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Dear Team,

Following our Board of Directors meeting last night, I wanted to provide you with an update
regarding our potential strategic partnership with Novant Health.
In Georgia and around the country, healthcare systems are coming together to improve quality,
reduce costs, and build an infrastructure for population health - all of which are needed to
succeed in the dynamic world of healthcare reform. In this regard, Memorial is taking a
proactive approach. We are defining our future, rather than letting it define us.
As you know, the Board announced in September that Memorial and Novant Health would
engage in exclusive discussions to evaluate the potential of a long-term strategic partnership.
Our objectives include:
Maintain Memorial's mission and safety net services;
Improve stability for our Team Members through competitive wages, professional
development, and growth opportunities;
Expand clinical services in our growing communities;
Grow our physician network to serve the community;
Maintain local influence and local management; and
Strengthen Memorial's financial position.
Since 2012, Memorial has enjoyed a mutually beneficial relationship with Novant Health. Our
shared services agreement has yielded cost savings of more than $8 million since its inception,
and we continue to partner with them on clinical processes, best practices, and more. Novant
Healths CEO Carl Armato has stated on many occasions that he is excited to grow our
partnership and believes that together, we can bring improved care in all of the communities
we serve.
As we continue on in our discussions, the Memorial board and the Chatham County Hospital
Authority are committed to a fair and transparent process; we hold true to that commitment
and are working closely together.
As a non-profit founded by Chatham County, the nature of a partnership being discussed is the
alignment of two health systems with similar missions while maintaining our local board. As
part of the partnership process, a Certificate of Need (CON) was filed with the state of Georgia
by Novant Health in December; this is usual and customary for a partnership of this nature. To
that end, this is not yet an approved partnership, and discussions with Novant Health are
ongoing.
We are continuing to work through the details of our potential agreement, and we expect to be
able to share more information in the coming months.

Details of the proposal include:


Significant capital commitment, which will create more patient access, expanded clinical
services, and increased job opportunities;
Support of all debt, including bond debt;
Maintaining Memorials board;
Maintaining CCHA lease and arrangement with Chatham County;
Continuing local policies, including charity care;
Support of Team Members, management, and physicians;
Support of market-based wages;
Continue and grow all major service lines, including mission-based services Level 1
trauma, Level III neonatal, and medical education.
These discussions have the support of the Chatham County Hospital Authority. Don Waters,
chairman, said, When we can achieve the framework that has been set forth, it will be a very,
very positive move for the community, for the hospital, and for the Chatham County Hospital
Authority.
A long-term strategic partnership with an outstanding organization like Novant Health will be
very good news for Memorial, our patients, and our community. We will have access to grow in
a manner that we could never do as a stand-alone organization. I am excited about this
opportunity, and I hope you are as well. Together, we have turned Memorial around, and
together, we will lead it into a bright future. Thank you for all you do!
My Memorial,
Harry Haslam