Horizon Health Announces Letter of Intent Regarding Acquisition of Eight Facilities from Lighthouse Care Centers and Focus Healt

Horizon Health Corporation (NASDAQ/NM:HORC) today
announced that it has entered into a letter of intent to acquire the
behavioral health facilities of Lighthouse Care Centers, LLC and Focus
Healthcare, LLC. Lighthouse Care Centers, LLC operates four behavioral
health facilities located in Georgia and South Carolina. Focus
Healthcare, LLC operates four facilities located in Delaware, Florida,
Georgia and Ohio. The facilities have a combined total licensed
capacity of 568 beds.
   The consummation of the transaction is expected to close in the
Horizon second fiscal quarter but is subject to a number of
contingencies including the negotiation and execution of definitive
agreements between the parties. In addition, the transaction is
subject to receipt of government approvals including certificate of
need and licensing approvals. Accordingly, completion of the
transaction is subject to a number of conditions precedent, and there
can be no assurance that all such conditions will be satisfied. It is
the customary policy of Horizon to announce transactions when a
definitive agreement is executed. Horizon is not following its
customary policy in this instance due to the public nature of
information required to be submitted for certificate of need and
licensing approvals.
   Horizon Health Corporation is a leading contract manager of
clinical services for acute care hospitals and employers and an owner
of behavioral health care facilities.
   The statements contained herein based on future expectations
rather than on historical facts are forward-looking statements as
defined under the Private Securities Litigation Reform Act of 1995
that involve a number of risks and uncertainties. Factors that could
cause actual results to differ materially from those in any such
forward-looking statements include, but are not limited to, the
ability to consummate additional acquisitions, the ability to
integrate the existing operations of the hospital on a cost-effective
basis, adverse changes in reimbursement to psychiatric hospitals by
federal and state health care programs and other third-party payors
and various other risks as outlined in Horizon's Securities and
Exchange Commission filings. There can be no assurance that statements
made in this press release relating to future events will be achieved.
The Company undertakes no obligation to update or revise
forward-looking statements to reflect changed assumptions, the
occurrence of unanticipated events or changes to future operating
results over time.