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Corporate News

RHÖN-KLINIKUM AG Schlossplatz 1 D-97616 Bad Neustadt / Saale www.rhoen-klinikum-ag.com

Annual General Meeting of RHÖN-KLINIKUM AGon 7th June 2017 in Frankfurt/Main

Frankfurt and Bad Neustadt / Saale, 7th June 2017

- Dr. Annette Beller elected to Supervisory Board

- Consent to dividend proposal and appropriation of net distributable profit

- Formal approval of actions of Dr. Martin Siebert, Prof. Dr. Bernd Griewing  and Martin Menger

- Formal approval of actions of Supervisory Board members

- Authorization not given to acquire Company shares 

As specified in the agenda the ordinary Annual General Meeting of RHÖN-KLINIKUM AG has made the following decisions:The sum of approx. Euro 23.4 million from the 2016 net distributable profit will be used for the distribution of a dividend of Euro 0.35 per non-par share. The actions of the members of the Board of Management, Dr. Martin Siebert, Prof. Dr. Bernd Griewing and Martin Menger, and of the members of the Supervisory Board who were in office in 2016 have been formally approved. Dr. Annette Beller, a board member of B. Braun Melsungen AG, has been elected to the Company's Supervisory Board. The proposal to authorize the Company to acquire up to 10 percent of the existing share capital has not been accepted.

Our Campus Concept is the Key to the Future

CEO Stephan Holzinger emphasized the strategic direction of the Company in his speech: "The lack of medical care in rural areas will gradually become worse. The structure of small hospitals with 2000 facilities cannot be maintained together with a high quality of treatment. Efficient medical care close to home in rural areas can therefore no longer be guaranteed in the long-term. It is precisely this challenge which we take on with our campus concept to provide an innovative answer which benefits society and offers growth prospects for our Company," Holzinger stated.

The fundamental issue here is to overcome the boundaries which are typical in the healthcare system between in-patient and out-patient medical care, between prevention, rehab and treatment. "Our concept foresees a holistic healthcare campus which is both physically and structurally linked where we connect in-patient and out-patient services as well as a variety of preventative measures and medical services. The aim is to link all medical services which have hitherto existed alongside each other in such a manner so that the treatment process is optimized for the individual patients and they can move easily from one part of the system to another," Holzinger continued.

Intelligent, cognitive IT solutions and innovative communication systems are necessary here in order to optimize the referral and navigation of patients and to assist the physicians in their work. WebEPA⁺, our system for electronic patient records, which is currently being introduced gradually throughout the Company, will play a crucially important role here.

Holzinger: "We are applying this concept in an ideal manner for the first time with our new campus building in Bad Neustadt which will be taken into service in January 2019. In the medium term we wish to market and export our campus concept as an efficient and forward-looking healthcare model for rural areas. We are currently analyzing in a phase model all approx. 400 districts in Germany whether a logistical and legal structure of the campus which is tailor-made for the particular region is potentially feasible."

Financial Figures for 2016 and 1st Quarter 2017

Exactly 813,747 patients were treated at the five sites of the Company in 2016. Revenues amounted to Euro 1.18 billion with earnings before interest, taxes, depreciation and amortisation (EBITDA) standing at Euro 156.9 million. Without subsequent transaction effects EBITDA stood at Euro 114.9 million. Net consolidated profit was at Euro 58.6 million. For the current financial year 2017 the Company expects revenues of Euro 1.20 billion to Euro 1.23 billion and EBITDA of Euro 85 million to Euro 105 million.

212,187 patients were treated in the first quarter of financial year 2017. Revenues amounted to Euro 300.1 million with EBITDA standing at Euro 25.5 million.

Digital Transformation and Corporate Concept

Holzinger pointed out that putting the campus concept into practice was intrinsically tied to the far-reaching digitalization of diagnostic and therapeutic methods as well as of medical processes with the Company pressing on with said digital transformation not just at the campus but at every one of its facilities. This digital transformation has already become part of the daily routine in many sectors and will also put the healthcare system and its structure and work processes as well as the occupational profiles of the Company to the test in the medium term.

"I see this as a great opportunity to increase our corporate lead by applying cognitive intelligence systems and using telemedical applications for the benefit of our patients and their recovery back to full health," the CEO continued. It is necessary to have entrepreneurial vision and courage in order to realize such a goal. "I see my role as an entrepreneur who thinks unconventional thoughts and who strives for distinct yet practical solutions. I place high demands on myself and expect management in particular to examine processes and habits, to think outside the box and to find bold solutions. Together with our employees' expertise and experience this is a good recipe for our Company's success in the future."_____________________________________________________________________________

RHÖN‐KLINIKUM AG is one of the largest healthcare providers in Germany. At five medical sites with a total of 5,400 beds we offer cutting-edge medical care with a direct link to universities and research institutes. Our top five key areas of treatment are cardiological and coronary disease, neurological disorders, oncology, lung diseases as well as orthopaedic and accident surgery. A total of approx. 16,500 employees work for RHÖN-KLINIKUM AG. Our facilities are located in Bad Berka, Bad Neustadt/Saale, Frankfurt (Oder) and Giessen and Marburg.www.rhoen-klinikum-ag.com

Your Contact Persons:

RHÖN-KLINIKUM AG

Achim Struchholz | Group Division Head of Corporate CommunicationSchlossplatz 1, 97616 Bad Neustadt / SaaleTelephone: + 49 - 9771 65-1327 | Facsimile: + 49 - 9771 65-1820E-Mail: kommunikation(at)rhoen-klinikum-ag.com

Dr. Kai G. Klinger | Group Division Head of Investor Relations & Corporate FinanceSchlossplatz 1, 97616 Bad Neustadt / SaaleTelephone: + 49 - 9771 65-1318 | Facsimile: + 49 - 9771 99-1736E-Mail: kai.klinger(at)rhoen-klinikum-ag.com