ORPEA

Earnings Release • Oct 22, 2008

PRESS RELEASE

Strong sales growth in Q3 2008: +28.8% to €181.1m

Acceleration of organic growth: +14.7%

2008 sales guidance raised further to €695m from €680m

Puteaux, 22nd October 2008

ORPEA, a leading player in Long-Term Care (nursing homes), Post-Acute Care and Psychiatric Care, today announced its sales for the 3rd quarter ended September 30th 2008. Thanks to an extremely strong visibility on sales and operating in a sector benefiting from solid fundamentals, ORPEA has raised its 2008 sales guidance further to €695m.

• Continuing robust momentum in Q3 2008

	Quarters			9 months
In €m IFRS	Q3 2008	Q3 2007	∆	2008	2007	∆
France	156.5	126.5	+23.7%	450.6	358.6	+25.7%
% of total sales	86.4%	90.0%		88.1%	91.4%
International	24.6	14.1	+74.2%	61.0	33.7	+81.0%
% of total sales	13.6%	10.0%		11.9%	8.6%
Belgium	11.0	3.8		24.0	7.1
Spain	7.0	6.4		19.9	17.2
Italy	4.5	2.6		11.2	5.0
Switzerland	2.0	1.4		5.9	4.4
Total sales	181.1	140.6	+28.8%	511.6	392.3	+30.4%
Organic growth			+14.7%			+12.8%

Yves Le Masne, Chief Operating Officer, commented: "The company's strong growth continued in Q3 with sales rising to nearly 30%, reflecting in particular an acceleration in organic growth, which reached nearly 15% over this period compared with 11% in H1 2008.

This robust organic growth is the result of:

• a continuing very high occupancy rate for mature facilities
• and the attractiveness of new facilities, particularly well situated, that are providing a fastgrowing contribution.

On the back of this solid organic growth, coupled with a continuing active policy of targeted acquisitions, ORPEA has raised its full-year sales guidance further to €695m from €680m."

Chairman and Chief Executive Officer Dr Jean-Claude Marian concluded: "Against the current outlook of general mistrust about economic and financial conditions, ORPEA is continuing to deliver robust results, beating its targets significantly in terms of both organic growth and acquisitions.

As well as the growing importance of long-term care provision, ORPEA's performance is also driven by a relevant medium and long-term strategy, based on nearly 20 years' experience.

This is thanks to the optimisation of its business model offering considerable advantages:

• motivated and loyal staff who undergo specific training and who place great emphasis on the quality of life projects and care provided to residents and patients,
• recent buildings with modern equipment in carefully selected, strategic locations.

In the light of the results achieved, current developments (growth potential of 7,648 beds under construction or restructuring), the continuing trust of financial organisations, regular progress in the process of the partial outsourcing of property assets, we confirm our strong conviction in the current and future performance of our company".

Next Press Release: Full-year 2008 sales: 28th January 2009 before market opening

About ORPEA (www.orpea.com): Listed on Euronext Paris since April 2002 and elected to the Deferred Settlement Service, the ORPEA group is a leading player in the Long-Term Care and Post-Acute Care sectors. As of 30th September 2008, the Group has a unique European network of healthcare facilities, with 23,656 beds (19,147 of them operational) across 251 sites, including:

• 18,595 beds in France: 15,081 operational (including 2,504 being renovated) + 3,514 under construction, spread across 204 sites.

• 5,061 beds in Europe (Spain, Belgium, Italy and Switzerland): 4,066 operational (including 635 being renovated) + 995 under construction, spread across 47 sites.

Listed on Euronext Paris Compartment A of NYSE Euronext - ISIN: FR0000184798 Member of the SBF 120 index and SRD Reuters: ORP.PA - Bloomberg: ORP FP

Investor Relations

NewCap. ORPEA Emmanuel Huynh/Steve Grobet Yves Le Masne Tel: +33 (0)1 44 71 94 94 COO orpea@newcap.fr Tel: +33 (0)1 47 75 78 07