Graymark Healthcare and Franklin County Memorial Hospital of Franklin, Nebraska Join Forces to Offer Comprehensive Care for Sleep Apnea to Area Residents

OKLAHOMA CITY, April 20, 2011 /PRNewswire/ -- Graymark Healthcare Inc. (NASDAQ: GRMH), the nation's second largest provider of diagnostic sleep services and an innovator in comprehensive care for obstructive sleep apnea (OSA), has partnered with Franklin County Memorial Hospital of Franklin, Nebraska to offer comprehensive sleep medicine services to the county's residents.

Offering the most comprehensive sleep care in the region, the new sleep facility at Franklin County Memorial Hospital will be able to accommodate more than two dozen patients per month starting in May.

Franklin County Memorial Hospital increases the total number of hospital agreements for Graymark to seven so far in 2011. The company appears well on track to exceed the 11 partnerships it established in 2010, including 6 in the fourth quarter. The growing number is the result of Graymark's successful nationwide campaign to deliver sleep medicine care in familiar, local surroundings, while ensuring the care meets national standards. In particular, the new relationship with Franklin County Memorial also demonstrates Graymark's commitment to deliver sleep medicine to rural communities that may not otherwise have practical access to comprehensive sleep care.

These hospital-based sleep medicine programs augment the company-owned, freestanding facilities, and represent Graymark's go-to-market strategy due to the relatively low start-up cost and more rapid deployment, as well as lower ongoing administrative time and expense. Graymark's OSA patients also benefit from the full and immediate resources of a well-established, professionally operated medical facility.

"Franklin County Memorial Hospital is excited to partner with Graymark in delivering important sleep care to our area residents who would otherwise have to travel to distant, unfamiliar facilities," said Linda Bush, Franklin County Memorial Hospital's CEO. "This represents another important way we are expanding the level and quality of our health care offerings to our local community, while providing mutually complementary capabilities and cost savings between our two organizations."

Graymark now operates a total of 98 sleep laboratories nationwide, comprised of 24 standalone or IDTF facilities in large communities and 74 hospital, provider or rural outreach sites. While the care environments may vary based on community need, Graymark ensures that the quality and comprehensiveness of the services provided remain consistently at the highest standard.

According to Stanton Nelson, chairman and CEO of Graymark Healthcare: "This new partnership reflects the continued momentum of market acceptance we've been enjoying for our comprehensive model of diagnosing and treating OSA. It brings us great pleasure to serve those in Franklin County who need and deserve state-of-the-art care to remedy sleep disorders. Graymark has established a scalable model that provides these services within the local and controlled environment of a hospital, while ensuring follow-up therapies and clinical support are readily available."

In addition to treating all sleep disorders including narcolepsy, insomnia, and restless leg syndrome, Graymark specializes in the treatment of sleep apnea, a sleep disorder characterized by abnormal pauses in breathing. Each pause or "apnea" can last from a few seconds to minutes, and can occur from five to more than 30 times per hour. OSA is the most common form of apnea and occurs when the soft tissue in the airway obstructs breathing. The proper diagnosis and treatment of OSA is critical due to the many significant associated health risks, including stroke and cardiac disease.

Graymark Healthcare's effective five step clinical approach to managing sleep disorders includes a convenient referral process, accurate and timely assessment, diagnosis, treatment and long-term follow-up to maximize patient compliance. All steps are managed by a board certified Sleep Medicine physician. To find out more or to locate a sleep center near you, visit www.graymarkhealthcare.com.

About Franklin County Memorial Hospital

Franklin County Memorial Hospital is a Certified Critical Access Hospital, the 13th in Nebraska. Recognized for its quality of care, the hospital is also the first designated basic trauma center in the Nebraska Trauma System Region 3. In 2008-2009, the hospital constructed a new $4.1 million outpatient services building to house physical therapy, occupational therapy, aqua therapy, cardiac rehabilitation, specialty clinics, a new laboratory and a CT scanner. The hospital also operates the FCMH Pool Medical Clinic, as well as satellite clinics in Campbell, Hildreth and Red Cloud. Beyond the family practice services offered by the clinic, counseling is offered by a qualified psychologist, dietary consultation by a medical nutritionist and wound care by a nursing wound specialist. The hospital has a 56-year history of providing quality medical care with personal and friendly service. For more information, visit www.fcmh.com or call toll free: 1-800-753-2479.

About Graymark Healthcare

Headquartered in Oklahoma City, Okla., Graymark Healthcare Inc. (NASDAQ:GRMH) is the nation's second largest provider of sleep management solutions. In addition to diagnosing and treating over 80 sleep disorders, the company specializes in comprehensive care for Obstructive Sleep Apnea (OSA). Graymark offers its services through 100 sleep laboratories throughout the United States, including standalone or IDTF facilities, rural outreach sites and hospital or provider agreements. For more information, visit www.graymarkhealthcare.com.

Important Cautions Regarding Forward Looking Statements

This press release may contain forward-looking statements that are based on the Company's current expectations, forecasts and assumptions. Forward-looking statements involve risks and uncertainties that could cause actual outcomes and results to differ materially from the Company's expectations, forecasts and assumptions. These risks and uncertainties include risks and uncertainties not in the control of the Company, including, without limitation, the current economic climate and other risks and uncertainties, including those enumerated and described in the Company's filings with the Securities and Exchange Commission, which filings are available on the SEC's website at www.sec.gov. Unless otherwise required by law, the Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Company Contact:
Graymark Healthcare Inc.
Stanton Nelson
Chairman and CEO
Tel 405-601-5300

Investor Relations:
Liolios Group, Inc.
Scott Liolios or Cody Slach
Tel 949-574-3860
[email protected]

SOURCE Graymark Healthcare Inc.