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|                     |                              |
|--------------------------|-----------------------------------|
| 001-10315                | 63-0860407                        |
| (Commission File Number) | (IRS Employer Identification No.) |
|                     |                              |

| o | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
|---|--------------------------------------------------------------------------------------------------------|

| o | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
|---|--------------------------------------------------------------------------------------------------------|

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|                                               |   | For the Year Ended December 31, |   |
|----------------------------------------------------|--------|---------------------------------|--------|
|                                               |   | 2010                            |   |   | 2009 |   |   | 2008 |   |   | 2007 |   |
|                                               |   | (In Millions)                   |   |
| Net cash provided by operating activities          |   | $                               | 331.0  |   |   | $ | 406.1 |   |   | $ | 227.2 |   |   | $ | 230.6 |   |
| Provision for doubtful accounts                    |   |                            | (18.5  | ) |   |   | (33.1 | ) |   |   | (27.0 | ) |   |   | (33.2 | ) |
| Professional fees—accounting, tax, and legal |   |                            | 17.2   |   |   |   | 8.8 |   |   |   | 44.4 |   |   |   | 51.6 |   |
| Interest expense and amortization                  |   |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| of debt discounts and fees                         |   |                            | 125.9  |   |   |   | 125.8 |   |   |   | 159.5 |   |   |   | 229.4 |   |
| UBS Settlement proceeds, gross                     |   |                            | -      |   |   |   | (100.0 | ) |   |   | - |   |   |   | - |   |
| Equity in net income of nonconsolidated            |   |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| affiliates                                         |   |                            | 10.1   |   |   |   | 4.6 |   |   |   | 10.6 |   |   |   | 10.3 |   |
| Net income in noncontrolling interests             |   |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| in continuing operations                           |   |                            | (40.8  | ) |   |   | (33.4 | ) |   |   | (29.8 | ) |   |   | (31.4 | ) |
| Amortization of debt discounts and fees            |   |                            | (6.3   | ) |   |   | (6.6 | ) |   |   | (6.5 | ) |   |   | (7.8 | ) |
| Distributions from nonconsolidated affiliates      |   |                            | (8.1   | ) |   |   | (8.6 | ) |   |   | (10.9 | ) |   |   | (5.3 | ) |
| Current portion of income tax expense (benefit)    |   |                            | 1.9    |   |   |   | (7.3 | ) |   |   | (73.8 | ) |   |   | (330.4 | ) |
| Change in assets and liabilities                   |   |                            | 5.4    |   |   |   | 0.8 |   |   |   | 53.1 |   |   |   | 8.0 |   |
| Change in government, class action,                |   |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| and related settlements liability                  |   |                            | 2.9    |   |   |   | 11.2 |   |   |   | 7.4 |   |   |   | 171.4 |   |
| Other operating cash used in (provided by)         |   |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| discontinued operations                            |   |                            | 4.7    |   |   |   | 13.5 |   |   |   | (11.4 | ) |   |   | 10.5 |   |
| Other                                              |   |                            | 2.0    |   |   |   | 1.2 |   |   |   | (1.6 | ) |   |   | 14.6 |   |
| Adjusted EBITDA                                    |   | $                               | 427.4  |   |   | $ | 383.0 |   |   | $ | 341.2 |   |   | $ | 318.3 |   |

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|                                          |   | For the Year Ended December 31, |   |
|-----------------------------------------------|--------|---------------------------------|--------|
|                                          |   | 2010                            |   |   | 2009 |   |   | 2008 |   |   | 2007 |   |
|                                          |   | (In Millions)                   |   |
| Net cash provided by operating activities     |   | $                               | 331.0  |   |   | $ | 406.1 |   |   | $ | 227.2 |   |   | $ | 230.6 |   |
| Impact of discontinued operations             |   |                            | 4.7    |   |   |   | 13.5 |   |   |   | (11.4 | ) |   |   | 10.5 |   |
| Net cash provided by operating activities     |   |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| of continuing operations                      |   |                            | 335.7  |   |   |   | 419.6 |   |   |   | 215.8 |   |   |   | 241.1 |   |
| Capital expenditures for maintenance          |   |                            | (39.5  | ) |   |   | (34.1 | ) |   |   | (42.6 | ) |   |   | (24.6 | ) |
| Net settlements on interest rate swaps        |   |                            | (44.7  | ) |   |   | (42.2 | ) |   |   | (20.7 | ) |   |   | 0.1 |   |
| Dividends paid on convertible perpetual       |   |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| preferred stock                               |   |                            | (26.0  | ) |   |   | (26.0 | ) |   |   | (26.0 | ) |   |   | (26.0 | ) |
| Distributions paid to noncontrolling interest |   |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| of consolidated affiliates                    |   |                            | (34.4  | ) |   |   | (32.7 | ) |   |   | (33.4 | ) |   |   | (23.1 | ) |
| Non-recurring items:                          |   |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| UBS Settlement proceeds, less fees to         |   |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| derivative plaintiffs' attorneys              |   |                            | -      |   |   |   | (73.8 | ) |   |   | - |   |   |   | - |   |
| Income tax refunds related to prior periods   |   |                            | (13.5  | ) |   |   | (63.7 | ) |   |   | (90.4 | ) |   |   | (457.8 | ) |
| Cash paid for professional fees - accounting, |   |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| tax, and legal                                |   |                            | 17.2   |   |   |   | 15.3 |   |   |   | 18.2 |   |   |   | 51.6 |   |
| Cash paid for government, class action, and   |   |                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| related settlements                           |   |                            | 2.9    |   |   |   | 11.2 |   |   |   | 7.4 |   |   |   | 171.4 |   |
| Adjusted free cash flow                       |   | $                               | 197.7  |   |   | $ | 173.6 |   |   | $ | 28.3 |   |   | $ | (67.3 | ) |

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|   | 99.1 | HealthSouth Corporation Investor Reference Book – Post Q4 2010 Earnings Release |
|--------|------|---------------------------------------------------------------------------------------|

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|   | HEALTHSOUTH Corporation |                                                                                                                |
|--------|-------------------------|---------------------------------------------------------------------------------------------------------------------|
|   |                    |                                                                                                                |   |
|   |                    |                                                                                                                |   |
| Date   | By:                     |     /s/JOHN P. WHITTINGTON                                                                      |   |
|   |                    | Name:      John P. Whittington                                                             |   |
|   |                    | Title:        Executive Vice President, General Counsel, and Corporate Secretary |   |
|   |                    |                                                                                       |   |