Physician & Entrepreneur

2. Background Physician & Entrepreneur

3. Seth Guterman MD FACEP EMERGENCY CARE PHYSICIAN SERVICES Board Certified EM Physician Staffing Board-Certified, Clinically-Practicing Emergency Medicine Physician Hospital turnaround expert whose process improvement expertise focuses on Risk Management, Government Compliance, and Enhanced Workflow Strategies EMPOWER SYSTEMS ONC Certified Comprehensive Electronic Health Record PEOPLE’S CHOICE HOSPITAL Hospital Acquisition and Management Experts

5. EHR Why EHR Stills Needs Huge Improvement, Why 95% of Hospitals are Partial Paper and How to Address It

6. SPEED Doctors and Nurses require EHRs that will enable them to document as fast, if not faster, than on paper. INTEGRATION Disparate systems that do no efficiently share real-time information dictate users to wait for information or revert to old workflow patterns. DESIGN EHR productsbuiltwithout direct involvement of Doctors and Nurses will not fullymeettheirneeds.

7. Requirements For Comprehensive EHR Adoption & Acceptance

8. Requirements for Adoption & Acceptance • Workflow should not Change • Clinical process enhanced; not altered. • Simplicity of User Experience (Navigation) • Limited mouse clicks and fewer layers of pages/content. • Easy Trending & Filtering of Data • Saves time for end users. • Centralized Information • All notes, clinical and ancillary, should be stored in a single location • Complete Medical Record • Social, family and past medical histories of each patient, home medications, allergies, and previous visits. • Easy Physician (CPOE) Orders • Avoids workflow delays and unsigned orders.

9. Benchmarks For Successful EHR Implementation & Adoption

10. Benchmarks for Success 1. Define the Scope of the Project • Implementation of User-Friendly Software • Standard of Care for Documentation to be Better than or Equal to the Handwritten Medical Chart • Implementation of 1 Hospital Unit at a Time

11. Benchmarks for Success 2. Outcome Measurements • Ease of Use for Physicians and Nurses: Measure Training Time • Evaluate Hospital Staff Productivity Computer vs. Paper • Average Time for a Nurse to Execute Physician Order • Average Patient Length of Stay in the Hospital • Number of Hospital Coded Charts per Coding Staff • Compliance with Joint Commission Core Measures • Present on Admission – CMS Requirements • Track the Number of MD Delinquent Charts / Summary Suspension from Medical Staff • MD, RN, Clinical and CODING Staff Subjective Surveys

12. Benchmarks for Success PHASE 1 • Getting Doctors and Nurses “Off Paper” and on to Documentation Software (a Clinical Electronic Pen) for Clinical Documentation • CPOE-Computerized Physician Order Entry • 100% Compliance with Joint Commission Core Measures • 100% Compliance with Medical Necessity • ADT & Diagnostic Results Integration with Core HIS • CPOE integration between EHR & Core HIS • Physician Clinical Decision Support Software • Provide a Medical Record that is Legible • Pharmacy and eMAR Integration

13. Benchmarks for Success PHASE 2 • CPOE integration between EHR & Core HIS • Discharge Instructions • Vital Signs Monitoring & Smart Bed Integration

14. Benchmarks for Success PHASE 3 • Bedside Pharmacy Scanning Devices • Value-Added Risk Management Features (Coding, Charge Capture, etc.) • Paperless Hospital InPatient Units

15. Benchmarks for Success PHASE 4 • Physician and Nurse Leadership lead Clinical Care Integration • Work Flow Experts (Documentation & Flow of Information) • Software Implementation • Interface Engines Development and Deployment • Crisis Managers for Clinical Documentation

16. EHR + HIS Technology Crucial to the Success of 21st Century Healthcare

17. Cloud-Based EHR+HIS Solutions EmpowerSystems™

18. SECURE Connectivity for All Users from Any Location INTEGRATED Across all Empower EHR and HIS Products EFFICIENT Deployment within Days of Contract Signing

19. Empower EHR + HIS Solutions ONC Certified Inpatient, Ambulatory, ED Systems Registration System Hospital Scheduling Revenue Cycle Management Laboratory Information System Radiology Information System Pharmacy Information System Surgical Suite Management System Health Information Exchange Patient Portal

20. Telemedicine by PCH

21. Telemedicine by PCH People’s Choice Hospital leverages cutting-edge Telemedicine solutions In conjunction with EmpowerSystems™ ONC Certified Comprehensive EHR and Advanced Core HIS solutions To immediately provide Rural and Inner City hospitals with access to leading medical professionals, regardless of geographic limitations

22. A National Telemedicine Hub

23. Hospital Landscape Successful EHR / HIS Deployment Crucial to Survival

24. Hospital Financial Landscape Bankrupt or Liquidating 37% Break-Even 38% Profitable 25%

25. Affordable Care Act 30 Million Previously Uninsured / Self-Pay Patientsto Infuse Massive Volume-Based Revenue Insured 25% Underinsured 45% Self Pay 30%

26. Increased Healthcare Needs of Baby Boomers 65+ Population represents massive volume increase in marketplace. 78Million

28. 1 2 30Million Americans to be fully insured via Affordable Care Act 78Million Baby Boomers turning 65 years old A Perfect Storm 4 3 75%of Hospitals facing Financial Hardship $149Billion for Healthcare Spending under ARRA/HITECH 2009“The Carrot & Stick” $

29. Opportunity To Restore Struggling Hospitals to Positions of Strength in their Communities

30. Methodology IDENTIFY The Needs of the Hospital and Its Community ASSESS The Financial and Operational Realities of the Facility DEVELOP A Viable Financial & Operational Model for Success DELIVER Experienced Clinical, Technical, and Operational Teams

31. Road Map To Enhanced Revenue Streams and Turnaround Success for Hospitals and Communities

32. ROADMAP TO TURNAROUND SUCCESS Enhance Clinical Revenue Admissions, Tests, Procedures Enhance Operations Resource Allocation, Billing/Coding, Government Incentive Programs Leverage Talent Local, Regional, National

33. Competitive Advantage Why PCH is Unique

34. Disparate Competitors PHYSICIAN STAFFING COMPANIES Clinical Skill, but Not Operations HOSPITAL ACQUISITION GROUPS MBA / M&A Viewpoint EHR / HIS COMPETITORS Technical Tools, but No Operational Experience

35. Competitive Advantage Able to Leverage Strategic Components Not Duplicated by Potential Competitors National Telemedicine Hub with Access to On-Site Physician Specialist Network One Patient. One Chart. One Database. Advanced EHR & HIS Technology Proven experience in operating and supporting distressed hospitals

36. Process Turnaround Strategies for Bankrupt Hospitals

37. Process Identify bankrupt hospital turnaround opportunities Enact Loan to Own strategies utilizing Secured Debt Purchases Establish operational control of the facility with approved Management Agreement Deploy Advanced EHR / HIS Technology Increase hospital revenue streams Exit bankruptcy protection once hospital mismanagement and bad contracts have been resolved

38. Proof of Concept Cochise Regional Hospital Douglas, AZ

40. Proof of Concept Timeline Opportunity Identified April 2013 Mgt Contract Submitted June 2013 Negotiation of Debt Purchase May 2013 Completion of Debt Purchase May 2013 EHR / HIS Contracts Executed July 2013 EHR / HIS Systems Installed July 2013

41. Proof of Concept Timeline Mgt Contract Approved August 2013 Legal Proceeding Conclusion Jan 2014 Operational Control of Facility Active Review of Budget, Finances, Staff, Resources Aug 2013-Present Strategic Action Taken at Facility Policies, Procedures, Budget Cuts Enacted Aug 2013-Present Telemedicine & MD Access Launch Jan 2014 Marketing & Brand Revision Jan 2014

42. Reach Us At Our Corporate Offices 2000 Spring Road Suite 200 Oak Brook, IL 60523 305-766-3245 (phone) 312-276-8116 (fax) www.PeoplesChoiceHospital.com contact@PeoplesChoiceHospital.com