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| 001-10315                | 63-0860407 |
| (Commission File Number) | (IRS Employer Identification No.) |
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| £ | Written communication pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
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| £ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
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| £ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
|   |   |
| £ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |

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| • | increased the non-employee directors’ annual restricted stock unit grant from a value of $100,000 to $115,000, which units are granted at the time annual equity awards are granted to our executives and which units will be settled in shares of our common stock six months following departure from our board; |

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| • | established the following performance objective metrics for the 2013 annual cash incentive plan and their respective weightings (by percentage of target opportunity value) - the target cash incentive opportunities remain unchanged from 2012: |

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| Named Executive Officer | Title | Adjusted EBITDA(1) | PEM Score(1) | Individual Objectives |
| Jay Grinney             | President and Chief Executive Officer | 56% | 24% | 20% |
| Douglas E. Coltharp     | Executive Vice President and Chief Financial Officer | 56% | 24% | 20% |
| John P. Whittington     | Executive Vice President, General Counsel and Secretary | 56% | 24% | 20% |
| Mark J. Tarr            | Executive Vice President and Chief Operating Officer | 56% | 24% | 20% |
| Dexanne B. Clohan       | Chief Medical Officer | 49% | 21% | 30% |

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| • | established the following target equity award opportunity and equity award types (by percentage of target opportunity value) for the 2013 awards under the long-term incentive plan: |

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|                         |  |  |  |  |  |  |  |
| Named Executive Officer | Title | Total Target Equity Award Opportunity | Options | Performance-based RestrictedStock | Time-based RestrictedStock |
| Jay Grinney             | President and Chief Executive Officer | $ | 4,999,998 |  | 20% | 60% | 20% |
| Douglas E. Coltharp     | Executive Vice President and Chief Financial Officer | $ | 787,515 |  | 20% | 60% | 20% |
| John P. Whittington     | Executive Vice President, General Counsel and Secretary | $ | 790,494 |  | 20% | 60% | 20% |
| Mark J. Tarr            | Executive Vice President and Chief Operating Officer | $ | 900,013 |  | 20% | 60% | 20% |
| Dexanne B. Clohan       | Chief Medical Officer | $ | 311,087 |  | — | 60% | 40% |

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| • | established that the performance-based restricted stock, or performance share units (“PSUs”), will be linked to the following 2-year performance metrics: earnings per share (50% of PSUs), return on invested capital (30% of PSUs), and relative total shareholder return (“TSR”) (20% of PSUs).(1) As in prior years, the shares earned at the end of the related performance period will, assuming continuing employment, fully vest one year thereafter. |

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| • | reinstituted the relative TSR component of the performance-based restricted stock, which will be measured using the healthcare provider peer group currently used for compensation benchmarking and structured as follows: |

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|                                    |  |  |
| Restricted Stock Achievement Level | 2-Year Relative Performance Against Peer Group | Payout Multiple (% of  Target) |
| Maximum                            | ≥80th Percentile | 200% |
| Target                             | 50th Percentile | 100% |
| Threshold                          | 30th Percentile | 50% |
| Not eligible                       | <30th Percentile | — |

|                                |
|--------------------------------|
|                                |  |  |
| Healthcare Provider Peer Group |
| Amedisys                       | Health Management Associates | Skilled Healthcare Group |
| Chemed Corporation             | Kindred Healthcare | Tenet Healthcare |
| Community Health Systems       | LifePoint Hospitals | Universal Healthcare Services |
| Gentiva Health Services        | Select Medical Holdings |   |

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| (1)   | There have been no material changes to the Adjusted EBITDA, earnings per share, and return on invested capital performance metrics or the calculations thereof as defined and described in the section captioned “Compensation Discussion and Analysis” in the Corporation's Definitive Proxy Statement on Schedule 14A filed on April 2, 2012. “PEM Score” means the company-wide program evaluation model, or PEM, score, an industry standard quality metric that evaluates the functional gains of patients achieved during their hospital stay and the discharge status of patients. PEM Scores from all of the Corporation’s hospitals are submitted to the Uniform Data System for Medical Rehabilitation  database. The PEM Score performance objective is a target percentage of the Corporation’s hospitals for which the reported PEM Scores meet their respective pre-determined PEM Score goals. “Total shareholder return” means the annualized rate of return reflecting (a) price appreciation of a share of common stock during the performance period based on the average closing price of that share for the sixty (60) trading days immediately prior to the performance period and the last sixty (60) trading days of the performance period and (b) any and all per share dividends distributed during the performance period. |

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| By:    | /S/   JOHN P. WHITTINGTON |
|   | Name: | John P. Whittington |
|   | Title: | Executive Vice President, General Counseland Corporate Secretary |