04Spire Healthcare Annual Review 2010Chairman's statementI am pleased to report that 2010 was another successful year for Spire Healthcare. We were able to increase revenue by £23m.""

05The main focus for Spire in 2010 has been in expanding our facilities and range of services and our growth in this area is impressive. During the year we added a range of new services and increased capacity. This included opening our new £24 million hospital in Edinburgh (Spire Shawfair Park Hospital), acquiring London Fertility Centre and the majority share of The London Cognitive Behaviour Therapy Centres, creating four out-patient clinics and one theatre, and launching additional paediatric, cardiac, spinal surgery and fertility services.Engagement with doctors and our staff is always a high priority. Our bi-annual national Medical Advisory Committee Chairman's meetings were held in February and June 2010. They provide a valuable forum in which consultant representatives from our hospital teams across the UK can present their views and assist management in formulating clinical strategy. 2010£643m2009£620m2008£589m* Based on results presented on page 35.Revenue*I am pleased to report that 2010 was another successful year for Spire Healthcare. We were able to increase revenue by £23 million by continuing to focus on investments in our staff, clinical services and equipment. This revenue growth, aligned with our Group buying and purchasing power, enabled us to continue to improve profitability. As a result, Spire was able to record a £169.8 million EBITDAR (pre-exceptional items) with an improvement of 10.5% over 2009. This represents an improvement over the 2007 baseline results of 114.8%.Improved financial performance - despite the challenge of a global downturn - is testament to the management skills within the company and the hard work and dedication of everyone at Spire. These results have been achieved through our strategy of continuous improvement and investment in equipment, operating theatres, staff and new services, plus a true commitment to managing the performance of key components of the business: service quality, reputation, people and shareholder value, which are all monitored via a balanced scorecard.The private sector has an important role in the UK healthcare system and, within it, Spire is the second largest private provider of acute care hospital services. We have continued to stay focused upon our core business of private patients, while providing complementary services to the NHS. We believe the private sector will continue to expand in the UK, fuelled by uncertainty around NHS cuts in services, increased waiting times and an increasing desire from patients and doctors for advanced techniques and treatments. We also continue to work very closely with private health insurance companies and assist where we can in helping them to expand their product range and sales in the current environment.