Date: Thu, 18 Dec 1997 15:03:51 GMT Server: Apache/1.2.0 Connection: close Content-Type: text/html TRC - FOURTH QUARTER, 1996

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PRESS RELEASE

FOR FURTHER INFORMATION, PLEASE CONTACT:
AT THE COMPANY AT THE FINANCIAL RELATIONS BOARD
VICTOR M.G. CHALTIEL, CEO
OR JOHN E. KING, CFO
AT (310) 792-2600
DANIEL SAKS, GENERAL INFORMATION
MOIRA CONLON, INVESTOR CONTACT
STEVEN SEILER, MEDIA CONTACT
AT (310) 442-0599
KATHY BRUNSON, INVESTOR CONTACT
AT (312) 266-7800

TOTAL RENAL CARE REPORTS NET
REVENUES UP 105%,

NET EARNINGS (BEFORE EXTRAORDINARY ITEM) UP 119% FOR FOURTH QUARTER 1996

Earnings Per Share (Before Extraordinary Item) at 27 cents, Up 69% on 32% More Shares Outstanding

TRL ALSO REPORTS NET REVENUES UP 102% FOR YEAR ENDED DECEMBER 31, 1996,

NET EARNINGS (BEFORE EXTRAORDINARY ITEM) UP 174%

Earnings Per Share (Before Extraordinary Item) at 92 cents, Up 77% on 54% More Shares Outstanding

Year-End/Recent Highlights:

TORRANCE, Calif., February 13, 1997 -- Continuing to report strong quarterly financial results, Total Renal Care Holdings, Inc. (NYSE:TRL), the third-largest and fastest growing provider of dialysis services in the United States, today announced record revenues, earnings, and earnings per share for the fourth quarter and (before extraordinary item related only to the early extinguishement of all the Company's 12% senior subordinated discount notes repaid during the third quarter of 1996 and the fourth quarter of 1995) for the year ended December 31, 1996. All figures are restated to reflect a change in the Company's fiscal year-end in 1995 to December 31 from May 31.

Revenues increased 105% to $84.8 million in the fourth quarter of 1996 from $41.3 million in the corresponding period of 1995. Earnings increased 119% to $7.2 million from $3.3 million (before extraordinary item), and earnings per share increased 69% to $0.27 on 27.0 million weighted average shares outstanding, compared with earnings per share of $0.16 (before extraordinary item) on 20.5 million weighted average shares outstanding,

for the prior-year fourth quarter period.

"The success of our aggressive, yet disciplined growth strategy in fiscal 1996 has continued to result in an impressive financial track record and has further strengthened Total Renal Care's position as the fastest growing company in the expanding dialysis service business," said Victor M.G. Chaltiel, TRL Chairman, President and Chief Executive Officer. "Since October 1, 1996, we have added 14 centers, 233 dialysis stations and over 1,300 patients, for a current total of over 10,500 patients. In addition, we have signed letters of intent for 12 centers with more than 900 patients."

For the fiscal year ended December 31, 1996, revenues increased 102% to $272.9 million, from $134.8 million in the corresponding period of 1995. Earnings (before extraordinary item) increased 174% to $23.7 million from $8.7 million, and earnings per share (before extraordinary item) increased 77% to $0.92 on 25.8 million weighted average shares outstanding, compared with earnings per share of $0.52 on 16.8 million weighted average shares outstanding, for the prior-year period.

In the fourth quarter TRL committed $100 million of its $400 million credit facility to a fixed seven year term. The interest rate was fixed at 6.3% with an additional margin ranging between 0.45% and 1.25%, depending on the Company's leverage ratio. Currently the effective all-in interest rate is 7.1%.

"Clearly, we are very pleased with the consistent, exceptional performance of our Company throughout 1996," said Mr. Chaltiel.

Based in Torrance, Calif., Total Renal Care Holdings, Inc., is the third largest provider of integrated dialysis services in the U.S. for patients suffering from chronic kidney failure. The Company owns and operates high-quality, free-standing kidney dialysis centers and home peritoneal dialysis programs in 16 states, Washington, DC, and Guam, and also provides high-quality acute hemodialysis services to inpatients on behalf of 87 hospitals. Today, TRL has increased its number of outpatient dialysis facilities to 137 with 2,025 stations and provides services to more than 10,500 patients. The Company additionally operates ESRD laboratory and pharmacy facilities, as well as vascular access management and transplant services programs.

For information on Total Renal Care Holdings, Inc., via facsimile at no cost, call 1-800-PRO-INFO and dial company code 039.

Expansion Highlights
Year ended
Quarter ended
Year ended
Dec. 31, 1995
Mar. 31, 1996
June 30, 1996
Sept. 30, 1996
Dec. 31, 1996
Dec. 31, 1996
Treatments 603,484 217,451 274,256 315,580 361,736 1,169,023
Patients 5,400 7,400 8,100 9,200 10,200 10,200
Centers 68 106 112 123 134 134
Revenue per Treatment $223 $231 $235 $232 $234 $233

(Financial Tables to follow)