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Kindred Healthcare

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False Claims and Whistleblower Laws

Kindred Healthcare is committed to complying with the laws and regulations that govern its operations as a healthcare provider. Consistent with that commitment, we have developed and adopted a Code of Conduct designed to help prevent fraud, waste and abuse. We have also implemented a Compliance Program that is a comprehensive strategy to promote ethical and legal behavior in all aspects of the Company's business. Our Code of Conduct explains the legal and ethical standards that govern Kindred employees and contractors in business activities. The full text of the Code of Conduct may be obtained by accessing Kindred's intranet website, KNECT, Kindred's external website at www.kindredhealthcare.com, or by contacting Kindred's Compliance Department, at 800-545-0749.

In addition to Kindred's Code of Conduct, the federal government and some states have adopted laws that provide assistance in combating fraud, waste and abuse. Some of these laws contain "whistleblower" provisions that protect employees who report illegal conduct to appropriate authorities. These laws may also allow the employee to share in a percentage of any monetary recovery obtained by the government. A summary of these laws is provided below. Suspected illegal conduct should be reported to Kindred Management, Kindred's Compliance Department (800) 545-0749, or to the appropriate federal or state agency.

(These summaries are not intended as legal advice. Although the summaries are updated annually, they are intended for informational purposes only and no express or implied warranties are made regarding the timeliness or accuracy of the information.*)