EFTA01382172.pdf

Focus on High Quality, Strong Credit Tenants Operator Credit Profile Lease Provisions • A fundamental component of our business plan is the continued • Lease structures are designed to provide AMP with key credit diversification of our tenant relationships and the geographic support for our rents, including: diversification of our hospital locations nationally - 10 to 15 years lease terms with rent escalators - Corporate or parent guarantees • Hospital acquisitions expected to be at prices substantially below - Cross-default and cross-collateralization provisions replacement cost - Liens on accounts receivable and other operating assets - Covenants monitoring operating performance • Partner with operators and guarantors with good credit ratings: for example in our pipeline we have diversified, national - Covenants regarding maintaining certain liquidity thresholds operators with credit ratings spanning from B+ to AA who will provide corporate or parent guarantees - Minimum working capital and net worth requirements - Strong rent coverage, typically in the 1.5x — 4.0x range • AMP has the ability to quickly replace underperforming operators with one of several strong operators that AMP has existing relationships with. These operators have extensive expertise in • If a tenant does not comply materially with the terms of a lease, turning around underperforming hospitals. Additionally, the AMP AMP has the right to terminate the lease, repossess the facility management team has the experience and capabilities to step in and cross-default other leases and loans with that tenant and provide interim management of a hospital, if needed American Medical Properties 16 CONFIDENTIAL - PURSUANT TO FED. R. CRIM. P. 6(e) DB-SDNY-0081434 CONFIDENTIAL SDNY_GM_00227618 EFTA01382172