EXHIBIT 99.1

FOR IMMEDIATE RELEASE
Thursday, April 28, 2011

REHABCARE REPORTS FIRST QUARTER 2011 RESULTS

	•		Net earnings per diluted share from continuing operations increase 20.3% year over year to $0.71, including $4.8 million pretax, or $0.12 per diluted share after tax, of transaction related expenses in the 2011 first quarter
	•		Hospital division improves EBITDA margin to 17.6% in the 2011 first quarter from 12.9% in the prior year quarter
	•		Skilled Nursing Rehabilitation Services division reports operating earnings margin in line with expectations of 5.8%; increases unit count by a net 66 new units
	•		Hospital Rehabilitation Services division delivers operating earnings margin of 18.7%
	•		Cash flow from operations of $19.8 million in first quarter allows company to pay down debt by $18.3 million

ST. LOUIS, MO, April 28, 2011—RehabCare Group, Inc. (NYSE:RHB) today reported the following financial results:

		First				Fourth				First
		Quarter				Quarter				Quarter
Amounts in millions, except per share data		2011				2010				2010
Consolidated Operating Revenues		$	364.6			$	339.3			$	322.0
Consolidated Operating Earnings (a)			37.8				36.1				31.6
Consolidated Net Earnings from Continuing Operations			19.5				18.6				14.3
Gain from Discontinued Operations, Net of Tax (b)			2.9				0.7				0.5
Consolidated Net Earnings			22.4				19.3				14.8
Net (Earnings) Loss Attributable to Noncontrolling Interests			(1.6	)			(2.2	)			0.2
Net Earnings Attributable to RehabCare			20.8				17.1				15.0
Diluted Earnings per Share Attributable to RehabCare:
Earnings from Continuing Operations, Net of Tax			0.71				0.66				0.59
Net Earnings			0.83				0.69				0.61
Hospital Operating Revenues			181.4				164.8				152.4
Hospital EBITDA			32.0				25.1				19.7
Hospital Operating Earnings			25.9				19.2				14.3
SRS Operating Revenues			136.9				128.1				126.4
SRS EBITDA			9.6				8.8				11.7
SRS Operating Earnings			8.0				7.4				10.3
HRS Inpatient Operating Revenues			33.1				33.7				31.1
HRS Outpatient Operating Revenues			13.3				12.7				12.1
HRS Operating Revenues			46.4				46.4				43.2
HRS EBITDA			9.2				10.2				7.5
HRS Operating Earnings			8.7				9.6				6.9

REHABCARE REPORTS FIRST QUARTER 2011 RESULTS		Page 2

(a)		The first quarter of 2011 includes certain transaction expenses related to the pending merger with Kindred Healthcare, Inc. of $4.8 million on a pretax basis, or $3.0 million after tax (see table on page 9). These costs have not been allocated to the Hospital, Skilled Nursing or Hospital Rehabilitation Services divisions.
(b)		The after-tax gain from discontinued operations of approximately $3.0 million in the first quarter of 2011 includes a $3.1 million after-tax gain on the sale of an inpatient rehabilitation facility (IRF) in Miami and a $0.1 million after-tax loss from the Miami IRF’s discontinued operating activities.

Management Comments

     John H. Short, Ph.D., RehabCare President and Chief Executive Officer, commented, “We had a great first quarter with strong year-over-year earnings growth, primarily the result of significantly improved operations and volumes in our Hospital division. The anticipated benefits of our merger with Triumph HealthCare have come to fruition.”

Financial Overview of First Quarter

     Consolidated operating revenues for the first quarter of 2011 were $364.6 million, a 13.2% increase compared to $322.0 million in the 2010 first quarter.

     Consolidated net earnings attributable to RehabCare were $20.8 million, or $0.83 per diluted share, in the first quarter of 2011 compared to $15.0 million, or $0.61 per diluted share, in the prior year quarter. Earnings in the first quarter of 2011 included $3.0 million, or $0.12 per diluted share, of after-tax expenses for certain transaction costs related to the pending merger with Kindred (see table on page 9). Earnings in the first quarter of 2011 also included a $3.0 million after-tax gain from discontinued operations.

     Effective January 1, 2011, the Company sold its inpatient rehabilitation facility (IRF) in Miami to Select Medical Corporation in exchange for Select’s 70-bed long-term acute care hospital (LTACH) in Hammond, Indiana. The Company’s $3.0 million after-tax gain from discontinued operations in the first quarter of 2011 includes a $3.1 million gain on the sale of the Miami IRF and a $0.1 million after-tax loss from the IRF’s discontinued operating activities.

     Operating revenues in the Hospital division for the first quarter of 2011 increased 19.0% to $181.4 million from $152.4 million in the first quarter of 2010. Same store revenues increased $13.2 million, or 8.7% compared to the year ago quarter. Earnings before interest, taxes, depreciation and amortization (EBITDA) improved from $19.7 million, or 12.9% of revenue, in the first quarter of 2010 to $32.0 million, or 17.6% of revenue, in the first quarter of 2011.

     At quarter end, the Hospital division operated a total of 35 hospitals, including 30 LTACHs and five IRFs.

     Operating revenues in the Skilled Nursing Rehabilitation Services (SRS) division increased 8.3% from $126.4 million in the first quarter of 2010 to $136.9 million in the first quarter of 2011, driven by a 2.4% increase in the average number of contract therapy programs operated and a 9.9% increase in contract therapy same store revenues. Operating earnings were $8.0 million, or 5.8% of revenue, compared to $10.3 million, or 8.2% of revenue, in the first quarter of 2010.

     On March 31, 2011, SRS operated in 1,178 locations compared to 1,112 locations at the end of the fourth quarter of 2010 and 1,125 locations at the end of the first quarter of 2010. Openings and closings in

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REHABCARE REPORTS FIRST QUARTER 2011 RESULTS		Page 3

the quarter totaled 89 and 23, respectively, resulting in a net 66 new units. SRS had 12 signed but unopened contracts at the end of the first quarter.

     The Hospital Rehabilitation Services (HRS) division’s 2011 first quarter operating revenues increased 7.2% to $46.4 million from $43.2 million in the first quarter of 2010. Inpatient operating revenues increased 6.3% and same store acute revenues improved 5.4% over the prior year quarter. The average number of inpatient programs increased 0.9% compared to the prior year quarter. Outpatient operating revenues increased 9.5% in the 2011 first quarter despite a 3.6% decline in the average number of outpatient programs. This was driven by a 13.6% improvement in average revenue per program including 9.2% same store growth in outpatient revenues. HRS operating earnings were $8.7 million, or 18.7% of revenue, compared to operating earnings of $6.9 million, or 16.0% of revenue, for the 2010 first quarter.

     At December 31, 2010, the division operated 105 IRF programs, flat sequentially and up from 103 a year ago. The division had one IRF opening and one IRF closing, one subacute opening, one outpatient opening and two outpatient closings during the first quarter. At March 31, 2011, the division had one signed but unopened IRF.

Balance Sheet and Liquidity

     At March 31, 2011, the Company had $33.6 million in cash and cash equivalents and $380.2 million in outstanding debt excluding unamortized original issue discounts. The Company has paid down debt by $18.3 million since the beginning of the year. Days sales outstanding decreased sequentially from 61.9 days to 61.6 days.

     For the quarter ended March 31, 2011, the Company generated cash from operations of $19.8 million and expended $3.1 million for capital expenditures, principally related to companywide information systems and hospital facility maintenance capital.

Outlook

     In connection with its pending merger with Kindred Healthcare, the Company has suspended its 2011 outlook.

About RehabCare Group

     Established in 1982 and headquartered in St. Louis, MO, RehabCare (www.rehabcare.com) is a leading provider of post-acute care, owning and operating 35 long-term acute care and rehabilitation hospitals and providing program management services in partnership with over 1,300 hospitals and skilled nursing facilities in 42 states and Puerto Rico. RehabCare is included in the Russell 2000 and Standard and Poor’s Small Cap 600 Indices.

Forward-Looking Statements

     Information set forth in this document contains forward-looking statements, which involve a number of risks and uncertainties. RehabCare cautions readers that any forward-looking information is not a guarantee of future performance and that actual results could differ materially from those contained in the

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REHABCARE REPORTS FIRST QUARTER 2011 RESULTS		Page 4

forward-looking information. Such forward-looking statements include, but are not limited to, statements about the benefits of the business combination transaction involving RehabCare and Kindred, including future financial and operating results, the combined company’s plans, objectives, expectations and intentions and other statements that are not historical facts.

     This press release contains non-GAAP financial measures as such term is defined in Regulation G under the rules of the Securities and Exchange Commission. While the Company believes these non-GAAP financial measures are useful in evaluating the Company, this information should be considered as supplemental in nature and not as a substitute for or superior to the related financial information prepared in accordance with GAAP. Further, these non-GAAP financial measures may differ from similarly titled measures presented by other companies. The Company has included reconciliations of these non-GAAP measures to the most directly comparable GAAP measure in the tables of this release.

CONTACT: RehabCare Group, Inc.
Financial: Jay W. Shreiner, Chief Financial Officer
(314) 659-2189
Press: Donna Lee, Office of the CEO
(314) 659-2287

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REHABCARE REPORTS FIRST QUARTER 2011 RESULTS		Page 5

I. Condensed Consolidated Statements of Earnings
(Unaudited; amounts in thousands, except per share data)

		Three Months Ended
		Mar. 31,				Dec. 31,				Mar. 31,
		2011				2010				2010
Operating revenues		$	364,599			$	339,344			$	321,954
Costs and expenses:
Operating			284,980				267,836				256,636
Selling, general and administrative			33,603				27,397				26,535
Depreciation and amortization			8,223				7,998				7,218
Total costs and expenses			326,806				303,231				290,389
Operating earnings			37,793				36,113				31,565
Interest income			12				20				18
Interest expense			(7,468	)			(7,866	)			(8,500	)
Other income (expense), net			(14	)			312				7
Equity in net income of affiliates			163				199				116
Earnings from continuing operations before income taxes			30,486				28,778				23,206
Income tax expense			11,024				10,148				8,941
Earnings from continuing operations			19,462				18,630				14,265
Gain from discontinued operations			2,968				673				564
Net earnings			22,430				19,303				14,829
Net (earnings) loss attributable to noncontrolling interests			(1,665	)			(2,250	)			164
Net earnings attributable to RehabCare		$	20,765			$	17,053			$	14,993
Amounts attributable to RehabCare:
Earnings from continuing operations		$	17,797			$	16,380			$	14,429
Gain from discontinued operations			2,968				673				564
Net earnings		$	20,765			$	17,053			$	14,993
Diluted EPS attributable to RehabCare:
Earnings from continuing operations		$	0.71			$	0.66			$	0.59
Gain from discontinued operations			0.12				0.03				0.02
Net earnings		$	0.83			$	0.69			$	0.61
Weighted average diluted shares			25,025				24,770				24,655

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REHABCARE REPORTS FIRST QUARTER 2011 RESULTS		Page 6

II. Condensed Consolidated Balance Sheets
(Amounts in thousands)

		Unaudited
		March 31,				December 31,
		2011				2010
Assets
Cash and cash equivalents		$	33,622			$	23,205
Accounts receivable, net			249,015				231,311
Deferred tax assets			24,094				21,034
Other current assets			11,221				14,559
Total current assets			317,952				290,109
Property and equipment, net			117,386				119,591
Goodwill			567,863				559,866
Intangible assets			129,576				127,227
Investment in unconsolidated affiliate			4,924				4,913
Assets held for sale			—				10,407
Other assets			22,639				23,588
		$	1,160,340			$	1,135,701
Liabilities & Equity
Current portion of long-term debt		$	7,791			$	9,116
Payables & accruals			169,292				163,380
Total current liabilities			177,083				172,496
Long-term debt, less current portion			365,138				381,772
Other non-current liabilities			62,050				60,450
Stockholders’ equity			534,942				500,098
Noncontrolling interests			21,127				20,885
		$	1,160,340			$	1,135,701

III. Condensed Consolidated Statements of Cash Flows
(Unaudited; amounts in thousands)

		Year Ended
		March 31,
		2011				2010
Net cash provided by operating activities		$	19,843			$	8,511
Net cash used in investing activities			(1,007	)			(5,151	)
Net cash provided by (used in) financing activities			(8,419	)			(699	)
Net increase in cash and cash equivalents			10,417				2,661
Cash and cash equivalents at beginning of period			23,205				24,690
Cash and cash equivalents at end of period		$	33,622			$	27,351
Supplemental information:
Additions to property and equipment		$	(3,140	)		$	(5,241	)

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REHABCARE REPORTS FIRST QUARTER 2011 RESULTS		Page 7

IV. Operating Statistics
(Unaudited; dollars in thousands)

		First				Fourth				First
		Quarter				Quarter				Quarter
		2011				2010				2010
Hospitals (a)
Operating revenues		$	181,374			$	164,778			$	152,362
Operating expenses			137,726				128,423				122,148
Selling, general and administrative			11,670				11,247				10,541
Depreciation and amortization			6,052				5,946				5,374
Operating earnings		$	25,926			$	19,162			$	14,299
Operating earnings margin			14.3	%			11.6	%			9.4	%
EBITDA		$	31,978			$	25,108			$	19,673
LTACHs
Number of hospitals — end of period			30				29				28
Available licensed beds — end of period			1,696				1,605				1,593
Admissions			3,982				3,680				3,563
Patient days			105,023				96,834				90,455
Average length of stay (Medicare days only)			27				25				27
Net inpatient revenue per patient day		$	1,586			$	1,545			$	1,519
Occupancy rate			69	%			66	%			63	%
Percent patient days — Medicare			75	%			74	%			73	%
IRFs (a)
Number of hospitals — end of period			5				5				5
Available licensed beds — end of period			183				183				183
Admissions			885				921				903
Discharges			872				935				868
Average length of stay (Medicare days only)			12				12				13
Net inpatient revenue per discharge		$	15,112			$	14,504			$	15,022
Occupancy rate			68	%			68	%			70	%
Percent patient days — Medicare			72	%			71	%			71	%

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REHABCARE REPORTS FIRST QUARTER 2011 RESULTS		Page 8

IV. Operating Statistics Continued
(Unaudited; dollars in thousands)

		First				Fourth				First
		Quarter				Quarter				Quarter
		2011				2010				2010
Skilled Nursing Rehabilitation Services
Operating revenues		$	136,871			$	128,132			$	126,352
Operating expenses			114,500				107,344				103,333
Selling, general and administrative			12,781				11,950				11,367
Depreciation and amortization			1,595				1,466				1,307
Operating earnings		$	7,995			$	7,372			$	10,345
Operating earnings margin			5.8	%			5.8	%			8.2	%
EBITDA		$	9,590			$	8,838			$	11,652
Average number of contract therapy locations			1,158				1,146				1,131
End of period number of contract therapy locations			1,178				1,112				1,125
Patient visits (in thousands)			2,161				2,008				2,020
Hospital Rehabilitation Services
Operating revenues
Inpatient Rehabilitation Facility (IRF)		$	30,745			$	31,469			$	29,016
Subacute			2,326				2,217				2,094
Total Inpatient		$	33,071			$	33,686			$	31,110
Outpatient			13,283				12,748				12,130
Total HRS		$	46,354			$	46,434			$	43,240
Operating expenses			32,754				32,069				31,155
Selling, general and administrative			4,365				4,200				4,627
Depreciation and amortization			576				586				537
Operating earnings		$	8,659			$	9,579			$	6,921
Operating earnings margin			18.7	%			20.6	%			16.0	%
EBITDA		$	9,235			$	10,165			$	7,458
Average number of programs
IRF			104				106				104
Subacute			11				11				10
Total Inpatient			115				117				114
Outpatient			29				30				31
Total HRS			144				147				145
End of period number of programs
IRF			105				105				103
Subacute			12				11				10
Total Inpatient			117				116				113
Outpatient			29				30				31
Total HRS			146				146				144
IRF discharges			10,575				11,136				10,007
Outpatient visits (in thousands)			258				263				262

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REHABCARE REPORTS FIRST QUARTER 2011 RESULTS		Page 9

V. Charges/Credits Included in Statement of Earnings
(Unaudited; amounts in thousands, except per share data)

		First Quarter 2011
		Pre-Tax Impact				After-Tax Impact				Diluted EPS
Transaction expenses (a)		$	4,787			$	2,956			$	0.12

VI. Operating Earnings and EBITDA Reconciliation
(Unaudited; amounts in thousands)

		First				Fourth				First
		Quarter				Quarter				Quarter
		2011				2010				2010
Net earnings		$	22,430			$	19,303			$	14,829
Income tax expense			11,024				10,148				8,941
Interest income			(12	)			(20	)			(18	)
Interest expense			7,468				7,866				8,500
Other (income) expense, net			14				(312	)			(7	)
Equity in net income of affiliates			(163	)			(199	)			(116	)
Gain from discontinued operations			(2,968	)			(673	)			(564	)
Operating earnings (a)			37,793				36,113				31,565
Depreciation and amortization			8,223				7,998				7,218
Consolidated EBITDA (a)		$	46,016			$	44,111			$	38,783
Hospital operating earnings (a)		$	25,926			$	19,162			$	14,299
Hospital depreciation and amortization			6,052				5,946				5,374
Hospital EBITDA (a)		$	31,978			$	25,108			$	19,673
SRS operating earnings (a)		$	7,995			$	7,372			$	10,345
SRS depreciation and amortization			1,595				1,466				1,307
SRS EBITDA (a)		$	9,590			$	8,838			$	11,652
HRS operating earnings (a)		$	8,659			$	9,579			$	6,921
HRS depreciation and amortization			576				586				537
HRS EBITDA (a)		$	9,235			$	10,165			$	7,458

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