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Hospital for Special Surgery President and CEO Announces Succession Plan

John Reynolds to work closely with successor in phased move to retirement

New York, NY—March 24, 2005

The Hospital for Special Surgery (HSS) announced that its president and chief executive officer, John Reynolds, has initiated a carefully planned succession program worked out with the hospital's board of trustees in which he would expect to retire after a successor is in place.

HSS board Co-Chairman Aldo Papone said, "John's guidance and devotion to the Hospital for Special Surgery these last two decades have been simply outstanding. Under his watch, the quality of care, fiscal health and scope of treatment for musculoskeletal disease at the hospital have reached the highest level in its history.  While we regret his decision, we can only offer a most grateful expression of thanks and respect his wishes for more personal time. The generous time frame he has created -- allowing us to find a successor -- is consistent with John's professionalism and deep feelings towards this institution."

HSS board Co-Chairman Dean R. O'Hare added, "John has given the Board of Trustees the assurance that he will remain with the hospital until we are fully comfortable that the hospital is in the good hands of a capable successor. He is a superb leader and we appreciate his thoughtful approach to succession which is emblematic of his service to HSS."

Mr. Reynolds said, in a memo to HSS staff issued yesterday, "I reached this decision to move on after a long period of careful thought and deliberation. In the final analysis, I am choosing to spend more time with my family as well as to pursue other personal activities that interest me."

Mr. Reynolds has arranged with the hospital's board of trustees to make his departure a gradual one, in a timeframe extending through Dec. 31, 2006, or later if need be. This schedule will enable HSS and its board to select a new president and CEO, who will work side-by-side with Mr. Reynolds before he leaves, thus providing sufficient time for the new individual to become fully integrated into the position at HSS.

During Mr. Reynolds' 20-year tenure at the hospital, U.S. News and World Report has ranked HSS first in the Northeast in its specialties numerous times, the American Nurse Credentialing Center awarded HSS Magnet Recognition for Excellence in Nursing Service and HSS has become the world leader in orthopedics, rheumatology and rehabilitation. HSS has increased its investment in research and increased research funding from the National Institutes of Health by more than 300%.  Most recently Mr. Reynolds has overseen the knowledge transfer of HSS's best practices in patient care and treatment protocols for hip and knee replacements to a National Health Service hospital in London, England.

Mr. Reynolds has a distinguished background in the healthcare field. Prior to joining the Hospital for Special Surgery, he served as Chief Financial Officer at Beth Israel Medial Center in New York City, and previous to that, as Chief Financial Officer for the Hospital Corporation of America assigned to St. Luke's Hospital in Newburgh, NY. He is a graduate of Marist College, in Poughkeepsie, NY where he is a member of its Board of Trustees.  Mr. Reynolds is an advanced member of the Healthcare Financial Management Association, a member of the American College of Health Care Executives and a Member of the Board of Governors of the Greater New York Health Association

The HSS board of trustees has named a search committee and will conduct a search for a successor to Mr. Reynolds. The committee will consider both internal and external candidates for the position. The successor will be expected to work beside Mr. Reynolds and with the board and staff to insure a seamless transition and the strongest possible leadership for the hospital in the years ahead.



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