September 12, 2005 Pursuant to your request, attached herewith is ...

Frederick Memorial Hospital, Inc. And Subsidiaries
Consolidating Statement Of Operations
Year Ended June 30, 2005
Frederick Hospice of Emmitsburg
Memorial Frederick Properties,
Hospital, Inc. County, Inc. LLC
Revenues
Inpatient charges $ 119,916,552 $ 218,818 $
-
Outpatient charges 125,794,802
-
-
245,711,354 218,818
-
Allowances, contractual and other 37,082,131
1,068
-
Net patient service revenue 208,629,223 217,750
-
Premium revenues 106,035
-
-
Other operating revenues 7,607,176
-
-
Net assets released from restrictions used for operations 107,571
-
-
Total revenues 216,450,005 217,750
-
Expenses
Salaries and wages 90,406,264
Employee benefits 20,150,128
Professional fees 4,545,536
Cost of goods sold 34,295,838
Supplies 8,526,931
Contract services 15,424,677
Other 8,774,993
Utilities 2,757,244
Insurance 1,678,490
Depreciation and amortization 12,445,869
Interest 5,827,542
Provision for uncollectible accounts, net 8,579,340
Total expenses 213,412,852
Operating income (loss) 3,037,153
Other income
Gain (loss) on sale of assets 22,206
Unrestricted gifts, bequests and contributions 154,813
Investment income 4,865,566
Excess (deficiency) of revenues over expenses 8,079,738
29
-
-
-
2,603
100,552
416,691
102,405
10,570
2,900
78,893
-
-
714,614
(496,864)
-
606,036
25,850
135,022
-
-
3,200
-
-
-
-
-
-
-
-
-
3,200
(3,200)
-
-
121,395
118,195
Other changes in unrestricted net assets
Additional minimum pension adjustment (5,949,446)
-
-
Net unrealized appreciation (depreciation) of investments
Net assets released from restrictions used to
(1,393,449)
18,307
(17,913)
purchase property, plant and equipment
Increase (decrease) in
11,688,165
-
-
unrestricted net assets $ 12,425,008 $ 153,329 $
100,282