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IHHI Blazes an Independent Path for Its Board

Saturday, September 22, 2007 General News
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SANTA ANA, Calif., Sept. 21 Today, IntegratedHealthcare Holdings, Inc. ("IHHI") (OTC Bulletin Board: IHCH), the owner offour Orange County hospitals, announced that a new Board of Directors waselected at its September 5, 2007, Annual General Meeting of Shareholders. TheCompany said that this new Board, the majority of which is comprised ofindependent directors, should put an end to any divisiveness in its boardroom. The Company's board now consists of four (4) independent members, arepresentative of each of its largest shareholders and its CEO. Joiningindependent directors J. Fernando Niebla and Maury De Wald, who werere-elected for the second straight full year, are three new board members.They are: William Thomas, General Counsel of Strategic Global Management ofRiverside, California; Michael Metzler, President and CEO of the Santa AnaChamber of Commerce since 1983; and Judge Robert Jameson, retired Judge of theOrange County Superior Court where he was the Supervising Judge of the ComplexCivil Litigation Panel. Also re-elected to IHHI's board was Dr. Ajay Meka, arepresentative of one of its largest shareholders and the CEO of the Company,Bruce Mogel.
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Bruce Mogel commented on the new board that, "we are pleased and proud tohave such a distinguished list of professional independent directors on IHHI'sboard to guide the strategic direction of the Company as we move forward."He went on to say that, "with this 'independent board' many of the issues thathad divided IHHI's board in the past are behind us now and we can look forwardto making the key decisions necessary to provide the highest possible level ofhealthcare to all of the citizens of Orange County."
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Judge Jameson came to IHHI's board, initially, as a provisional director,appointed on July 11, 2007, by Judge Gregory Lewis of the Orange CountySuperior Court, at the request of IHHI, which desired to put an end to turmoilcaused by the efforts of a group of physicians, who are members of IHHI'slargest shareholder, led by Dr. Anil Shah, who had tried to capture control ofIHHI's board of directors. Mr. Mogel commented that, "Judge Jameson is viewedas such a positive and mending force on IHHI's Board, that the Board voted tonominate him as a permanent director." Judge Jameson accepted the nomination,stood for election and was approved by the shareholders. Similarly, MichaelMetzler, has had a strong interest in the healthcare delivery system in OrangeCounty for many years and is the current Board Chairman of an IHHI subsidiaryhospital, Coastal Communities Hospital, and therefore, brings a uniqueperspective of the healthcare needs in Orange County to IHHI's board. Both heand William Thomas were also nominated by IHHI's Board for election.Mr. Thomas is, in his own right, a large IHHI shareholder and counsel toDr. Kali Chaudhuri, the second largest shareholder of IHHI stock. By hiselection to IHHI's Board, the two largest shareholders have directrepresentation in the future strategic direction of the Company.

SOURCE Integrated Healthcare Holdings, Inc.
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