PARKWAY REGISTERS CONTINUED GROWTH IN Q DESPITE GLOBAL ECONOMIC DOWNTURN

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1 PRESS RELEASE PARKWAY REGISTERS CONTINUED GROWTH IN Q DESPITE GLOBAL ECONOMIC DOWNTURN Highlights: Group revenue for the Q increases 4%: o Singapore Operations revenue down 4% to $150.3m o International Operations revenue up 20% to $87.5m EBITDAR increases 8% in Q over Q Net profit excluding exceptional items strengthened 20% to $23.4m Healthcare services perform strongly Performance at a glance: YTD 31 March 2009 YTD 31 March 2008^ Variance Revenue ($'000) 237, ,744 4% EBITDAR ($'000) 52,658 48,854 8% PATMI ($'000) 21,285 19,532 9% PATMI excluding exceptional items ($'000) 23,428 19,592 20% Basic EPS (cents) % Basic EPS (cents) (Earnings excluding exceptional items) % 31 March December 2008^ Variance NAV / share ($) % NTA / share ($) % Note: ^: Comparatives have been restated for change in accounting policy during the year. Basic EPS comparatives have also been restated for the effects of the Rights Issue. 1

2 SINGAPORE, 15 May 2009 Parkway Holdings Limited ("Parkway" or "the Group") has reported a 4% rise in revenue to $237.8m for the first quarter of 2009, as compared to $228.7m for the same period in Excluding exceptional items, the Group notched up a 20% increase in net profit for the quarter, with $23.4m for 2009 versus $19.6m for the preceding year. Helping to propel this growth were Parkway's international operations, which recorded a 20% increase in total revenue, from $72.9m in Q1 of 2008 to $87.5m for the same period in EBITDAR for the Group's international operations surged 29% to $18.2m in 2009, compared to $14m in The Group's healthcare services also performed well, with the services in Singapore registering a healthy 36% year-on-year increase in EBITDAR to $9.0m. Singapore Operations Inpatient admissions at Parkway's Singapore hospitals fell slightly in Q1 of 2009, and were down 3.7% from the same quarter in This is mostly due to a conversion of inpatient cases to outpatient ones, as economic uncertainty continues and patients seek cheaper outpatient treatments. Indeed, there was an 8.8% growth in the number of day cases seen at the Group's Singapore hospitals in Q1 2009, as compared to Q The drop in admissions is also in line with a fall of approximately 13.8% in tourist arrivals to Singapore in the first quarter of the year, as compared to the same period in However, this is mitigated by the strong growth shown by Parkway's healthcare services in Q1 2009, 2

3 which was fuelled by good performances across the services, such as Parkway Shenton Pte Ltd's primary healthcare services, and Parkway Laboratory Services Ltd's comprehensive diagnostic laboratory services. The cost-containment measures which were implemented by the Group in December 2008 were continued in Q1 of These include consolidation of office space for corporate staff from multiple sites to a few key locations, and enhanced purchasing processes which resulted in lower cost prices for key goods and materials. Parkway's commitment to delivering clinical and service quality to its patients was seen in 2 separate assessments in Q In the first assessment, the Group's Singapore hospitals achieved a perfect score of 5 for the quarter's Clinical Quality Scorecard, which measures the quality of clinical outcomes via eight globally recognised clinical indicators, while in the second, the hospitals achieved a 69.7 score in the Singapore Management University's Customer Satisfaction Index of Singapore 2008, which is higher than the 67.6 average for the healthcare sector as a whole. Piling work on Parkway's new hospital at Novena continued throughout Q As at 31 March 2009, about $14.0m of the $755.6m raised from Parkway's Rights Issue (which was completed in June 2008) has been used to fund the construction and development of the new hospital. 3

4 International Operations Parkway's international operations delivered outstanding performance in the first quarter of 2009, with revenue rising 20% to $87.5m and EBITDAR growing 29% to $18.2m. The main drivers of this growth were the Group's facilities in Malaysia, particularly the Pantai group of hospitals, and the Gleneagles JPMC Cardiac Centre in Brunei and Shanghai group of clinics. In Malaysia, Pantai fully acquired its hospital in Batu Pahat in Q1 2009, and progressed towards the completion of its purchase of Pantai Hospital Sungai Petani, while at Apollo- Gleneagles Kolkata in India, patient intensity and volume continue to grow and new consultants are being recruited to support hospital expansion and growth. Ground excavation works have also begun for the upcoming ParkwayHealth Khubchandani Hospital in Mumbai and the hospital concept and design plans are being worked on. In Shanghai, China, Parkway's clinics continue to enjoy high demand for their services, and cost-cutting, revenue-maximising measures put in place in 2008 continue to accrue cost savings. Parkway's maiden venture into the Middle East, the Danat Al Emarat Women's and Children's Hospital, is also progressing well, with the design and development works in the final stage and groundbreaking and commencement of construction expected to take place in May

5 Moving Forward With the economic downturn expected to continue through 2009 and patients becoming pickier in their choice of healthcare provider, Parkway will strive to grow its business by selling value packages (which were recently launched) and continuing to improve service and clinical outcomes, and offer quality healthcare to patients. -END- About Parkway Holdings Limited Parkway Holdings Limited (SGX:Parkway) owns Parkway Group Healthcare Pte Ltd and Parkway Hospitals Singapore Pte Ltd which operates East Shore Hospital, Gleneagles Hospital, Mount Elizabeth Hospital, Parkway Cancer Centre and ParkwayHealth Day Surgery and Medical Centre. The Company also owns Parkway Shenton Pte Ltd, a major provider of primary healthcare services; Medi-Rad Associates Ltd, a leading radiology services provider; Parkway Laboratory Services Ltd, a major provider of laboratory services, and also operates 41 ParkwayHealth Patient Assistance Centres (PPAC) across the globe. For more information, please visit the website at About ParkwayHealth ParkwayHealth is a leading healthcare group based in Singapore, operating 16 hospitals with more than 3,300 beds in Asia, as well as patient assistance centres throughout the world. It has an extensive network across Asia, Europe, North America and the Middle East with ParkwayHealth Patient Assistance Centres (PPAC) in Bangladesh, Brunei, Cambodia, Canada, China, India, Indonesia, Malaysia, Mongolia, Myanmar, Pakistan, the Philippines, Russia, Saudi Arabia, Sri Lanka, Ukraine, the United Arab Emirates, Uzbekistan and Vietnam. With a team of more than 1,500 accredited specialists covering 40 different specialties, such as orthopaedics, cardiology, haematology and neurology. ParkwayHealth is committed to its vision to be a global leader in value-based integrated care. For more information, please visit the website at: For more information, please contact: Parkway Holdings Limited Rosanna Cil Chief Corporate Communications Officer T: M: E: rosanna.cil@parkway.sg 5