Supplemental Information

Health Management Associates, Inc.

(“HMA”)

December 31, 2013

Exhibit 99.2

Forward-Looking Statements

This

presentation

contains

forward-looking

statements

within

the

meaning

of

Section

27A

of

the

Securities

Act,

Section

21E

of

the

Exchange

Act

and

the

Private

Securities

Litigation

Reform

Act

of

1995

that

involve

risk

and

uncertainties.

All

statements

in

this

presentation

other

than

statements

of

historical

fact,

including

statements

regarding

projections,

expected

operating

results,

and

other

events

that

depend

upon

or

refer

to

future

events

or

conditions

or

that

include

words

such

as

“expects,”

anticipates,”

“intends,”

“plans,”

“believes,”

“estimates,”

“thinks,”

and

similar

expressions,

are

forward-looking

statements.

Although

Community

Health

Systems,

Inc.

(the

“Company”)

believes

that

these

forward-looking

statements

are

based

on

reasonable

assumptions,

these

assumptions

are

inherently

subject

to

significant

economic

and

competitive

uncertainties

and

contingencies,

which

are

difficult

or

impossible

to

predict

accurately

and

are

beyond

the

control

of

the

Company.

Accordingly,

the

Company

cannot

give

any

assurance

that

its

expectations

will

in

fact

occur

and

cautions

that

actual

results

may

differ

materially

from

those

in

the

forward-looking

statements.

A

number

of

factors

could

affect

the

future

results

of

the

Company

or

the

healthcare

industry

generally

and

could

cause

the

Company’s

expected

results

to

differ

materially

from

those

expressed

in

this

presentation.

The

consolidated

operating

results

for

the

year

ended

December

31,

2013,

are

not

necessarily

indicative

of

the

results

that

may

be

experienced

for

any

such

future

period

or

for

any

future

year.

The

Company

cautions

that

the

projections

for

calendar

year

2014

set

forth

in

this

presentation

are

given

as

of

the

date

hereof

based

on

currently

available

information.

The

Company

undertakes

no

obligation

to

revise

or

update

any

forward-looking

statements,

or

to

make

any

other

forward-looking

statements,

whether

as

a

result

of

new

information,

future

events

or

otherwise.

2

HMA’s Change in Estimates and Fourth Quarter Adjustments

Change in Estimate to

Allowance for Doubtful

Accounts and Contractual

Allowances

•

Centralizing business offices

•

Changes in key management personnel

•

Estimated deterioration in net realizable value in A/R

•

Analysis on historical write-offs and subsequent cash

collections

Additional Legal Contingencies

Write-offs of Discontinued

Construction Projects,

Recovery Audit Contractor

Adjustments and Other

•

Change in estimates based on additional facts and

circumstances

•

Recovery Audit Contractor adjustments

•

Change in construction project priorities

Change in Estimates to

Amounts Due to Third Party

Payors and Other Government

Receivables

•

Review of certain claims by CHS

3

$5.9

$37.0

$246.3

$34.0

Area of Impact

*        HMA’s Financial Impact

*

Triggering Events

*

($ in millions)

* Please note statement on slide 4. 

Change in Estimate Adjustments of

HMA’s 2013 Financials

The adjustments for the change in estimate to the allowance for

doubtful accounts and contractual allowances were $246 million.

In previous acquisitions, adjustments to the allowance for doubtful

accounts and contractual allowances have typically occurred in

periods following the acquisition. Since these changes in estimate

were recorded in 2013, material conforming changes are not

expected in the first quarter of 2014.

In the case of our acquisition

of Triad, in the third quarter of 2007, adjustments related to

conforming accounting policies and estimation processes totaled

$166 million in the fourth quarter of 2007 and affected the run rate

by approximately $20 million, as previously stated.

4

HMA’s Reconciliation of Loss from Continuing Operations

to Adjusted EBITDA Prior to Change in Estimate Adjustments

Year Ended

12/31/2013

Loss from continuing operations

(235,990)

$ 

Depreciation and amortization

390,993

Interest expense

281,254

Income tax benefit

(135,341)

Change in control and other related expenses

133,033

Write-offs of deferred debt issuance costs

     and other related expenses

584

Other

1,928

Adjusted EBITDA prior to change in

     estimate adjustments

436,461

$   

5

HMA’s Year Ended 2013 Adjusted EBITDA

Year Ended

12/31/2013

Adjusted EBITDA prior to add backs of change in

      estimate adjustments

436,461

$   

Change in estimate adjustments

Change in estimate to allowance for doubtful accounts

        and contractual allowances

246,293

Additional legal contingencies

36,959

Change in estimates to amounts due to third party payors

       and other government receivables

33,973

Write-offs of discontinued construction projects, Recovery

       Audit Contractor adjustments and other

5,912

Adjusted EBITDA (previously disclosed on February 18, 2014)

759,598

$   

6

EBITDA

consists

of

net

income

attributable

to

Health

Management

Associates,

Inc.

before

interest,

income

taxes,

and

depreciation

and

amortization.

Adjusted

EBITDA

is

EBITDA

adjusted

to

exclude

discontinued

operations,

gain/loss

from

early

extinguishment

of

debt,

change

in

control

and

other

related

expenses

and

net

income

attributable

to

noncontrolling

interests.

HMA

has

from

time

to

time

sold

noncontrolling

interests

in

certain

of

its

subsidiaries

or

acquired

subsidiaries

with

existing

noncontrolling

interest

ownership

positions.

The

Company

believes

that

it

is

useful

to

present

adjusted

EBITDA

because

it

excludes

the

portion

of

EBITDA

attributable

to

these

third

party

interests

and

clarifies

for

investors

HMA’s

portion

of

EBITDA

generated

by

continuing

operations.

The

Company

uses

adjusted

EBITDA

as

a

measure

of

liquidity.

The

Company

has

included

this

measure

because

it

believes

it

provides

investors

with

additional

information

about

the

Company’s

ability

to

incur

and

service

debt

and

make

capital

expenditures.

Adjusted

EBITDA

is

the

basis

for

a

key

component

in

the

determination

of

the

Company’s

compliance

with

some

of

the

covenants

under

the

Company’s

senior

secured

credit

facility,

as

well

as

to

determine

the

interest

rate

and

commitment

fee

payable

under

the

senior

secured

credit

facility.

Adjusted

EBITDA

is

not

a

measurement

of

financial

performance

or

liquidity

under

generally

accepted

accounting

principles.

It

should

not

be

considered

in

isolation

or

as

a

substitute

for

net

income,

operating

income,

cash

flows

from

operating,

investing

or

financing

activities,

or

any

other

measure

calculated

in

accordance

with

generally

accepted

accounting

principles.

The

items

excluded

from

adjusted

EBITDA

are

significant

components

in

understanding

and

evaluating

financial

performance

and

liquidity.

This

calculation

of

adjusted

EBITDA

may

not

be

comparable

to

similarly

titled

measures

reported

by

other

companies.

HMA’s Unaudited Supplemental Information

7

The following table reconciles Adjusted EBITDA, as defined, to net cash provided by operating activities as derived

directly from the condensed consolidated financial statements (in thousands):

HMA’s Unaudited Supplemental Information

Year Ended

December 31,

2013

Adjusted EBITDA

436,461

$           

Interest expense

(281,254)

Income tax benefit

135,341

Change in control and other related expenses

(133,033)

Amortization of debt discounts

11,902

Amortization and fair value adjustment of interest rate swap

74,633

Deferred income taxes

(36,719)

Stock-based compensation expense

58,909

Equity compensation excess tax benefits

(19,056)

Other non-cash expenses, net

796

Changes in operating assets and liabilities, net

(21,404)

Net cash provided by operating activities

226,576

$           

8