SALISBURY, NC -- The Board of Directors of Rowan Regional Medical Center voted unanimously last night to merge with Novant Health. This action follows a process begun by the board to consider an alliance with one of the state's major medical centers to strengthen the hospital's financial position and expand resources dedicated to its mission to provide quality health care services to a growing community.

After a strategic planning process of more than three years, the Rowan Regional Medical Center Board in June established criteria for selecting an affiliation partner and then sought proposals from Carolinas Healthcare, headquartered in Charlotte, as well as Novant Health System, headquartered in Winston-Salem.

"Both Novant Health and Carolinas Healthcare are stellar organizations and they have been extremely supportive and responsive to our process and its requirements," said Glenn Ketner, Rowan Regional Board Chairman. "They are both major providers of health care, have outstanding quality and excellent leadership. We consider ourselves fortunate to have had the opportunity to have discussions with both parties."

Before last night's vote, the full board heard and carefully evaluated both proposals with input from the medical staff. The merger with Novant Health is expected to be effective in mid-January 2008.

"The proposal of Novant positively and directly addressed the criteria established by the board when the process began," said Rowan Regional Board Chairman, Glenn Ketner. "We believe that our relationship with Novant will assure that RRMC remains a strong, viable and relevant medical center in the years ahead as we pursue our principal goal of providing excellence in healthcare in Rowan County."

Rowan Regional Medical Center will retain its name and the 15-member board will remain in place with significant responsibility and authority. In addition, the chairman of Rowan Regional Medical Center's board will have a seat on the Novant Health board and RRMC will have two representatives on the Presbyterian Healthcare board. The president of Novant Southern Piedmont Region, Carl Armato, will become a member of the Rowan Regional Medical Center board. Additionally, the executive leadership of Rowan Regional Medical Center will remain in place.

Rowan Regional Medical Center will retain all current clinical services and will become the center of a corridor linking Presbyterian Mint Hill and Presbyterian Huntersville. Charles Elliott, CEO of Rowan Regional Medical Center, will oversee the activities in that corridor and will report to the Rowan Regional Medical Center board and to the president of Novant Southern Piedmont Region, Carl Armato.

Novant Health has committed to invest $250 million in Rowan Regional Medical Center and its facilities over the next five years to expand and improve services based on recommendations of the Rowan Regional Medical Center board. Novant Health will also assume Rowan Regional Medical Center's current debt.

The Rowan Regional Medical Center Foundation will continue to operate under its current structure with all assets restricted to the benefit of Rowan Regional Medical Center. Under the terms of the proposal, Novant Health will give the Foundation a gift of $5 million and will match any future gift to the Foundation that equals or exceeds $25,000.

"We are convinced that this partnership will enable Rowan Regional Medical Center to expand our clinical services and medical specialties, to continue to improve our quality and patient safety and to ensure that we are able to retain and enhance our talented work force," said Glenn Ketner, Rowan Regional Board Chair. "Novant Health is a nationally recognized not-for-profit health care provider with compatible values and mission, and our merger with them can only enhance the care we provide in Rowan County."

Paul Wiles, CEO of Novant Health, said, "Were honored and thrilled to have the opportunity to support Rowan Regional Medical Center as it grows to meet the needs of their community. We look forward to working with the board, physicians, nurses and staff of Rowan to enhance and expand the care available in the county. Together, our goal is to provide excellent local healthcare to everyone in Rowan County and surrounding communities. We respect the work that the RRMC Board put in to making this important decision and we appreciate the transparency of the RFP process."

About Rowan Regional Medical Center

Rowan Regional Medical Center is a private, not-for-profit acute care hospital in Salisbury that has more than 150 active physicians representing more than 35 medical specialties. It offers maternity services, cardiology, oncology, orthopedics, inpatient rehabilitation services, extensive outpatient services, a 24-hour Emergency Department, hospice and home health services, and psychiatric services.

About Novant Health

Novant Health is a not-for-profit integrated group of hospitals and physician clinics, ranked as one of the nation's 10 best healthcare systems. Hospital affiliates include Presbyterian Hospital, Presbyterian Orthopaedic Hospital, Presbyterian Hospital Huntersville, Presbyterian Hospital Matthews, Forsyth Medical Center, Medical Park Hospital, Thomasville Medical Center, and Brunswick Community Hospital. The Novant Medical Group consists of more than 800 physicians in 232 clinic locations. Other Novant facilities and programs include two nursing homes, outpatient surgery and diagnostic centers, rehabilitation programs and community health outreach programs.