06Spire Healthcare Annual Review 2010Chairman's statement continuedOver the last three years we have also worked to empower local management and give them autonomy. We believe this has led to higher levels of staff engagement and determination in hospitals to achieve set business goals. We are pleased to say that, during the year, we successfully increased our employees' level of engagement while improving once again on our financial results.I have announced my resignation as Chairman of Spire Healthcare and I am pleased to inform you that I will be handing over the reins of Chairman to Garry Watts, who has extensive experience in the private health sector. Garry was Chief Executive Officer (CEO) of SSL International, a consumer healthcare company, for six years and was previously its Chief Financial Officer (CFO). He has also been a director of Protherics plc and Celltech plc and was a member of the Medicines and Healthcare products Regulatory Agency supervisory Board for 17 years. I am confident that Garry will provide great support and guidance to the company as it drives forward in the years ahead. Robert Wise has stepped aside as CEO after more than three very successful years at Spire Healthcare. I would like to thank Rob for all his hard work and the success he has brought to the company, and am delighted that he has agreed to stay on with Spire as a Non-Executive Director. Rob Roger, who has been our CFO since the formation of Spire, stepped into the CEO role on 1 May 2011. Rob played a significant role in transforming the business into the strong organisation it is today and together he and Garry will provide the experience and stability needed to expand the company in the future. 2010£169.8m2009£153.6m2008£127.4m* Based on results presented on page 35 (pre-exceptional items).EBITDAR* (pre-exceptional items)* NHS acute Trust data; April 2009 - March 2010.Service qualityMRSA bacteraemia cases per 10,000 bed daysSpire HealthcareSpire Healthcare0.45C. difficile infection cases per 10,000 bed days NHS average3.6*NHS average0.5*0.17

07I am stepping down at a very positive time for Spire Healthcare. It is no mean feat that in its fourth year of operation, against a strong ebb tide in the economy, the business has once again achieved its financial and operational targets. I would like to congratulate the management team and staff. The success of Spire Healthcare celebrates the hard work and team spirit of our employees, who in turn rely on us for good communication. Our strategies, our staff and the consultants who work with us have enabled Spire to deliver excellent services across the country and Spire continues to grow on these solid foundations.Thank you to my fellow directors, and my congratulations and good wishes to Garry Watts as he takes the helm in what promises to be another exciting and successful year. Robert Cooke, Chairman Leadership successionGarry Watts, 54, was CEO of SSL International plc for six years until its acquisition by Reckitt Benckiser in November 2010 and was previously its CFO. SSL was a £2.5 billion consumer healthcare company headquartered in the UK with global operations. It had a large brand portfolio that included Durex and Scholl. Garry is a chartered accountant and a former partner at KPMG. He is now a Non-Executive Director of Stagecoach plc and of Coca-Cola Enterprises Inc. He was previously a Director of Protherics plc and Celltech plc and was a member of the Medicines and Healthcare products Regulatory Agency supervisory board for 17 years.