Capio owned S:t Görans Sjukhus (St. Göran's Hospital) extends care agreement with Stockholm County Council until the end

12/15/2000 10:12 AM EST

Capio owned S:t Görans Sjukhus (St. Göran's Hospital) extends care
agreement with Stockholm County Council until the end of 2006

S:t Görans Sjukhus and Capio AB, the owner of the hospital, have agreed
with Stockholm County Council to extend S:t Görans Sjukhus' care agreement
by 4 years until the end of 2006. The agreement is subject to the approval
of the Stockholm County Council Health Board on 19 December.

The agreement also states an ambition for care at S:t Görans Sjukhus to be
open to procurement from 1 January 2004, in which case the agreement will
be reviewed from this date. A new procurement process means that both care
volumes and prices can be altered. The background is that emergency care
within Stockholm County Council will be open to competitive procurement
from 2004.

S:t Görans Sjukhus' existing three-year agreement is valid for the next
two years (2001 and 2002). The price that the county council is paying S:t
Görans Sjukhus for care provision this year is between 7 and 12 per cent
lower than the prices at other hospitals within Stockholm County Council.

A note was made in the minutes relating to the extended care agreement
stating that the county council is in favour of gradually transferring
emergency care for residents of the Östermalm district of Stockholm to S:t
Görans Sjukhus.

"We are delighted that our customer is showing us its continued, long-term
trust. This means S:t Görans Sjukhus can enjoy the peace of mind essential
for its work and plan its operations in a long-term perspective,
guaranteeing security and continuity for patients, staff and customers
alike. We view being entrusted with gradually taking over caring for
emergency patients from the Östermalm district too as a sign that the
County Council really appreciates the excellent quality, efficiency and
low prices that we currently offer," says Åke Strandberg, MD S:t Görans
Sjukhuset AB.

S:t Görans Sjukhus AB (St. Göran's hospital) is part of the Nordic
region's leading private care group, Capio AB, and is the first emergency
hospital in Sweden with a private owner. S:t Görans Sjukhus had around
1,500 employees, 240 beds and a turnover of SEK 800 million in 1999. It
has clinics for emergency care, orthopaedics, medicine, surgery,
anaesthesia, x-rays, physiology and an in-house service organisation.

The Capio Group provides services within healthcare, diagnostics and
elderly care within around thirty medical specialist areas. Clients are
primarily county councils and municipalities, as well as companies
purchasing occupational and healthcare services. At Capio's care units,
which have agreements with public sector principals, patients can obtain
care on the same terms as within the public healthcare system, and the
same patient fees and waiting list regulations apply. Capio's turnover
amounts to around SEK 3,300M annually, and the company is listed on the OM
Stockholm Stock Exchange O list.

15 December 2000
Capio AB (publ)

For more information, please contact:
Tomas Philipp, Communications Director, S:t Görans Sjukhus
+46 8 58 70 20 49
+46 70 88 77 515
Anne Lindblom, Senior Information and Press Officer,
Stockholm County Council +46 8 737 4118
Ulrika Stenson, Vice President Corporate Communications, Capio AB
+46 31 77 32 40 04 /
+46 70590 07 23