INDEX TO FINANCIAL STATEMENTS Page Health Management Associates, Inc. Consolidated Financial Statements: Report of Independent Registered Public Accounting Firm 2 Consolidated Statements of Operations for the years ended

INDEX TO FINANCIAL STATEMENTS

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

Board of Directors and Stockholders

We have audited the accompanying consolidated balance sheets of Health Management Associates, Inc. as of

December 31, 2013 and 2012, and the related consolidated statements of operations, comprehensive income (loss), stockholders equity and cash flows for each of the three years in the period ended December 31, 2013. These financial

statements are the responsibility of the Company s management. Our responsibility is to express an opinion on these financial statements based on our audits.

We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards

require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. We were not engaged to perform an audit of the Company s internal controls over financial

reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of

the Company s internal controls over financial reporting. Accordingly, we express no such opinion. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the

accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the financial statements referred to above present fairly, in all material respects, the consolidated financial position of

Health Management Associates, Inc. at December 31, 2013 and 2012, and the consolidated results of its operations and its cash flows for each of the three years in the period ended December 31, 2013, in conformity with U.S. generally

accepted accounting principles.

/s/ ERNST & YOUNG LLP

Certified Public Accountants

HEALTH MANAGEMENT ASSOCIATES, INC.

CONSOLIDATED STATEMENTS OF OPERATIONS

See accompanying notes.

HEALTH MANAGEMENT ASSOCIATES, INC.

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

See accompanying notes.

HEALTH MANAGEMENT ASSOCIATES, INC.

CONSOLIDATED BALANCE SHEETS

(in thousands, except per share amounts)

See accompanying notes.

HEALTH MANAGEMENT ASSOCIATES, INC.

CONSOLIDATED STATEMENTS OF STOCKHOLDERS EQUITY

Years Ended December 31, 2013, 2012 and 2011

See accompanying notes.

HEALTH MANAGEMENT ASSOCIATES, INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

See accompanying notes.

HEALTH MANAGEMENT ASSOCIATES, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

Health Management Associates,

Inc. by and through its subsidiaries (collectively, HMA or the Company ) provides health care services to patients in hospitals and other health care facilities in non-urban communities located primarily in the southeastern

United States. As of December 31, 2013, the Company operated 70 hospitals in fifteen states with a total of 10,706 licensed beds, including twenty-three hospitals located in Florida, ten hospitals in Mississippi and nine hospitals in Tennessee.

On July 29, 2013, the Company entered into an Agreement and Plan of Merger (the Merger Agreement ) with Community Health

Systems, Inc. ( CHS ) and FWCT-2 Acquisition Corporation, an indirect, wholly-owned subsidiary of CHS ( Merger Sub ), pursuant to which Merger Sub merged with and into the Company and became an indirect, wholly-owned subsidiary

of CHS (the Merger ). The Merger was completed on January 27, 2014 and the terms and conditions are described in more detail in Note 13.

As further described in Note 12, on August 12, 2013, Glenview Capital Management, LLC and certain of its affiliated investment funds

(collectively Glenview ), delivered written consents from holders of the Company s common stock, or their duly authorized proxies, sufficient to replace the Company s entire Board of Directors with nominees of Glenview pursuant

to a consent solicitation process (the Consent Solicitation Process ) that had previously been commenced by Glenview.

specifically indicated otherwise, all amounts and percentages presented in the notes below are exclusive of the Company s discontinued operations, which are identified at Note 10.

The preparation of financial statements in conformity with U.S. generally accepted accounting principles ( GAAP ) requires

management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results could differ from those estimates.

The Company consistently applies the accounting policies described below.

a. Principles of consolidation

The consolidated financial statements include the accounts of the Company and its subsidiaries, all of which are controlled by the Company

through majority voting control. All significant intercompany accounts and transactions have been eliminated. The Company uses the equity method of accounting for investments in entities in which it exhibits significant influence, but not control,

and has an ownership interest ranging from 20% to 50%.

For consolidation and variable interest entity disclosure purposes, management

evaluates circumstances where the Company has ownership, contractual or other financial interests that may result in its (i) ability to direct the activities of an entity that most significantly impact such entity s economic performance

and/or (ii) obligation to absorb the losses of, or the right to receive the benefits from, an entity that could potentially be significant to that entity; however, no such arrangements that would be material to the Company s consolidated

financial position or results of operations have been identified.

b. Cash and cash equivalents

Cash and cash equivalents include all highly liquid investments with an original maturity of three months or less. The Company s cash

equivalents primarily consist of investment grade financial instruments.

c. Available-for-sale securities

The Company s investments in debt securities and shares in publicly traded stocks and mutual funds have been designated by management as

available-for-sale securities, as defined by GAAP. The estimated fair values of such securities are based on quoted market prices and pricing valuation models. Changes in temporary unrealized gains and losses are recorded as adjustments to other

comprehensive income, net of income taxes. Periodically, management performs an evaluative assessment of individual securities to determine whether declines in fair value are other-than-temporary. Management considers various quantitative,

qualitative and judgmental factors when performing its evaluation, including, but not limited to, the nature of the security being analyzed and the length of time and extent to which a security s fair value is below its historical/amortized

cost. Also, see Notes 5 and 11 for more information regarding the Company s available-for-sale securities.

HEALTH MANAGEMENT ASSOCIATES, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)

d. Property, plant and equipment

Property, plant and equipment are stated at cost and include major expenditures that extend an asset s useful life. Ordinary repair and

maintenance costs (e.g., medical equipment adjustments, painting, cleaning, etc.) are expensed as incurred. Depreciation and amortization are computed using the straight-line method over the estimated useful lives of the underlying assets. Estimated

useful lives for buildings and improvements range from fifteen to forty years and for equipment range from three to fifteen years. Leasehold improvements, capital lease assets and other assets of a similar nature are amortized on a straight-line

basis over the shorter of the term of the respective lease or the useful life of the underlying asset. Depreciation expense was approximately $247.9 million, $240.0 million and $215.8 million during the years ended December 31, 2013, 2012 and

e. Deferred debt issuance costs, goodwill and other long-lived assets

Deferred debt issuance costs. Deferred charges and other assets include deferred debt issuance costs that are being amortized over the

estimated economic life of the related debt using the effective interest method. A rollforward of the Company s deferred debt issuance costs is presented in the table below (in thousands).

Accumulated amortization of deferred debt issuance costs was approximately $26.7 million and $14.5 million at

December 31, 2013 and 2012, respectively. Amortization of deferred debt issuance costs was $12.3 million, $11.4 million and $7.6 million during the years ended December 31, 2013, 2012 and 2011, respectively. As further discussed in Note 2,

in conjunction with the completion of the Merger, the Company s borrowings under its Credit Facility and the Senior Notes due 2016 and 2020 were repaid and the related deferred debt issuance costs were written off.

Goodwill. GAAP calls for goodwill (i.e., the excess of cost over acquired net assets) and intangible assets with indefinite useful

lives to be tested for impairment annually and whenever circumstances indicate that a possible impairment might exist. Management performs the goodwill impairment test by initially comparing the estimated fair values of the reporting unit s net

assets, including allocated home office net assets, to the corresponding carrying amounts on the Company s consolidated balance sheets. The estimated fair value of the Company s reporting unit is determined using a market approach

methodology based on revenue multiples. Management also considers a market approach valuation methodology based on comparable transactions. If the estimated fair value of the reporting unit s net assets is less than the balance sheet carrying

amount, management determines the implied fair value of the reporting unit s goodwill, compares such fair value to the corresponding carrying amount and, if necessary, records a goodwill impairment charge.

Reporting units are one level below the operating segment level (see Note 1(n)). Prior to the Merger, the Company performed its goodwill

impairment testing at the divisional operating level. After the announcement of the Merger Agreement, changes in executive management occurred and new executive management reorganized all of the Company s division operations and the level of

operational reviews and management oversight under the direction of CHS. From that point forward, financial and operating performance review of the Company s hospitals performed by the chief operating decision maker, was performed on an

entity-wide basis. As a result management concluded that the Company s goodwill should be combined into one reporting unit representing the Company s entire hospital operations. This conclusion, reached during the third quarter of 2013,

was considered as part of the Company s annual test for goodwill impairment.

There were no goodwill impairment charges in continuing

operations during the years ended December 31, 2013, 2012 and 2011.

HEALTH MANAGEMENT ASSOCIATES, INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (continued)

Physician and Physician Group Guarantees. Deferred charges and other assets include