THE NASHVILLE POST

CALIFORNIA COMPANY ACQUIRES NASHVILLE-BASED OPIATE ADDICTION TREATMENT CENTERS
by Paige Orr

        Friday, 12/19/2003 -- San Jose, Calif.-based CRC Health Group has acquired National Specialty Clinics (NSC), a Nashville-based provider of methadone-based treatment for opiate addiction, for approximately $100 million.

        NSC owns and operates 17 methadone-based clinics across six states.

        Dr. Barry Karlin, CRC Health Group chairman and chief executive, said in a release, “This acquisition by CRC Health Group continues to operationalize the company’s strategy of building a nationwide network of treatment alternatives providing increased access to high quality care for those suffering from addiction to drugs and/or alcohol.”

        The addition of the NSC clinics, which provide treatment to patients in states not currently served by CRC, brings to 48 the total number of methadone clinics owned by CRC. This transaction makes CRC the nation’s largest provider of methadone treatment with 20,000 methadone patients daily.

        David Gnass, NSC’s CEO added, “We are extremely pleased. The linkage of NSC’s clinics to the CRC Health Group system allows methadone-based treatment to be connected to a greater scope of treatment services.”

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Release headline:   CRC Health Group, Inc. Acquires National Specialty Clinics;
Now Nation's Largest Methadone and Traditional
Substance Abuse Treatment Provider
PRN Release ID:     DCF036
Release clear time: 12/19/2003 15:42

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For Immediate Release: December 19, 2003;  Contact: Bob Weiner 301-283-0821 or 202-329-1700 

CRC Health Group Acquires National Specialty Clinics; Now Nation’s Largest Methadone and Traditional Substance Abuse Treatment Provider

(San Jose, CA)  -- CRC Health Group, Inc. today announced the acquisition of National Specialty Clinics, Inc. (NSC) one of the nation’s preeminent providers of methadone-based treatment for opiate addiction.

             NSC owns and operates 17 methadone-based clinics for the treatment of opiate addiction across six states. “This acquisition by CRC Health Group continues to operationalize the company’s strategy of building a nationwide network of treatment alternatives providing increased access to high quality care for those suffering from addiction to drugs and/or alcohol”, stated Dr. Barry Karlin, CRC Health Group Chairman & CEO. 

             The addition of the NSC clinics, which provide treatment to patients in states not currently served by CRC, brings to 48 the total number of methadone clinics owned by CRC. This renders CRC the nation’s largest provider of methadone treatment with 20,000 methadone patients daily. CRC is also the largest nationwide provider of traditional residential and outpatient treatment with another 35 facilities. With NSC, CRC will operate coast-to-coast with facilities in 21 states.

             David Gnass, NSC CEO added, “We are extremely pleased. The linkage of NSC’s clinics to the CRC Health Group system allows methadone-based treatment to be connected to a greater scope of treatment services. CRC is on the forefront of developing innovative treatment services. Our patients now will have access to all that CRC provides through its ever-growing capacity.”

             CRC Health Group offers the nation’s first fully integrated continuum of care for the treatment of drug and/or alcohol addiction.  The CRC system currently includes 65 traditional residential and outpatient treatment facilities, medically assisted treatment for opiate addiction, and the online substance abuse treatment programs of eGetgoing. CRC services include detox, residential, partial hospitalization, day, outpatient and online treatment. All CRC facilities are fully accredited by either JCAHO or CARF. CRC is headquartered in San Jose, California and employs approximately 2,000 people.  See http://www.crchealth.com or http://www.egetgoing.com  or call 1-800-HELP-999.

             National Specialty Clinics is a Nashville based owner/operator of opiate addiction treatment centers.  These centers operate as outpatient, medication assisted clinics.  NSC currently treats over 9,000 patients and employs 350 professional staff including physicians, pharmacists, counselors and nurses.

            (Source: CRC Health Group and Robert Weiner Associates)