FINANCIAL STATEMENT NOTICE

Beckley Appalachian Regional Hospital Statement of Operations and Changes In Net Assets For The Year Ended June 30, 2016 Revenues Net Patient Service Revenue 85,940,858 Other Revenue 9,122,688 Total Operating Revenue 95,063,546 Expenses Salaries and wages 32,635,065 Payroll Taxes and Employee Benefits 13,914,830 Rent and Lease Expense 1,201,253 Plant operations and maintenance 2,821,647 Outside Services 13,383,702 Supples and Pharmaceuticals 14,436,151 Depreciation 2,925,732 Interest 420,310 Provider tax 3,937,764 Central Expenses 7,899,147 Other Expenses 5,772,942 Total Expenses 99,348,542 Net Income (Loss) from operations -4,284,996 Non-Operating Income 811,697.34 Excess of revenues over expenses -3,473,299 Beckley Appalachian Regional Hospital is a part of Appalachian Regional Healthcare, Inc. which is a not-for-profit corporation. Details supporting the contents of these statements are available for public inspection and copying at the Office of the West Virginia Health Care Authority, 100 Dee Drive, Suite 201, Charleston, West Virginia 25311, during regular business hours 9:00 a.m. to 5:00 p.m. any business day. There is a charge for copying. Beckley ARH BALANCE SHEET For the Period Ended June 30, 2016 ASSETS June 30, 2016 Current Assets Cash and Cash Equivalents (80,882) Net Accounts Receivable 3,222,543 Other Accounts Receivable (18,009,602) Inventory 1,159,827 Prepaid Expenses 444 Total Current Assets (13,707,670) Net Property Plant and Equipment Property Plant and Equipment 67,190,593 Less Accumulated Depreciation (41,712,996) Net Property Plant and Equipment 25,477,597 TOTAL ASSETS 11,769,927 LIABILITIES AND NET ASSETS Current Liabilities Accounts Payable (6,321) Third Party Settlements (6,857,715) Health Insurance Accrual 9,115,648 Other Current Liabilities 15,500,453 C/P Long Term Debt (1,945,166) Total Current Liabilities 6,178,257 Long Term Debt Less Current Portion Capital Lease Obligations (509,674) Notes Payable 161,433 Total Long Term Debt Less Current Portion (348,241) TOTAL LIABILITIES 5,830,016 Unrestricted Net Assets – Due to/Due From Home Office (17,599,944) TOTAL LIABILITIES AND NET ASSETS (11,769,927) Beckley Appalachian Regional Hospital is a part of Appalachian Regional Healthcare, Inc. which is a not-for-profit corporation. Details supporting the contents of these statements are available for public inspection and copying at the Office of the West Virginia Health Care Authority, 100 Dee Drive, Suite 201, Charleston, West Virginia, 25311, during regular business hours 9:00 a.m. to 5:00 p.m. any business day. There is a charge for copying. 10-13-THU-1-RH; LG 4500