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Long-Term Care Facilities Realize Cost-Savings and Operational Efficiencies Through VHA/Tidewater Agreement

Irving, TX -(Marketwire) - VHA Inc., the national health care network, announced a five-year strategic agreement with Tidewater GPO, a leading group purchasing organization for long-term care providers. This agreement enables Tidewater's approximately 4,000 members to benefit from VHA's non-acute care portfolio with initial focus on and access to contracts for food and food distribution services with U.S. Foodservice. Tidewater members will see significant savings over their existing food contracts and have access to high-quality products with commitments that will help drive standardization.

"We're very excited about this opportunity to extend cost-savings to Tidewater's members," said Amy Anthony, senior vice president of Supply Chain Programs for VHA. "Tidewater has a deep understanding of the long-term care market, which is growing rapidly as the baby boom generation approaches retirement age. Working together, VHA and Tidewater will help members achieve significant clinical, operational and financial improvements to the providers in the long-term care market."

"For 22 years, Tidewater has focused on the senior care market and has thousands of loyal members. Now, with the power of VHA's key contracts, Tidewater enhances its ability to bring significant value to its membership in a highly competitive and reimbursement sensitive marketplace, while remaining independent and committed exclusively to serving our senior care providers," says Tom Ludeke, president of Tidewater GPO.

This new agreement expands VHA's reach into the non-acute market, which consists of non-hospital health care providers such as surgery centers, physician practices, home health agencies and cancer centers. VHA currently serves more than 1,400 not-for-profit hospitals and more than 28,000 non-acute care organizations nationwide. VHA's contracting company, Novation, manages more than $35 billion in contract purchasing annually, including purchases through its agreement with U.S. Foodservice.

About Tidewater GPO
Tidewater GPO is a subsidiary of Omnicare, Inc. (NYSE: OCR), a Fortune 500 company based in Covington, Kentucky. Omnicare is a leading provider of pharmaceutical care for the elderly. Omnicare serves residents in long-term care facilities, chronic care and other settings comprising approximately 1.4 million beds in 47 states, the District of Columbia and Canada. Omnicare is the largest U.S. provider of professional pharmacy, related consulting and data management services for skilled nursing, assisted living and other institutional healthcare providers as well as for hospice patients in homecare and other settings.

About VHA- VHA Inc., based in Irving, Texas, is a national network of not-for-profit health care organizations that work together to drive maximum savings in the supply chain arena, set new levels of clinical performance and identify and implement best practices to improve operational efficiency and clinical outcomes. Formed in 1977, through its 16 regional offices, VHA serves more than 1,400 hospitals and more than 28,000 non-acute care providers nationwide. VHA was ranked by Modern Healthcare as the 7th best place to work in health care in 2009.

SOURCE: VHA