Exhibit 99.1

HEALTH CARE AND RETIREMENT CORPORATION AND MANOR CARE TO COMBINE IN $5 BILLION
MERGER TO CREATE NATION'S LEADING LONG-TERM HEALTH CARE SERVICES COMPANY

- - COMBINATION OF TWO PREMIER COMPANIES TO RESULT IN ENHANCED GROWTH PROSPECTS
AND PROFITABILITY -

- - NEW COMPANY TO HAVE EXCEPTIONAL FINANCIAL AND GEOGRAPHIC STRENGTH -

TOLEDO, Ohio and GAITHERSBURG, Md., June 10 /PRNewswire/ -- Health Care and
Retirement Corporation (NYSE: HCR - news) and Manor Care Inc. (NYSE: MNR -
news) today jointly announced a definitive agreement to merge the two
companies in an exchange of shares, in a transaction valued at approximately
$5 billion, including the assumption of debt. The combined company, which will
be known as HCR Manor Care, will unite two of the nation's leaders in the
long-term health care services industry. It will create the largest and most
profitable company in its industry, exceptionally well positioned to
capitalize on new growth opportunities.

Under the terms of the agreement, each share of Manor Care will be exchanged
for one share of HCR. The transaction is expected to be immediately accretive
to HCR's earnings and to be taxfree to Manor Care's shareholders. It will be
accounted for as a pooling of interests.

The transaction has been approved by the Boards of Directors of both companies,
and requires the approval of the shareholders of both companies, as well as
customary regulatory approval. The Bainum family, which holds approximately 31%
of the shares of Manor Care, has agreed to vote its shares in favor of the
transaction. The transaction is expected to be completed during the fourth
quarter. Headquarters of HCR Manor Care will be located in Toledo, Ohio. The
Board of Directors of the combined company will have equal representation from
both HCR and Manor Care. Stewart Bainum, Jr., Chairman and Chief Executive
Officer of Manor Care, will become Chairman of the combined company, and Paul
A. Ormond, Chairman, President and Chief Executive Officer of HCR, will be
President and Chief Executive Officer. Additionally, M. Keith Weikel, Senior
Executive Vice President and Chief Operating Officer of HCR, and Geoffrey G.
Meyers, Executive Vice President and Chief Financial Officer of HCR, will
maintain their respective positions after the combination. Joseph R. Buckley,
Executive Vice President of Manor Care, will continue as Executive Vice
President in the combined company.

As a result of the combination, the planned separation of Manor Care, Inc. into
a health care services management company and a health care real estate and
development company will be canceled.

Mr. Ormond said, "The combination of these two preeminent long-term care
providers will create an important new force in the industry, with increased
growth potential from an already rapidly growing base. The combination of our
two companies will enhance our ability to offer superior and innovative
patient services at a time when the long-term care industry is both growing
and consolidating."

Mr. Bainum said, "The merger of HCR and Manor Care brings together two
companies with similar philosophies and characteristics. I am pleased that we
will be gaining the additional talents of the HCR management team, which has
achieved such an outstanding record of success and in which I have full
confidence. By combining, we will be able to make optimal use of our top-
quality assets, and continue to attract the best people in the industry.
Together, we will be the premier long-term care company in the United States
in terms of facilities and capabilities, as well as the most profitable and
the largest in terms of market capitalization.

"By combining our strong financial positions, we will create a company with a
very solid balance sheet and an equity market capitalization of approximately
$4 billion, less than $1 billion of debt, and total revenues of $2.4 billion.
This financial strength will enable us to take advantage of greater expansion
opportunities, both through an aggressive internal facilities development
program and through future acquisitions, at the lowest cost of capital in the
industry."

Mr. Ormond stated, "Moreover, the merger will combine the best practices of
the best companies in the industry. HCR will bring its proven record for
generating consistent revenue and earnings growth, which has exceeded 20% in
each year since going public in 1991, and its strong operating expertise. Manor
Care will bring its top-notch facilities and its reputation for high-quality,
innovative services, including its rapidly growing Arden Court assisted living
facilities which specialize in the care of individuals with Alzheimer's
disease.

"Together, we will have a large percentage of high-quality revenues and a
strong geographic presence, especially in several states with particularly
attractive market dynamics, such as Ohio, Pennsylvania, Michigan, Illinois and
Florida. The combination will also improve our ability to negotiate
effectively with managed care providers," Mr. Ormond concluded.

Within the first full year of operations, the combined company expects to
realize at least $30 million of cost savings in addition to the earnings
enhancements generated by the combination.

In total, HCR has 124 long term care centers, 76 outpatient therapy clinics,
116 subacute and rehabilitation units, 5 assisted living centers, 33 home
health offices, and a national pharmacy with 4 locations. Manor Care operates
171 skilled nursing and rehabilitation facilities, 42 assisted living centers
and one acute care hospital.

Manor Care currently operates 213 health care facilities containing 28,300
beds in 29 states. Manor Care also owns approximately 50% of Vitalink Pharmacy
Services (NYSE: VTK - news) and holds a controlling interest in In-Home
Health, Inc. (Nasdaq: IHHI - news).

HCR, headquartered in Toledo, Ohio, now has more than 22,000 employees
providing high-quality care through a network of long-term care centers,
outpatient rehabilitation clinics, home

health care offices, and management service for professional organizations.
In 1997, HCR reported revenues of $892 million.

Chase Securities acted as financial advisor to HCR and SBC Warburg Dillon Read
was financial advisor to Manor Care.

HCR MANOR CARE FACT SHEET

HCR Manor Care Combined

Facilities:
LTC 124 171 295
Outpatient Therapy Clinics 76 -- 76
Subacute/Rehab 116 -- 116
Assisted Living 5 42 47
Acute Care Hospital -- 1 1
Home Health(l) 33 1 34
National Pharmacy 4 -- 4

States Covered 16 29 32

Top Five States 1) Ohio 1) Pennsylvania 1) Pennsylvania
2) Florida 2) Illinois 2) Ohio
3) Michigan 3) Florida 3) Florida
4) Texas 4) Ohio 4) Illinois
5) Pennsylvania 5) Maryland 5) Michgan

Quality Mix(2)
Private/owner 44% 56% 51%
Medicare 26% 18% 21%
Medicaid 30% 26% 28%
Occupancy 89% 88% 89%

(1) Includes Manor Care's equity interest in In Home Health.
(2) Excludes Hospital for Manor Care.

HCR MANOR CARE FACT SHEET
(Dollars in millions, except otherwise noted)

LTM(3)
HCR Manor Care Combined

Revenue $905 $1,355 $2,260
EBITDA 156 223 379
EBIT 118 145 263
Net Income 73 100 173
Cash $3 $45 $48
Total Assets 949 1,793 2,742
Total Debt 293 478 771
Total Equity 446 816 1,262

Shares outstanding(MM) 44.8 63.7 108.5
Debt/Capitalization 40% 37% 38%
Debt/EBITDA 1.9x 2.1x 2.0x

(3) Based on HCR and Manor Care's 10-K and 10-Q SEC Filings. Manor Care results
adjusted for Vitalink transaction.

SOURCE: Health Care and Retirement Corporation