The bull-case for CYH remains grounded in the potential takeout of THC and the significant EPS power generated from the deal ($4.50+ EPS). We think as long as the market continues to view this deal with a high probability of success, our view is that CYH shares can likely move easily toward $45 (10x newco EPS).

The lawsuit names former Florida Gov. Jeb Bush as the lead defendant along with nine other Tenet board members. The suit, filed by a union pension fund, claims Bush and Tenet's other board members fought off a merger offer from Community Health Services by changing company bylaws. The suit claims the board members adopted a poison pill takeover defense under the pretext of protecting an alleged "tax asset" — an operating loss — to entrench themselves in their positions at shareholders' expense.

Dolliver: We look at Tenet, just to pick a name that’s focused on quality… Laughter, rumbling from the crowd Dolliver: Tenet had, they promoted Centers of Excellence and did all these quality things with payers... Smith (interrupting): They did? Dolliver: But they’ll tell you… Smith (interrupting): Did it help their stock price any?

We believe that Community Health has nominated its slate of director candidates only to advance its goal of acquiring Tenet at an inadequate price. We are confident that the continued execution of our strategic plan will deliver significantly more value to our stockholders than Community Health’s inadequate proposal. Under the Board’s leadership, Tenet has delivered strong growth for more than five years, including solid performance in fiscal year 2010. Tenet continues to expect significant growth from a combination of acute care revenues, our expanding outpatient business, offering healthcare services to other hospitals, improved cost efficiencies, expanded margins and strategic investments. We look forward to building on our momentum in the year ahead. We firmly believe that Tenet’s stockholders – not Community Health – deserve to benefit from this growth. Tenet’s Board and management team will continue to act in the best interests of all its stockholders, and remain focused on executing our core business plan and capitalizing on Tenet’s leading position in healthcare services.