Exhibit 10.1

THE BANK OF NOVA SCOTIA 
Wholesale Banking OperationsDerivative Products44 King Street WestCentral Mail Room
Toronto, Ontario,M5H 1H1

April 22, 2005

|To:Attention:Facsimile No: |  | APRIA HEALTHCARE GROUP INC.ALICIA PRICE -
VICE PRESIDENT & CONTROLLER819496396040
|-------------------------- |  | ---------------------------------------------------------------------------------

Dear Sirs:

Re:  Interest Rate Swap Transaction - Reference ID:
S51621

The
purpose of this letter agreement (this Confirmation) is to confirm the terms
and conditions of the Transaction entered into between us on the Trade Date specified
below.

The
definitions and provisions contained in the 2000 ISDA Definitions (as published by
the International Swaps and Derivatives Association, Inc.) are incorporated into this
Confirmation. In the event of any inconsistency between those definitions and provisions
and this Confirmation, this Confirmation will govern.

|1. |  | This Confirmation agreement constitutes a Confirmation as referred
               to in and supplements, forms part of and is subject to, the ISDA Master
               Agreement dated as of December 03, 2002, as amended and supplemented
               from time to time (the Agreement), between THE BANK OF NOVA
               SCOTIA and APRIA HEALTHCARE GROUP INC. All provisions contained in
               the Agreement govern this Confirmation except as expressly modified below.
|-- |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

|2. |  | The terms of the particular Swap Transaction to which this Confirmation relates
               are as follows:
|-- |  | --------------------------------------------------------------------------------------------------------------

| | Trade Date:                                       | April 22, 2005                                                                                                                                                                                                                                                                   
| | ------------------------------------------------- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |                                                   |                                                                                                                                                                                                                                                                                  
| | Notional Amount:                                  | USD 25,000,000.00                                                                                                                                                                                                                                                                
| |                                                   |                                                                                                                                                                                                                                                                                  
| | Effective Date:                                   | January 03, 2006                                                                                                                                                                                                                                                                 
| |                                                   |                                                                                                                                                                                                                                                                                  
| | Termination Date:                                 | January 02, 2009                                                                                                                                                                                                                                                                 
| |                                                   |                                                                                                                                                                                                                                                                                  
| | Fixed Amounts:                                    |                                                                                                                                                                                                                                                                                  
| |                                                   |                                                                                                                                                                                                                                                                                  
| | Fixed Rate
Payer:                                 | APRIA HEALTHCARE GROUP INC.                                                                                                                                                                                                                                                      
| |                                                   |                                                                                                                                                                                                                                                                                  
| | Fixed Rate
PayerPayment Dates:                    | The 1st of each January,  April, July and October  commencing
                  on April 03,  2006 to and  including  the  Termination  Date,
                  subject  to  adjustment  in  accordance   with  the  Modified
                  Following Business Day Convention
| |                                                   |                                                                                                                                                                                                                                                                                  
| | Fixed Rate
PeriodEnd Dates:                       | The 1st of each January,  April, July and October  commencing
                  on April 03,  2006 to and  including  the  Termination  Date                                                                                                                                     
| |                                                   |                                                                                                                                                                                                                                                                                  
| | Fixed Rate:                                       | 4.44%                                                                                                                                                                                                                                                                            
| |                                                   |                                                                                                                                                                                                                                                                                  
| | Fixed Rate
Day CountFraction:                     | Actual/360                                                                                                                                                                                                                                                                       
| |                                                   |                                                                                                                                                                                                                                                                                  
| | Business
Days forFixed Rate Payments:             | London, New York                                                                                                                                                                                                                                                                 
| |                                                   |                                                                                                                                                                                                                                                                                  
| | Business
Day Convention:                          | Modified Following Business Day Convention                                                                                                                                                                                                                                       
| |                                                   |                                                                                                                                                                                                                                                                                  
| | Floating
Amounts:                                 |                                                                                                                                                                                                                                                                                  
| |                                                   |                                                                                                                                                                                                                                                                                  
| | Floating Rate
Payer:                              | THE BANK OF NOVIA SCOTIA                                                                                                                                                                                                                                                         
| |                                                   |                                                                                                                                                                                                                                                                                  
| | Floating Rate
PayerPayment Dates:                 | The 1st of each January,  April, July and October  commencing
                  on April 03,  2006 to and  including  the  Termination  Date,
                  subject  to  adjustment  in  accordance   with  the  Modified
                  Following Business Day Convention
| |                                                   |                                                                                                                                                                                                                                                                                  
| | Floating
Rate PeriodEnd Dates:                    | The 1st of each January,  April, July and October  commencing
                  on April 03,  2006 to and  including  the  Termination  Date                                                                                                                                     
| |                                                   |                                                                                                                                                                                                                                                                                  
| | Floating
Rate for the Initial Calculation Period: | To be determined                                                                                                                                                                                                                                                                 
| |                                                   |                                                                                                                                                                                                                                                                                  
| | Floating
Rate Option:                             | USD-LIBOR-BBA                                                                                                                                                                                                                                                                    
| |                                                   |                                                                                                                                                                                                                                                                                  
| | Designated
Maturity:                              | 3-month                                                                                                                                                                                                                                                                          
| |                                                   |                                                                                                                                                                                                                                                                                  
| | Spread:                                           | Not applicable                                                                                                                                                                                                                                                                   
| |                                                   |                                                                                                                                                                                                                                                                                  
| | Floating
Rate Day CountFraction:                  | Actual/360                                                                                                                                                                                                                                                                       
| |                                                   |                                                                                                                                                                                                                                                                                  
| | Reset Dates:                                      | The first date of the relevant Calculation Period                                                                                                                                                                                                                                
| |                                                   |                                                                                                                                                                                                                                                                                  
| | Method
of Averaging                               | Inapplicable                                                                                                                                                                                                                                                                     
| |                                                   |                                                                                                                                                                                                                                                                                  
| | Compounding:                                      | Inapplicable                                                                                                                                                                                                                                                                     
| |                                                   |                                                                                                                                                                                                                                                                                  
| | Compounding
Dates:                                | Inapplicable                                                                                                                                                                                                                                                                     
| |                                                   |                                                                                                                                                                                                                                                                                  
| | Business
Days for Floating Rate Payments:         | London, New York                                                                                                                                                                                                                                                                 
| |                                                   |                                                                                                                                                                                                                                                                                  
| | Business
Day Convention:                          | Modified Following Business Day Convention                                                                                                                                                                                                                                       
| |                                                   |                                                                                                                                                                                                                                                                                  
| | Calculation
Agent:                                | The Bank of Nova Scotia                                                                                                                                                                                                                                                          
| |                                                   |                                                                                                                                                                                                                                                                                  

|3. |  | Relationship between parties:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             
|-- |  | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|   |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|   |  | Each party will be deemed to represent to the other on the other on the day on which
it enters into a Transaction that (absent a written agreement between the parties that expressly
imposes affirmative obligations to the contrary for this Transaction):                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
|   |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|   |  | (a) Non-Reliance. It is acting for its own account, and it has made its own
                    independent decisions to enter into that Transaction and as to whether that
                    Transaction is appropriate or proper for it based upon its own judgment and upon
                    advice from such advisors as it has deemed necessary. It is not relying on any
                    communication (written or oral) of the other party as investment advice being
                    understood that information and explanations related to the terms and conditions
                    of a Transaction shall not be considered investment advice or a recommendation
                    to enter into that Transaction. No communication (written or oral) received from
                    the other party shall be deemed to be an assurance or guarantee as to the
                    expected results of that Transaction.
|   |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|   |  | (b) Assessment and Understanding. It is capable of assessing the merits of and
                    understanding (on its own behalf or through independent professional advice),
                    and understands and accepts, the terms, conditions and risks of that
                    Transaction. It is also capable of assuming and assumes, the risk of that
                    Transaction.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  
|   |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|   |  | (c) Status of Parties. The other party is not acting as a fiduciary for or as an
                    advisor to it in respect of that Transaction.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        
|   |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
|   |  | (d)   No Commitment to Unwind. Neither party has committed to unwind that
                    Transaction.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|   |  |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           

|4. |  | Offices:
|-- |  | --------
|   |  |         

| | (a) (b) | For purposes of this Transaction, the Office of THE BANK OF NOVA SCOTIA is Toronto,
Ontario.For purposes of this Transaction, the Office of APRIA HEALTHCARE GROUP INC.
is Lake Forest, California.
| | ------- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |         |                                                                                                                                                                                                    

|5. |  | Account Details: Payments to THE BANK OF NOVA SCOTIA:
|-- |  | -----------------------------------------------------
|   |  |                                                      

| |  | Accounts for Payment in USD | BANK OF NOVA SCOTIANEW YORKUNITED STATESA/C:#602736
                Swift Code: NOSCUS33//FW026002532Favour: BANK OF NOVA SCOTIA, TORONTO
                ATTN: DERIVATIVE PRODUCTS
| |  | --------------------------- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |  |                            

| |  | Payments to APRIA HEALTHCARE GROUP INC.:
| |  | ----------------------------------------
| |  |                                         

| |  | Accounts for Payment in USD | BANK OF AMERICA N.A.CONCORDUNITED STATESA/C:#12579-55100
                //FW121000358Favour: APRIA HEALTHCARE INC.
| |  | --------------------------- | -------------------------------------------------------------------------------------------------------------------
| |  |                            

|6. |  | The parties hereto agree that this Confirmation, whether received in original or
               facsimile form, may be executed in counterparts, which execution may be effected
               by means of facsimile transmission. Where execution is effected by means of
               facsimile transmission, the parties agree that the senders signature as
               printed by the recipients facsimile machine shall be deemed to be the
               senders original signature. 

               Please confirm that the foregoing correctly sets forth the terms of our agreement
               by executing a copy of this Confirmation and returning it to us by facsimile, Attention:
               WBO Derivative Product Confirmations, Telephone: (416) 866-5415/3622, Facsimile: (416) 933-2291.
|-- |  | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

| |  | Yours sincerely,THE BANK OF NOVA SCOTIA Allison Gloudon
| |  | -------------------------------------------------------

---

|                                                                                                                                                       |  | Authorized Signature Gina Singh S1117
|------------------------------------------------------------------------------------------------------------------------------------------------------ |  | -------------------------------------
|Confirmed as of the date first written
APRIA HEALTHCARE GROUP INC.By:

       Name: Amin Khalifa     
 Title: CFO/EVP

By:

       Name:      
 Title: |  |