP information regarding EBITDA is important for investors and other readers of HMA’s financial statements, as it provides a measure of liquidity. In addition, EBITDA is commonly used as an analytical indicator within the health care industry and HMA’s debt facilities contain covenants that use EBITDA in their calculations. Because EBITDA is not a measurement determined in accordance with GAAP and is thus susceptible to varying calculations, EBITDA, as presented, may not be directly comparable to other similarly titled measures used by other companies.

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