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​U.S. Steel Tower Will Become UPMC's New Corporate Headquarters

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PITTSBURGH, April 10, 2007 — UPMC announced today that it has signed an agreement that will make U.S. Steel Tower its new corporate headquarters. The new site in downtown Pittsburgh will efficiently consolidate UPMCs corporate, administrative and integrated business functions in one location and reflects UPMCs commitment to the city and the community.

UPMC initially will lease five floors with 185,000 square feet of space and will lease as much as one-half million square feet within five years. It is expected that UPMC will begin to occupy the space in March 2008.

This new corporate headquarters will bring thousands of UPMC employees to the Downtown area and will serve as a hub to foster new business development locally and to expand UPMCs national and international initiatives.

UPMC is committed to the continued growth and economic development of the City of Pittsburgh and Western Pennsylvania. As a key economic driver in this region, we believe our presence will help to promote the revitalization of downtown Pittsburgh. In keeping with our goal of becoming a new export engine for this region, we are pleased to be located in the headquarters building of U.S. Steel, said Mr. Jeffrey A. Romoff, UPMC president and CEO.

Most importantly, along with the City, County and the Penguins, UPMC can create a corridor for an economic renaissance stretching from Oakland to Downtown. Our proposed merger with Mercy Hospital will help transform the Lower Hill into a gateway to Downtown Pittsburgh. The new Penguins arena will literally reshape the area and Duquesne University's expansion will add another important link in this dynamic new economic corridor, Mr. Romoff added.

Essential to this development is a robust Mercy Hospital. As Pittsburgh's only Catholic hospital, it is a crucial and irreplaceable part of the health and economic well being of this community. To let this great institution wither and die would constitute an egregious breach of our duty to the larger Pittsburgh community and would leave a gaping hole in this vital corridor. We believe that we can help to transform the area surrounding Mercy Hospital in the same way UPMC Shadyside and the Hillman Cancer Center have helped to revitalize Shadyside and the way that the new Childrens Hospital is bringing new life to Lawrenceville, Mr. Romoff said.

UPMC is experiencing a significant need for additional space in Oakland due to continuing growth in our inpatient and outpatient services.

This move will free up much needed space for hospitals to expand clinical services, said Elizabeth Concordia, UPMC senior vice president. Along with the new Childrens Hospital construction in Lawrenceville, this will help us decongest some of the busiest clinical areas and enhance our ability to serve the health care needs of this community.

A major tenant like UPMC moving downtown acts as a catalyst for future downtown development. UPMCs move signals to other major corporations that downtown Pittsburgh is undergoing a renaissance, said David Matter, President and Chief Operating Officer, Oxford Development Company. It is more far reaching than simply the relocation of the corporate headquarters. The potential for economic development along the Oakland/Downtown corridor, including the Lower Hill neighborhood, are enormous. One only need look to the development that has occurred along the Hillman/Shadyside corridor, and the activity in Lawrenceville, to see the potential impact.

Pittsburgh Mayor Luke Ravenstahl welcomed UPMC to Downtown. As one of our regions top employers and corporate citizens, UPMCs continued presence in Pittsburgh is vital to the health and well-being of our city. I am pleased that UPMC has chosen to keep its corporate headquarters in our hometown and appreciate the new role they will have in increasing the vibrancy and vitality of our central business district, said the mayor.

Added Allegheny County Chief Executive Dan Onorato: UPMCs decision to move its headquarters to the U.S. Steel Tower is testament to the viability of Downtown Pittsburgh and the company's strong commitment to our regions renewal. The move will add to the strength and vitality of downtowns growing commercial and residential areas, and it will free up needed space in Oakland. This is great news for UPMC and our region.

UPMC anticipates approximately 2,250 employees will move into the building in phases over the next four years. Relocated departments will include the executive staff, finance and treasury, corporate communications, legal, planning and marketing, human resources, payroll and benefits, and information technology services.

UPMC is the largest integrated health care enterprise in Pennsylvania and one of the leading nonprofit medical centers in the country. It is one of only 14 hospitals nationwide to earn honor roll status in U.S. News & World Reports 2006 Americas Best Hospitals survey.

Widely recognized for its innovations in patient care, research, technology and health care management, UPMC has transformed the economic landscape in western Pennsylvania. The regions largest employer, with 43,000 employees and $6 billion in revenue, UPMC comprises 19 tertiary, specialty and community hospitals, 400 outpatient sites and doctors offices, retirement and long-term care facilities, an insurance division, and international and commercial ventures.

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