DGAP-News: RHÖN-KLINIKUM AG (english)

RHÖN-KLINIKUM AG: New decision in cartel proceeding



RHÖN-KLINIKUM AG / Legal Matter/Miscellaneous



11.04.2007



Release of a Corporate-announcement, transmitted by DGAP - a company of

EquityStory AG.

The issuer is solely responsible for the content of this announcement.

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 Düsseldorf Court of Appeals dismisses appeal by RHÖN-KLINIKUM AG

against the Federal Cartel Office



 RHÖN-KLINIKUM AG will have further legal steps reviewed



 Group's growth strategy remains unchanged



Bad Neustadt a. d. Saale, 11 April 2007 ----- The Düsseldorf Court of

Appeals today dismissed the appeal lodged by RHÖN-KLINIKUM AG in the cartel

proceeding relating to the district hospitals in Rhön-Grabfeld at the Bad

Neustadt and Mellrichstadt sites. On 10 March 2005 the Federal Cartel

Office (FCO) prohibited the takeover of the two district hospitals by

RHÖN-KLINIKUM AG. The Company lodged an appeal against this before the

Düsseldorf Court of Appeals. On 5 October 2005 the Court initially issued a

clarifying order calling on the FCO to conduct further investigations into

the objectively relevant market.



The decision by the Court to apply merger control also to the regulated

hospital market is of far-reaching significance for the German healthcare

system since it clearly contradicts health and social legislation in force.

For years this legislation has been pressing for integrated concepts in

healthcare delivery, as inter-facility treatment attuned to the needs of

patients brings proven quality and cost advantages.



'We cannot accept such narrow interpretation of the legislation in its

present form', said Wolfgang Pföhler, chairman of the Board of Management

of RHÖN-KLINIKUM AG; 'further legal steps will be reviewed immediately. If

on this issue formalism is to be given precedence over the values and goals

of our healthcare system, patient care in Germany is likely to get more

expensive and qualitatively worse.' The possibility of network-based

healthcare delivery expressly provided for by the German legislator on

account of the complexity of modern medicine is largely undermined, if not

altogether defeated, by the current stance of the Cartel Office as

confirmed by the Court of Appeals.'



The district hospital in Mellrichstadt, which along with the district

hospital in Bad Neustadt was also affected by this proceeding, has since

been closed due to a shortage of funding from the District of

Rhön-Grabfeld. 'If cartel law leads to healthcare provision being abandoned

in rural areas, something is going fundamentally wrong in Germany. I also

see this as requiring clarification at the political level', added Wolfgang

Pföhler.



The Group's expansion strategy remains unchanged in the wake of today's

decision. Since the end of 2004 alone, RHÖN-KLINIKUM AG has purchased 16

hospitals, including the heavyweight university hospitals in Gießen and

Marburg. None of these transactions has given rise to objections under

German cartel law. Although it is the market leader, the Company does not

even have a three per cent share of the market. The high growth potential -

which is also non-contentious from a cartel-law standpoint - is thus

obvious.





Sallwey & Partner

Telemannstr. 18

60323 Frankfurt

Tel. 069-97203628





DGAP 11.04.2007

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Language: English

Issuer: RHÖN-KLINIKUM AG

Schlossplatz 1

97616 Bad Neustadt a.d.Saale Deutschland

Phone: +49 (0)9771 - 65-0

Fax: +49 (0)9771 - 97 467

E-mail: fire.ir@rhoen-klinikum-ag.com

www: www.rhoen-klinikum-ag.com

ISIN: DE0007042301

WKN: 704230

Indices: MDAX

Listed: Amtlicher Markt in Frankfurt (Prime Standard), München;

Freiverkehr in Berlin-Bremen, Düsseldorf, Hamburg, Stuttgart



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