Universal Health Services, Inc. Announces Agreement to Acquire Foundations Behavioral Health

Foundations Launches Community Partnership

KING OF PRUSSIA/DOYLESTOWN, PA (April 17, 2007) – UHS of Doylestown, LLC, an indirect subsidiary of Universal Health Services, Inc. has entered into an agreement with Foundations Behavioral Health to acquire the operating assets of Foundations Behavioral Health, the only freestanding non-profit child and adolescent psychiatric hospital and residential treatment center in Bucks County. Completion of the transaction is subject to the satisfaction of certain closing conditions contained in the purchase and sale agreement.

Ron Bernstein, CEO, Foundations Behavioral Health and Debra K. Osteen, President of Universal Health's Behavioral Health division announced that Foundations Behavioral Health will join the UHS system.

Founded in 1964, Foundations’ child and adolescent psychiatric hospital and residential treatment center is JCAHO-accredited and specializes in the care of children, adolescents, and their families who are experiencing emotional and behavioral difficulties. Following the sale, the hospital and residential treatment center and its employees will continue to serve the behavioral health needs of children, adolescents and their families in Bucks County. UHS's network of behavioral healthcare centers in the Philadelphia vicinity includes Hampton Behavioral Health Center, Fairmount Behavioral Health System, The Horsham Clinic, Rockford Center, KeyStone Center and Pennsylvania Clinical Schools.

“Foundations Behavioral Health is pleased that following the completion of the transaction, Foundations’ hospital will join the UHS system. We are safeguarding the hospital’s future and sustaining our legacy of service and commitment to the community,” said Ron Bernstein, CEO, Foundations Behavioral Health. “By joining the UHS network, the hospital will now have the strength behind it to thrive in the changing health care industry. The stability of UHS will make the Doylestown facility and programs better positioned to be a vital health care resource and meet the ever-growing needs of the community in the years to come.”

"We are very happy that following the completion of the transaction, the hospital and residential treatment center will be part of the UHS family and we look forward to welcoming its long, proud history of providing quality care in Bucks County,” said Debra K. Osteen, President of Universal Health's Behavioral Health division. “Foundations’ hospital and residential treatment center will be an excellent complement to our existing behavioral health facilities in the Philadelphia vicinity.”

Foundations Community Partnership
As an outgrowth of the sale, Foundations Behavioral Health will launch the Foundations Community Partnership, a non-profit system of innovative services designed to support and develop dynamic approaches to community based programs. Foundations Community Partnership expands upon Foundations Behavioral Health's original community service mission by implementing new youth-service learning programs, including the creation of a summer youth corps and internship program. The Foundations Community Partnership will continue to offer and expand prior grants and scholarships through the Partnership in Youth Services and Partnership in Education programs, and provide cutting edge professional and community education.

“Clearly, the Peace Corps and Vista have demonstrated the value of helping improve the quality of life for both young adults and the community by providing youth volunteer service and learning on a national level,” said Mr. Bernstein. “Through the Foundations Community Partnership, we intend to bring this concept to our Bucks County community.”

About Foundations Behavioral Health
Foundations Behavioral Health is the only freestanding non-profit child and adolescent psychiatric hospital and residential treatment center in Bucks County. Since 1964, Foundations has served the mental health needs of area residents and their families. Families can access the Community Service Center, Outpatient Clinic, Partial Hospital or Day Treatment, Wraparound Services, the LifeWorks Alternative School and educational and family support programs. For more information on our treatment and community programs and services at Foundations Behavioral Health, please visit the web site at www.fbh.com or call 215-345-0444.

About Universal Health Services
Universal Health Services, Inc. is one of the nation's largest hospital companies, operating acute care and behavioral health hospitals and ambulatory centers nationwide and in Puerto Rico. Certain statements in this release may constitute forward-looking statements and are subject to various risks and uncertainties as discussed in UHS’s filing with the Securities and Exchange Commission. UHS is not obligated to update these forward-looking statements even if the UHS's assessment of these risks and uncertainties changes. For additional information on UHS, visit our web site: http://www.uhsinc.com.