Hospital Corporation of America and Subsidiaries - Page 9

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               Psychiatric Hospitals                                                  
               As of January 1, 1981, petitioners did not own any                     
          psychiatric hospitals although a number of petitioners' hospitals           
          operated psychiatric wards within them.  During 1981, petitioners           
          acquired and operated 22 psychiatric hospitals.  At the end of              
          1986, petitioners operated 39 psychiatric hospitals, which were             
          located in 14 States and one foreign country.                               
               Petitioners' psychiatric hospitals provide for the mid- and            
          long-term treatment of persons suffering from mental and                    
          emotional diseases and disorders.  Typically, these facilities do           
          not provide the broad range of medical treatment provided by                
          petitioners' acute care hospitals.                                          
               Petitioners' psychiatric hospitals employ administrative               
          personnel, nurses, patient attendants, counselors, therapists,              
          pharmacists, and other medical personnel to care for patients               
          with mental and emotional diseases and disorders.  The                      
          professional personnel working at psychiatric facilities are                
          trained in procedures such as crisis intervention and special               
          therapies for treating mental problems associated with aging,               
          substance abuse, sexual abuse, depression, grief and loss, stress           
          management, and the emotional problems of adolescence, as well as           
          psychotic or chronic disorders.  The treatment programs at the              
          psychiatric hospitals emphasize not only therapy and counseling,            
          but also education and the development of communication skills.             






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