PITTSBURGH, November 26, 1996 — Today, the Braddock Medical Center officially has become a subsidiary of the University of Pittsburgh Medical Center (UPMC), it was announced by Jeffrey Romoff, president of the UPMC, and Richard Benfer, president of the Braddock Medical Center. The facility will be re-named UPMC Braddock.

"This is the beginning of a new era for Braddock Medical Center," stated Mr. Benfer. "The additional resources of the UPMC offer both an opportunity and a challenge. The medical center family, physicians and staff, and the citizens of this community now are empowered to ensure that this facility thrives and continues to serve the needs of the citizens of the Mon-Valley."

Braddock Medical Center is a 250-bed acute-care hospital, established in 1906. It serves the communities of Swissvale, Rankin, Braddock, Braddock Hills, North Braddock, Forest Hills, East Pittsburgh, Turtle Creek, Homestead, Whitaker, West Mifflin, Wilmerding and Duquesne. Recent changes in Medicare and Medicaid reimbursement have made it difficult for the facility to continue as an independent entity. In September, Braddock announced plans to join the UPMC.

"We are pleased to welcome UPMC Braddock to the UPMC network," stated Mr. Romoff. "By working together, Braddock's tradition of service can be maintained and enhanced."

UPMC has pledged to spend $10 million during the next two years to upgrade this facility. Initial plans include replacement of the existing surgical suites and emergency department renovation. UPMC Braddock's financial needs will be addressed through efficiencies-of-scale, particularly in administrative functions. UPMC's specialty expertise also will be available to augment existing services at this facility.

The UPMC is the area's major academic medical center. To meet the demands of the changing health care environment while preserving its mission of education and research, the UPMC is developing a network of health care organizations throughout Western Pennsylvania. Braddock is the third hospital acquired by the UPMC this year. Merger discussions are ongoing with five other hospitals, and another dozen have signed affiliation agreements.