Community Health Systems to Sell Four Arkansas Hospitals for \$112 Million

Franklin, Tenn. (March 5, 2026) – Community Health Systems, Inc. (NYSE: CYH), one of the nation’s largest healthcare companies, announced today that it has entered into a definitive agreement to divest four of its Arkansas hospitals to Freeman Health System in a transaction valued at \$112 million. This move is part of the company’s ongoing portfolio optimization strategy.

Key Points of the Transaction

• Definitive Agreement Signed: A subsidiary of Community Health Systems (CHS) will sell substantially all assets of four Arkansas hospitals to Freeman Health System.
• Hospitals Included:
  • 128-bed Northwest Medical Center – Bentonville (Bentonville, AR)
  • 222-bed Northwest Medical Center – Springdale (Springdale, AR)
  • 64-bed Willow Creek Women’s Hospital (Johnson, AR)
  • 73-bed Siloam Springs Regional Hospital (Siloam Springs, AR)
• The sale also includes associated outpatient centers and physician practices.
• Purchase Price: \$112 million, subject to adjustments based on closing net working capital and the amount of finance leases assumed by the buyer.
• Expected Closing: The transaction is anticipated to close in the second quarter of 2026, pending customary regulatory approvals and closing conditions.
• Financial Advisor: Leerink Partners is acting as exclusive financial advisor to CHS for this transaction.

Potential Impact on Shareholders and Share Price

• Portfolio Optimization: The sale is part of CHS’s broader strategy to divest non-core assets, as previously discussed during the company’s Q4 and year-end 2025 earnings call and subsequent public appearances. This may be viewed positively by investors as it could help streamline operations and improve the company’s financial position.
• Use of Proceeds: While not explicitly stated, such transactions often allow companies to reduce debt, reinvest in core markets, or return value to shareholders, all of which can be price-sensitive factors.
• Valuation and Adjustments: The final sale price is subject to adjustments, which may affect the net proceeds from the transaction and could impact the company’s balance sheet and future earnings.
• Market Focus: Following the sale, CHS’s affiliates will continue to operate 65 hospitals with more than 9,000 beds across 13 states and over 900 sites of care, maintaining a significant national presence.
• Regulatory Risk: As with any healthcare asset sale, closing is subject to regulatory approvals, which could introduce uncertainty and potential delays.

About Community Health Systems, Inc.

CHS is a leading healthcare company with affiliates operating in 34 distinct markets across 13 states. The company’s subsidiaries own or lease 65 hospitals and operate more than 900 care sites, including physician practices, urgent care centers, freestanding emergency departments, occupational medicine clinics, imaging centers, cancer centers, and ambulatory surgery centers. The headquarters of CHS is in Franklin, Tennessee, and its shares are traded on the New York Stock Exchange under the symbol “CYH.” More information can be found at www.chs.net.

Contact Information

• Media Contact: Tomi Galin, Executive Vice President, Corporate Communications, Marketing and Public Affairs – (615) 628-6607
• Investor Contacts:
  • Kevin Hammons, Chief Executive Officer – (615) 465-7000
  • Anton Hie, Vice President – Investor Relations – (615) 465-7012

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors should conduct their own due diligence and consult with a financial advisor before making any investment decisions. The information provided is based on public filings and statements as of March 5, 2026, and may be subject to change.

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