Feb.

14, 2013

To All Asante Team, Medical Staff, and Auxiliary Members:

I am pleased to announce a positive step toward Ashland Community Hospital (ACH) joining
the Asante family. After several weeks of earnest negotiations, ACH, the ACH Foundation
and Asante have agreed upon a letter of intent (LOI) that outlines terms for an agreement.

Though we remain optimistic that ACH will join Asante, I emphasize that this is just a step—
albeit a very significant one—toward that goal. This is a complex business transaction that
includes the City of Ashland and requires Ashland City Council approval.

The LOI will be presented to the Ashland City Council for consideration at its regular meeting
on Tuesday, February 19. Until that time, we cannot discuss the agreement or speculate on its
future.

We expect details of the LOI to become public later today and to be quickly disseminated to
several media outlets. The full LOI will be available on the City of Ashland website sometime
Thursday afternoon by clicking here.

Following Ashland City Council approval of the LOI, the next step is the creation and review
of a Definitive Agreement, which will also need approval from Asante, ACH, the ACH
Foundation and the Ashland City Council. We anticipate that step to be completed within 60
to 90 days at which point the real process of ACH becoming a part of Asante will begin.
During this time, we will keep you informed with regular updates through memos and Asante-
news. In the meantime, you can send questions to AsanteNews@asante.org.

I appreciate everything you do to make Asante the premier provider of healthcare in the
region. We believe healthcare decisions are best when they are kept local. Bringing ACH into
the Asante family will achieve that goal and benefit the people of Ashland while strengthening
Asante.

Thank you,

Roy Vinyard, President and CEO

2650 Siskiyou Boulevard, Medford OR 97504 | asante.org