EMORY HEALTHCARE NAMES JOHN T. FOX PRESIDENT AND CHIEF OPERATING OFFICER

John T. Fox, executive vice president of Clarian Health, Indianapolis, has been named president and chief operating officer of Emory Healthcare, effective April 15, 1999.

Fox reports to Dr. Michael M. E. Johns, CEO and chair of Emory Healthcare and executive vice president for Health Affairs at Emory University.

This is a new position, created last year after Emory Healthcare completed extensive integrated strategic planning and underwent major restructuring, fully integrating The Emory Clinic into the healthcare system and adding the Wesley Woods Center and a new joint venture with Columbia/HCA Healthcare Corporation. Now the most comprehensive healthcare system in Georgia, Emory Healthcare is comprised of The Emory Clinic and 18 primary health care health centers in greater metropolitan Atlanta; the Emory Children's Center; Emory University Hospital, Crawford Long Hospital, Wesley Woods Center of Emory University, Inc., and Emory-Adventist Hospital of Smyrna; the Emory Healthcare affiliation network of more than 50 community hospitals throughout Georgia and neighboring states; and EHCA, LLC, Inc, a limited liability company operated jointly by Emory Healthcare and Columbia/HCA and consisting of eight Atlanta area hospitals and five surgery centers owned by Columbia/HCA.

Fox will work alongside Johns to direct the critical analysis, enhancement and successful implementation of this system-wide healthcare strategic plan, and to design and assess new strategic plans. He will work closely with the CEOs of the Emory Healthcare components to develop and implement a system-wide strategy to improve the care and value Emory provides its patients.

Fox will work closely with the CFO of Emory Healthcare to enhance how funds flow between these components to ensure efficient and effective operation. He also has responsibilities for organizational analysis and design of the building blocks of Emory Healthcare and how crucial activities of the organization are integrated. He will evaluate and serve as the chief negotiator for new ventures, acquisitions and affiliations. He will review all managed care contracts and analyze other potential contractual arrangements.

Johns said "John Fox's arrival at Emory marks another major step in our continuing evolution as a highly-integrated, smoothly-functioning healthcare system that will remain the regional leader in healthcare delivery, while supporting the Woodruff Health Sciences Center's missions of education, research and patient care. John is exactly the pivotal change agent we wanted at this time in our history. He has an enormous breadth of experience with both academic and community healthcare, and he knows how to work with other people to set and meet organizational goals. Time and time again, he has proven his ability to make the changes systems and communities needs. He's going to be a great member of a great team."

This will not be Fox's first experience as a "pivotal change agent" and team builder. Clarian Health is a relatively new organization, established in 1997, the product of a series of mergers and acquisitions with which Fox was deeply involved over the previous decade.

Fox first joined the Methodist Health Group, a precursor of Clarian, in 1989. At the time Methodist consisted of a 1000 bed hospital and two smaller subsidiary hospitals. One of Fox's first challenges was to turn around a newly acquired HMO/group practice, which had lost $8.5 million the previous year. In addition to working closely with the HMO/group practice management, he worked with a strong team of physicians to help with this effort. Under this combined leadership, the HMO/group practice began a steady improvement, reaching approximately $10 million in net income within five years. It remains profitable.

Over the same period, Fox moved up the corporate ladder from senior vice president to executive vice president as Methodist Health Group continued to evolve and expand as a healthcare system. In 1997, it merged with Indiana University Medical School's Indiana University Hospital and with Riley Children's Hospital. Fox worked with the Methodist CEO to execute a smooth consolidation of the these acute care hospitals with the larger Methodist Hospital, all based in Indianapolis. He also was directly involved in organizing a portfolio of medical offices and outpatient facilities throughout central Indiana marketplace, a new and undone step in this market. Fox also helped coordinate two system-wide cost reduction programs, producing $33 million and $25 million in expense reductions. He also worked with his senior vice president of marketing to initiate and implement a system-wide service improvement program that continues to have a positive impact on the experience of patients and healthcare providers.

Clarian Health currently consists of three Indianapolis acute care hospitals (Methodist, Indiana University and Riley) with 10,300 employees and $1.4 billion in annual revenues. Subsidiaries include: three rural hospitals, a physician medical group, Indiana's largest HMO/group practice (with 165,000 members and $220 million in annual premium revenue) and the state's largest home health company.

Fox says "Emory Healthcare is in an outstanding position to lead healthcare delivery in the Southeast. As we move ahead, our continued emphasis needs to be on quality, service, and cost. Despite all the confusion in the current environment, those three variables will ultimately determine our success in the marketplace."

Born in Ontario, Canada, Fox received his bachelor's degree in economics and history at Washington University in St. Louis in 1974 and his MBA in Finance at the University of Cincinnati in 1977. After graduation, he worked for Coopers & Lybrand where he directed healthcare merger and acquisition feasibility studies for hospitals and corporations. From 1981 to 1985, Fox was senior vice president and chief financial officer at Scioto Valley Health Foundation, Inc. in Portsmouth Ohio, a two hospital system.

From 1985 to 1987, he was senior vice president at Mercy Health Center of Central Iowa, a Catholic multi-institutional system comprised of 600 acute care beds, 11 free standing primary care clinics, and a 120 bed nursing facility. As vice president and chief financial officer at The Johns Hopkins Hospital from 1987 to 1989, Fox directed development of new operating plans with the chiefs of services and developed a plan to position ambulatory operations in key suburban locations in and around Baltimore. At that time he worked closely with Dr. Johns, who was then the associate dean for Clinical Practice, charged with reorganizing the faculty practice plan and planning and developing a new outpatient center.

Fox is married to Julie Fox. The Foxes have three children, ages 17, 15, and 12.