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Exhibit 99.1


INFORMATION UPDATE

SUMMARY

        The following summary highlights information contained elsewhere in this offering memorandum. It may not contain all the information that may be important to you. You should read this entire offering memorandum carefully, including the sections entitled "Risk Factors," "Management's Discussion and Analysis of Financial Condition and Results of Operations" and our historical consolidated financial statements and related notes included elsewhere in this offering memorandum. Unless the context requires otherwise, references to "UHS," the "Company," "we," "our" and "us" refer to Universal Hospital Services, Inc. and all of its subsidiaries, unless indicated or the context otherwise requires. References to "Parent" refer to UHS Holdco, Inc., our direct parent.


Our Company

        We are a leading nationwide provider of medical equipment management and service solutions to the United States health care industry. Our customers include national, regional and local acute and long-term acute care hospitals, alternate site providers (such as long-term acute care hospitals, skilled nursing facilities, specialty hospitals, nursing homes and home care providers) and medical equipment manufacturers. We provide our customers solutions across the spectrum of the equipment life cycle as a result of our position as one of the industry's largest purchasers and outsourcers of medical equipment. As of September 30, 2012, we owned or managed over 688,000 pieces of medical equipment consisting of over 440,000 owned or managed pieces in our Medical Equipment Outsourcing segment and 248,000 pieces of customer owned equipment we managed in our Technical and Professional Services segment. Our diverse medical equipment outsourcing customer base includes approximately 4,300 acute care hospitals and more than 4,440 alternate site providers. We also have relationships with more than 200 medical equipment manufacturers and many of the nation's largest group purchasing organizations ("GPOs") and many of the integrated delivery networks ("IDNs"). All of our solutions leverage our nationwide network of 83 offices and our more than 70 years of experience managing and servicing all aspects of medical equipment. Our fees are paid directly by our customers rather than by direct reimbursement from third-party payors, such as private insurers, Medicare, or Medicaid. For the twelve months ended September 30, 2012, we generated revenues of $408.3 million and pro forma Adjusted EBITDA of $147.2 million. For a reconciliation of consolidated net loss to Adjusted EBITDA, see footnote 4 under the caption "—Summary Financial and Other Data."

        We operate through three segments: Medical Equipment Outsourcing, Technical and Professional Services and Medical Equipment Sales and Remarketing.

Medical Equipment Outsourcing Segment—Manage & Utilize

        Our flagship business is our Medical Equipment Outsourcing segment, which accounted for $226.6 million, or approximately 72.5% of our revenues, for the nine months ended September 30, 2012 and $275.9 million, or approximately 77.7%, of our revenues for the year ended December 31, 2011. This segment represented 78.6% and 78.3% of total revenue for the years ended December 31, 2010 and 2009, respectively. As of September 30, 2012, we owned or managed over 440,000 pieces of equipment in our Medical Equipment Outsourcing segment, primarily in the categories of respiratory therapy, newborn care, critical care, patient monitors, patient handling (which includes fall management, bariatrics, beds, stretchers and wheelchairs), pressure area management (such as therapy surfaces) and wound therapy, laser and mobile surgical services. Historically, we have purchased and

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owned directly the equipment used in our Medical Equipment Outsourcing programs. We have four primary outsourcing programs:

    Supplemental and peak usage needs.  We rent patient-ready medical equipment to our customers on a supplemental or peak needs basis;

    Customized outsourcing agreements.  We offer our customers the opportunity to obtain medical equipment through long-term outsourcing agreements;

    Asset360 Equipment Management Program.  Our Asset360 Program (formerly the "Asset Management Partnership Program" or "AMPP") solution allows our customers to fully outsource the responsibilities and costs of effectively managing medical equipment at their facilities, with the added benefit of enhancing equipment utilization; and

    Laser and Mobile Surgery Services.  We provide state of the art lasers and other mobile surgical equipment along with the personnel to operate the equipment.

        Our primary customer relationships are with local healthcare providers such as hospitals, surgery centers, long-term care providers, and nursing homes. These organizations may belong to regional or national groups of facilities, and often participate in GPOs. We contract at the local, regional and national level, as requested by our customers. We expect much of our future growth in this segment to be driven by our customers outsourcing more of their medical equipment needs and taking full advantage of our diversified product offering, customized outsourcing agreements and Asset360 Programs.

        We believe that a multi-billion dollar market exists for these services, including the rental and management of medical equipment.

        Our Medical Equipment Outsourcing Programs enable health care providers to replace the fixed costs of owning and/or leasing medical equipment with variable costs that are more closely related to their patient census and patient acuity. They also eliminate significant capital costs associated with equipment acquisitions and liability associated with equipment ownership.

        In addition to providing significant flexibility, we employ technical, clinical and financial specialists that directly interact with our customers to ensure we are optimizing our equipment outsourcing solutions. We believe that these experts enhance our ability to deliver on the above specified benefits to our customers.

Technical and Professional Services Segment—Plan & Acquire; Maintain & Repair

        Our Technical and Professional Services segment accounted for $62.5 million, or approximately 20.0% of our revenues for the nine months ended September 30, 2012 and $54.1 million, or approximately 15.2%, of our revenues for the year ended December 31, 2011. This segment represented 14.2% and 14.2% of total revenue for the years ended December 31, 2010 and 2009, respectively. We leverage our over 70 years of experience and our extensive equipment database in repairing and maintaining medical equipment. We offer a broad range of inspection, preventative maintenance, repair, logistic and consulting services through our team of over 325 technicians and professionals located throughout the United States in our nationwide network of offices and managed over 248,000 units of customer owned equipment during the twelve months ended September 30, 2012. In addition, during the twelve months ended September 30, 2012, we serviced over 440,000 units that we own or directly manage.

        Our Technical and Professional Services segment offerings provide a complementary alternative for customers that wish to own their medical equipment but lack the infrastructure, expertise, or scale to perform routine maintenance, repair, record keeping and lifecycle analysis and planning functions.

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        We have three primary service programs:

    Supplemental Maintenance and Repair Services.  We provide maintenance and repair services on a scheduled and unscheduled basis to supplement the customer's current maintenance management practices.

    BioMed360 Equipment Management Program ("BioMed360 Program").  We also provide full and part-time, on-site, resident- based equipment maintenance programs that deliver all the benefits of our supplemental maintenance and repair programs, but with the addition of a medical equipment management program.

    Consulting Services.  We provide equipment consulting services as part of our other equipment management programs or as stand-alone services.

Medical Equipment Sales and Remarketing Segment—Redeploy & Remarket

        Our Medical Equipment Sales and Remarketing segment accounted for $23.3 million, or approximately 7.5% of our revenues for the nine months ended September 30, 2012 and $25.2 million, or approximately 7.1%, of our revenues for the year ended December 31, 2011. This segment represented 7.2% and 7.5% of total revenue for the years ended December 31, 2010 and 2009, respectively.

        This segment includes three distinct business activities:

    Medical equipment remarketing and disposal.  We buy, source, remarket and dispose of pre-owned medical equipment for our customers and on our own behalf;

    Specialty medical equipment sales and distribution.  We use our national infrastructure to provide sales and distribution services to manufacturers of specialty medical equipment on a limited basis; and

    Sales of disposables.  We offer our customers single use disposable items.


Our Strengths

        We believe our business model presents an attractive value proposition to our customers and has resulted in significant growth in recent years. We provide our customers with a wide array of services across the full spectrum of the equipment lifecycle. We believe our over 70 years of experience and reputation as a "go to" company in critical situations has earned us a leading position in our industry. We attribute our historical success to, and believe that our potential for future growth comes from, the following strengths:

        Unique position in the health care arena.    We believe that we are unique in providing the largest breadth of comprehensive medical equipment management and service solutions to the health care industry. While we have competitors that may offer products and services in various stages of the equipment lifecycle, we believe that none provide the comprehensive approach to customers that we do. Our extensive relationships with more than 4,300 hospitals, approximately 4,440 alternate site providers, over 200 medical equipment manufacturers, many of the nation's largest GPOs and many IDNs, many of which relationships are long-standing, present a unique position and value proposition in the health care arena.

        We are uniquely positioned in the health care industry as a result of our:

    investment in our large and modern fleet of medical equipment;

    diversified product offering and customized solutions;

    nationwide infrastructure for service and logistics;

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    proprietary medical equipment management software and tools;

    commitment to customer service that has earned us a reputation as a leader in quality, value, and service in our industry;

    extensive knowledge and experience in acquiring, managing, maintaining and remarketing medical equipment;

    team of technical, clinical, and financial experts; and

    performance and reliability in critical times of need by our customers.

        Large, modern equipment fleet.    We own or manage an extensive, modern fleet of medical equipment, which during the twelve months ended September 30, 2012, consisted of over 688,000 pieces of equipment available for use to our customers. This modern equipment fleet, along with our quality assurance programs and tools, places us in a leadership position in the areas of quality and patient safety. It also places us in a unique position to service "high end" acute care hospitals, such as teaching, research or specialty institutions that demand the most current technology to satisfy the increasingly complex needs of their patients.

        Nationwide infrastructure.    We have a broad, nationwide staff, facility and vehicle service network coupled with focused and customized operations at the local level. Our extensive network of district offices and Centers of Excellence and our 24-hours-a-day, 365 days-a-year service capabilities enable us to compete effectively for large, national contracts as well as to drive growth regionally and locally.

        Proprietary software and asset management tools.    We have used our more than 70 years of experience and our extensive database of equipment management information to develop sophisticated software technology and management tools. These tools have allowed us to become a leader in meeting the demands of customers by delivering sophisticated asset management programs that we use to drive cost efficiencies, equipment productivity, caregiver satisfaction and better patient outcomes. We believe that our continued and significant investment in new tools and technology will help us to continue to distinguish our offerings to the health care industry.

        Superior customer service.    We believe we have a long-standing reputation among our customers for outstanding service and quality. This reputation is largely due to our strong customer service culture, which is continuously reinforced by management's commitment to, and significant investment in, hiring and training resources. We strive to seamlessly integrate our employees and service offerings into the operations of our customers. We believe this aggressive focus on customer service has helped us achieve a high customer retention rate.

        Proven management team.    We have an industry leading management team with significant depth of health care experience. Our management team has successfully supervised the development of our competitive strategy, continually enhanced and expanded our service and product offerings, established our nationwide coverage and furthered our reputation as an industry leader for quality, value and service.

        Industry with favorable fundamentals.    Our business benefits from the overall favorable trends in health care in general and our segments in particular. There is a fundamental shift in the needs of hospitals and alternate site providers from supplemental and peak needs supply of medical equipment to full, on-site equipment management programs. This move to full outsourcing is not unlike trends in similar services at hospitals including food service, laundry, professional staffing and technology. The

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strong fundamentals in our Medical Equipment Outsourcing segment are being driven by the following trends:

    Favorable demographic trends.  According to the U.S. Census Bureau, individuals aged 65 and older in the United States comprise the fastest growing segment of the population and are expected to grow to over 70 million individuals by 2030. This represents a 42% increase in the 65 and older segment of the population over the next 20 years. As a result, over time, the number of patients and the volume of hospital admissions are expected to grow. The aging population and increasing life expectancy are driving demand for health care services.

    Increase in obesity.  The U.S. population is getting heavier, with over 36 states reportedly now having obesity prevalence rates over 25% as of 2010, compared to zero states with such rates in 2000, as reported by the Centers for Disease Control (the "CDC"). According to the CDC, the increase in obesity prevalence rates translates into annual obesity related health care costs in excess of $147 billion. Therefore, health care facilities must be prepared for the medical needs of obese and morbidly obese patients.

    Increased capital and operating expense pressures and regulatory scrutiny.  Hospitals continue to experience restricted capital and operating budgets, while the cost and complexity of medical equipment increases. Furthermore, the increasing complexity and sophistication of medical equipment brings with it more record keeping and regulatory scrutiny of the use and maintenance of medical equipment in the health care setting. We expect that hospitals will increasingly look to us to source these capital equipment needs and manage medical equipment to achieve capital and operating expense savings, operating efficiencies and regulatory compliance.

    Caregiver retention and satisfaction.  Hospitals continue to experience nursing and other caregiver retention and job satisfaction pressures. We expect that with these internal pressures, hospitals will increasingly turn to our programs to outsource medical equipment management duties and related management challenges.

    Demand for better patient safety and outcomes.  Hospitals across the United States are focused on improving patient safety and outcomes, which includes efforts to minimize the incidence of hospital-acquired infections, patient falls and pressure ulcers. Hospitals turn to us to assist them in managing their equipment to help them to minimize these incidents, thereby improving patient safety and outcomes while reducing the cost of these events.

        No direct third-party payor reimbursement risk.    Many health care providers rely on payment from patients or reimbursement from third-party payors. Our fees are paid directly by our customers, rather than by third-party payors, such as Medicare, Medicaid, managed care organizations or indemnity insurers. Accordingly, our exposure to uncollectible patient or reimbursement receivables or Medicare or Medicaid reimbursement changes is reduced, as evidenced by our bad debt expense of less than approximately 0.3%, 0.1% and 0.5% of total revenues for the years ended December 31, 2011, 2010 and 2009, respectively, and approximately 0.2% for the nine months ended September 30, 2012.

        Strong value proposition.    With our focus and expertise in medical equipment lifecycle solutions, we are able to create a strong value proposition for our customers. All of our equipment lifecycle solutions focus on providing our customers with:

    lower capital and operating costs;

    enhanced staff productivity and satisfaction; and

    improved patient safety and outcomes.

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        Technical, clinical and financial specialists.    We employ a number of technical, clinical and financial specialists that engage directly with our customers to drive better cost, efficiency and clinical outcomes. Our specialists employ:

    Gateway solutions which offer an entry point to the economic buyer and include peak need rentals, technical services, and sales and remarketing;

    Vertical solutions to provide clinical offerings tailored to specific patient needs in the areas of wound management, fall management, bariatrics, respiratory therapy, maternal and infant care and laser surgical services; and

    Comprehensive solutions through our Asset360 Programs and BioMed360 Programs to drive efficiencies and allow customers to effectively manage costs.

        Performance and reliability in time of critical need by our customers.    We believe that many of our customers have come to rely on our ability to respond quickly and with significant resources in times of emergency, such as hurricanes, tornadoes, floods and epidemic outbreaks to bring in needed medical equipment in critical situations. We believe our ability to provide critical service in extreme situations distinguishes us from our competitors. It also requires us to maintain inventories and infrastructure that we do not believe our competitors currently maintain.


Growth Strategy

        Historically, we have experienced significant and sustained organic and strategic growth. Our overall growth strategy is to continue to grow both organically and through strategic acquisitions.

Organic Growth

        We believe that the following external and market factors will provide us significant growth opportunities:

    the aging population;

    increasing life expectancy;

    increasing obesity and patient acuity;

    continued increase in the number, complexity and sophistication of medical technologies;

    increasing cost and staffing pressures in hospitals;

    continuing growth of outsourcing of non-core functions by hospitals, alternate site providers and manufacturers; and

    increasing demand by payors and providers for equipment based solutions.

        Our organic growth will be driven internally by the following factors:

    growing our outsourcing business through customer education and increasing the numbers and types of equipment we offer in our programs;

    converting peak needs rental and biomedical service customers to fully outsourced resident-based programs;

    growing our less capital intensive technical and professional services, equipment sales and remarketing and outsourcing revenue share businesses;

    increasing the number of hospitals, alternative care facilities, surgery centers, physicians and manufacturers to which we provide services; and

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    expanding and deepening our relationships with customers and manufacturers to develop more effective and comprehensive offerings tailored to the unique needs of caregivers.

Acquisitions

        Since 2005, we have made and successfully integrated acquisitions that have helped us expand our business, adding additional service offerings and enabling us to penetrate new geographic regions. We continue our focus on potential acquisitions and international growth opportunities. We intend to continue to pursue a disciplined course of growing our business with complementary acquisitions and we regularly evaluate potential acquisitions. See also, "Business—Growth Strategy—Acquisitions."


The Investors

        All of our outstanding capital stock is owned by Parent, which acquired the Company in a recapitalization in May 2007 (the "Transaction"). Parent is owned by certain members of our management and affiliates of IPC Manager III, L.P. ("Irving Place Capital" or "IPC") (the former private equity affiliate of The Bear Stearns Companies Inc.). IPC is a leading middle-market private equity firm that invests in leveraged buyouts, management buyouts, corporate divestitures, industry consolidations, recapitalizations, growth capital opportunities, and other ownership liquidity situations alongside proven management teams. IPC manages nearly $4.0 billion of private equity capital, including its latest $2.7 billion institutional fund. Since its formation in 1997, IPC has been an investor in over 50 portfolio companies across a broad range of industries. The team is comprised of investment professionals with long track records for making highly profitable and disciplined investments. Along with a market leading track record, IPC brings an extensive relationship network and a reputation for being a value added partner. IPC's current and prior healthcare investments include National Surgical Hospitals, Oxford Health Plans, Unilab Corporation, Active Health Management, Hand Innovations and Care Realty, LLC.


Additional Information

        We commenced operations in 1939, originally incorporated in Minnesota in 1954 and reincorporated in Delaware in 2001. Our principal executive offices are located at 6625 West 78th Street, Suite 300, Minneapolis, Minnesota 55439. Our telephone number is (952) 893-3200. We maintain a website at www.uhs.com. The information on our website is not a part of, or incorporated by reference in, this offering memorandum.

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Summary Financial and Other Data

        The following table sets forth our summary historical consolidated financial data. We have derived the summary historical consolidated financial data as of December 31, 2011 and 2010 and for the years ended December 31, 2011, 2010 and 2009 from our audited consolidated financial statements appearing elsewhere in this offering memorandum. The summary historical consolidated financial data as of December 31, 2009 is derived from our audited consolidated financial statements not appearing in this offering memorandum. We have derived the summary historical consolidated financial data as of and for the nine months ended September 30, 2012 and 2011 from our unaudited consolidated financial statements appearing elsewhere in this offering memorandum. In the opinion of our management, our unaudited consolidated financial statements contain all adjustments, consisting only of normal recurring adjustments, necessary for a fair presentation of our financial position, results of operations and cash flows. The results of operations for the nine months ended September 30, 2012 and 2011 are not necessarily indicative of the operating results to be expected for the full fiscal years.

        The unaudited consolidated financial data for the twelve months ended September 30, 2012 have been derived by taking the financial data from our audited condensed consolidated financial statements for the year ended December 31, 2011, adding financial data from our unaudited consolidated financial statements for the nine months ended September 30, 2012 and subtracting data from our unaudited consolidated financial statements for the nine months ended September 30, 2011. The results of operations for the twelve months ended September 30, 2012 are not necessarily indicative of the operating results to be expected for full fiscal years.

        We have restated certain amounts for the years ended December 31, 2011 and 2010 and for the nine months ended September 30, 2011. Our prior consolidated financial statements reflected $15.8 million, $5.3 million and $9.7 million of gains from both non-monetary and cash refunds on recalled infusion pumps within revenues for the years ended December 31, 2011 and 2010 and for the nine months ended September 30, 2011, respectively. We have determined that the gains should have been presented as a reduction of cost of sales. As a result, we restated our consolidated financial statements and related disclosures to recognize a reduction of both revenue and costs of sales for the years ended December 31, 2011 and 2010 and for the nine months ended September 30, 2011. Such revisions have no impact on gross margin, operating income, net income or cash flows.

        In addition, we also chose to correct certain tax items that were immaterial individually and in the aggregate. These other tax corrections as of and for the year ended December 31, 2011 related to a $1.0 million adjustment to deferred taxes recorded in connection with a 2011 acquisition and the corresponding impact on the goodwill and valuation allowance balances; a $0.3 million increase to taxes payable and the provision for income taxes; and a $2.4 million reclassification between the deferred income tax asset and deferred income tax liability.

        The selected financial data presented below is qualified in its entirety by, and should be read in conjunction with, the consolidated financial statements and notes thereto and other financial and statistical information included elsewhere in this offering memorandum, including the information contained under the caption "Management's Discussion and Analysis of Financial Condition and Results of Operations" and "Selected Historical Financial Data."

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        The following table also presents certain summary unaudited pro forma financial information for the twelve months ended September 30, 2012 that gives effect to this offering and the application of the proceeds therefrom.

 
   
  Nine Months Ended September 30,    
   
   
 
 
  Twelve Months Ended September 30, 2012   Year Ended December 31,  
 
  2012   2011   2011   2010   2009  
 
  (dollars in thousands)
 

Consolidated Statement of Operations Data:

                                     

Revenue:

                                     

Medical equipment outsourcing

  $ 297,350   $ 226,599   $ 205,159   $ 275,910   $ 245,145   $ 232,623  

Technical and professional services

    80,520     62,545     36,083     54,058     44,426     42,395  

Medical equipment sales and remarketing

    30,466     23,250     17,972     25,188     22,541     22,186  
                           

Total revenues

    408,336     312,394     259,214     355,156     312,112     297,204  

Cost of Revenue:

                                     

Cost of medical equipment outsourcing

    102,191     77,273     72,785     97,703     86,210     83,553  

Cost of technical and professional services

    60,977     47,109     26,650     40,518     31,690     30,539  

Cost of medical equipment sales and remarketing

    23,731     18,112     14,115     19,734     16,342     18,177  

Medical equipment depreciation

    68,683     52,329     51,678     68,032     69,496     64,267  
                           

Total costs of medical equipment outsourcing, technical and professional services and medical equipment sales and remarketing

    255,582     194,823     165,228     225,987     203,738     196,536  
                           

Gross margin

    152,754     117,571     93,986     129,169     108,374     100,668  

Selling, general and administrative

    114,952     86,251     72,247     100,948     89,336     84,225  

Acquisition and integration expenses

    1,214     352     2,621     3,483          
                           

Operating income

    36,588     30,968     19,118     24,738     19,038     16,443  

Loss on extinguishment of debt

    12,339     12,339                  

Interest expense

    58,982     43,534     39,572     55,020     46,457     46,505  
                           

Loss before income taxes and non controlling interest

    (34,733 )   (24,905 )   (20,454 )   (30,282 )   (27,419 )   (30,062 )

Provision (benefit) for income taxes

    (4,816 )   (2,883 )   (6,410 )   (8,343 )   1,692     (11,489 )
                           

Consolidated net loss

    (29,917 )   (22,022 )   (14,044 )   (21,939 )   (29,111 )   (18,573 )

Net income attributable to non controlling interest

    722     568     297     451          
                           

Net loss attributable to Universal Hospital Services, Inc. 

  $ (30,639 ) $ (22,590 ) $ (14,341 ) $ (22,390 ) $ (29,111 ) $ (18,573 )
                           

Consolidated Balance Sheet Data (at period end):

                                     

Working capital1

        $ 25,111   $ 6,566   $ 23,608   $ 23,550   $ 32,352  

Total assets

          960,524     948,356     936,932     833,028     835,403  

Total debt

          703,107     654,463     671,097     525,045     518,619  

Shareholders' equity

          73,481     104,585     93,187     146,739     173,991  

Consolidated Cash Flow Data:

                                     

Net cash provided by (used in):

                                     

Operating activities

  $ 53,237   $ 51,613   $ 56,067   $ 57,691   $ 76,156   $ 55,988  

Investing activities

    (79,782 )   (55,427 )   (128,864 )   (153,219 )   (74,205 )   (50,550 )

Financing activities

    15,948     5,115     85,856     96,689     (1,951 )   (17,444 )

Other Financial Data:

                                     

EBITDA2,4

  $ 122,320   $ 89,994   $ 88,572   $ 120,899   $ 110,777   $ 103,490  

Adjusted EBITDA3,4

    145,782     111,132     98,563     133,402     121,590     108,042  

Interest expense

    58,982     43,534     39,572     55,020     46,457     46,505  

Depreciation and amortization

    98,793     71,933     69,751     96,612     91,739     87,047  

Net capital expenditures

    60,433     41,009     63,825     83,249     74,205     50,408  

Ratio of Adjusted EBITDA to interest expense

    2.5x                                

Ratio of net debt to Adjusted EBITDA

    4.8x                                

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  Nine Months Ended September 30,    
   
   
 
 
  Twelve Months Ended September 30, 2012   Year Ended December 31,  
 
  2012   2011   2011   2010   2009  
 
  (dollars in thousands)
 

Summary Pro Forma Financial Data:

                                     

Pro forma interest expense5

  $ 54,630                                

Pro forma net debt (end of period)

    705,645                                

Pro forma Adjusted EBITDA4,6

    147,160                                

Ratio of pro forma Adjusted EBITDA to pro forma interest expense4,5

    2.7x                                

Ratio of pro forma net debt to pro forma Adjusted EBITDA5,6

    4.8x                                

Other Operating Data (as of end of period):

                                     

Medical equipment (approximate number of owned outsourcing units)

    265,000     265,000     244,000     248,000     231,000     223,000  

District offices

    83     83     84     84     84     84  

Number of outsourcing hospital customers

    4,300     4,300     4,275     4,275     4,250     4,200  

Number of total outsourcing customers

    8,740     8,740     8,675     8,700     8,600     8,450  

1
Represents total current assets (excluding cash and cash equivalents) less total current liabilities (excluding current portion of long-term debt).

2
EBITDA is defined as consolidated net loss, less provision (benefit) for income taxes and interest expense, plus depreciation and amortization. In addition to using EBITDA internally as a measure of operational performance, we disclose it externally to assist analysts, investors and lenders in their comparisons of operational performance, valuation and debt capacity across companies with differing capital, tax and legal structures. Management also understands that some industry analysts and investors consider EBITDA as a supplementary non GAAP financial measure useful in analyzing a company's ability to service debt. EBITDA, however, is not a measure of financial performance under GAAP and should not be considered as an alternative to, or more meaningful than, net income as a measure of operating performance or to cash flows from operating, investing or financing activities or as a measure of liquidity. Since EBITDA is not a measure determined in accordance with GAAP and is thus susceptible to varying interpretations and calculations, EBITDA, as presented, may not be comparable to other similarly titled measures of other companies. EBITDA does not represent an amount of funds that is available for management's discretionary use. See footnote 4 below for a reconciliation of consolidated net loss to EBITDA.

3
Adjusted EBITDA is defined as consolidated net loss, less provision (benefit) for income taxes and interest expense, plus depreciation and amortization before management and board and strategic fees, stock option expense, Accounting Standards Codification 805 purchase price accounting impact, loss on extinguishment of debt and transaction and related costs, which may not be calculated consistently among other companies applying similar reporting measures. Adjusted EBITDA is not intended to represent an alternative to operating income or cash flows from operating, financing or investing activities (as determined in accordance GAAP) as a measure of performance, and are not representative of funds available for discretionary use due to our financing obligations. Adjusted EBITDA is included because our financial guidance and certain compensation plans are based upon this measure. Management believes that Adjusted EBITDA provides an important perspective on our ability to service our long-term obligations, our ability to fund continuing growth, and our ability to continue as a going concern. See footnote 4 below for a reconciliation of consolidated net loss to EBITDA and Adjusted EBITDA.

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4
The following is a reconciliation of consolidated net loss attributable to Universal Hospital Services, Inc. to EBITDA and Adjusted EBITDA:

 
   
  Nine Months Ended September 30,    
   
   
 
 
   
  Year Ended December 31,  
 
  Twelve Months Ended September 30,
2012
 
 
  2012   2011   2011   2010   2009  
 
  (dollars in thousands)
 

Consolidated net loss attributable to Universal Hospital Services, Inc. 

  $ (30,639 ) $ (22,590 ) $ (14,341 ) $ (22,390 ) $ (29,111 ) $ (18,573 )

Interest expense

    58,982     43,534     39,572     55,020     46,457     46,505  

Provision (benefit) for income taxes

    (4,816 )   (2,883 )   (6,410 )   (8,343 )   1,692     (11,489 )

Depreciation and amortization

    98,793     71,933     69,751     96,612     91,739     87,047  
                           

EBITDA2

  $ 122,320   $ 89,994   $ 88,572   $ 120,899   $ 110,777   $ 103,490  

Adjusted for:

                                     

Management, board & strategic feesa

    3,246     2,036     5,840     7,309     2,432     1,266  

Loss on extinguishment of debt

    12,339     12,339                  

Reorganization costs

    3,456     3,456                  

Stock-based compensation expenseb

    4,207     3,225     3,294     4,276     7,333     1,330  

Purchase accounting adjustmentsc

    214     82     857     918     1,048     1,956  
                           

Adjusted EBITDA3

  $ 145,782   $ 111,132     98,563   $ 133,402   $ 121,590   $ 108,042  
                           

Pro forma effect of the recent acquisitionsd

    1,378                                
                                     

Pro forma Adjusted EBITDA

  $ 147,160                                
                                     

a
Represents the add back of non-operating expenses consisting of management fees to IPC, board of directors' fees and expenses and certain strategic expenses. Certain acquisition integration expenses have also been added back.

b
Represents the add back of non-cash stock-based compensation recognized in our historical consolidated financial statements.

c
Represents the add back of the non-cash impact of purchase accounting adjustments related to rent expense and cost of sales inventory and equipment related to the Transaction.

d
Represents the effect on pro forma Adjusted EBITDA resulting from recent acquisitions occurring in the last twelve months as if all the recent acquisitions had been consummated on October 1, 2011. See "Business—Growth Strategy—Acquisitions." We cannot assure you that we will be able to successfully integrate these acquisitions or that we will achieve this level of Adjusted EBITDA. See "Risk Factors—Risks Related to Our Business—Our growth strategy depends in part on our ability to successfully identify and manage our acquisitions and a failure to do so could impede our revenue growth, thereby weakening our industry position."
5
For the twelve months ended September 30, 2012, pro forma interest expense is adjusted for the August 7, 2012 issuance of $425 million aggregate principal amount of existing notes, the new notes offered hereby, the repurchase, redemption or repayment of the floating rate notes, the redemption of the $405.0 million aggregate principal amount of 8.50%/9.25% PIK Toggle Notes and the effect of the expiration of our interest rate swap assuming the swap had expired on October 1, 2011. See "Management's Discussion and Analysis of Financial Condition and Results of Operations—Liquidity and Capital Resources—Interest Rate Swap."

6
Pro forma Adjusted EBITDA for the twelve months ended September 30, 2012 is defined as Adjusted EBITDA adjusted for all the recent acquisitions as if they all had occurred on October 1, 2011. See "Business—Growth Strategy—Acquisitions."

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