KING OF PRUSSIA, Pa., Sept. 18 /PRNewswire/ -- Universal Health Services, Inc. (NYSE: UHS) completed the previously announced acquisition of the 77 bed Fort Duncan Medical Center in Eagle Pass, Texas. Fort Duncan Medical Center is a sole provider hospital located on the Rio Grande River in one of the five fastest growing counties in Texas. Purchase price for the hospital was $10 million and UHS expects to construct and open a replacement hospital within six years.

The Company also announced it expects to report earnings per share (diluted) in its fiscal third quarter ended September 30, 2000 of approximately double the $.34 earnings per share (diluted) the Company reported in the prior year third quarter. Contributing to the strong earnings expectations are a faster than expected recovery from operating problems experienced last year in two large markets, continuing growth in admissions to the Company's acute care hospitals and strong admissions and financial performance in the Company's behavioral health facilities, including the recently acquired facilities from Charter Behavioral, whose earnings were not affected by recent Medicare price reductions.

Universal Health Services, Inc. is the nation's third largest hospital company, operating 81 facilities in 23 states, Washington, D.C. and Puerto Rico. It acts as advisor to Universal Health Realty Income Trust, a real estate investment trust (NYSE: UHT).

Certain statements in this release may constitute forward-looking statements and are subject to various risks and uncertainties as discussed in the Company's filings with the Securities and Exchange Commission. The Company is not obligated to update these forward-looking statements even if the Company's assessment of these risks and uncertainties changes.

For additional information on the Company, visit its web site: http://www.uhsinc.com. SOURCE Universal Health Services, Inc.

CONTACT: Kirk E. Gorman, Chief Financial Officer of Universal Health Services, 610-768-3300/