President's letter

Dear Friends and Colleagues,

We are pleased to bring to you this year’s annual report because we believe its message is a
remarkable one. Even in these challenging times, this report is evidence of Adventist Health’s
determination to meet the health care needs of our many and diverse communities. It speaks to how
we are working to transform the health care experience for patients and our communities through partnerships with physicians, payers, government organizations and others.

Health care reform, industry changes and market trends present enormous opportunities for
Adventist Health to reinvent our system for the benefit of our employees, patients, physicians and
those we serve. We are re-shaping Adventist Health into one of the most significant health care
systems on the West Coast.

Pivotal to this re-shaping is a comprehensive strategy designed to keep our organization competitive while growing and thriving in the future. We are focused on three broad strategic goals: care transformation, value-based performance and growth

in all of our business lines—ambulatory, acute, post-acute services, and soon a health plan. As you will read in this report, our initiatives have been carefully designed to ensure our organization achieves its goals while remaining strong and able to carry out its mission.
We are proud of Adventist Health’s rich heritage of preventive care and wellness education while
equally optimistic for the future. We are building upon the successes of the past while enabling
Adventist Health to be even more successful in the future.

Scott Reiner
President & CEO
(As of April 2014)

Robert G. Carmen
President & CEO
(Retired April 2014)

Ricardo B. Graham
Chairman of the Board

Strategy Statement

By the end of 2017, Adventist Health, through its engaged workforce, will transform the health experience, outcomes and status for our target populations. We will coordinate a fully integrated, value-based network of services with the ability to manage information and full-risk through owned or partnered health plans. Our presence in Western states—including rural markets—where we will have an advantageous competitive position enables us to double the number of people served resulting in $4 billion in revenue with a 4% operating margin. Our advantage will be our commitment to faith-based, whole person health embedded within the Seventh-day Adventist heritage.