1. Our Business Model

2. Points to Ponder What do our hospital partners expect from our hospitalist teams? How does Sound report to the hospital in order to demonstrate that these expectations are being met? What data and infrastructure does Sound provide you in order to meet these expectations?

3. Our Business Model Each program has a design range that allows for manageable encounters of 12 – 15 patients at 7 am Patients are at the center Manageable encounters allows you to deliver optimal care (to both the hospital and patients) while preserving the viability of “the business” Provides time for physicians to contribute to the service and quality within Sound Physicians and our Partner Hospitals Physician career sustainability is key to our long-term success This is our “value equation” - our hospital partners’ motivation to “invest” in the program

4. The Hospital Payment The hospital’s payment is essential: Supports our vision, mission and values Hospital pays for us all to deliver on performance improvement Hospital investment is 35-40% per hospitalist This investment creates a manageable day for you Patient Care Revenue Patient Care Revenue Management Fee ~65% ~35%

5. Sound Physicians Business Model Hospital’s expectations in exchange for their investment Physicians who care about the hospital’s well being Alignment with goals High-quality service Efficiency, outcomes Superior support Remember our Vision Be the unmatched leader in improving quality and reducing the cost of healthcare for patients in the communities we serve