Statement of Ownership

Until recently, psychiatric practices have mostly escaped attention from private equity and
other investment groups; however, over the past 7-8 years, the floodgates have opened, and
behavioral health practices are being purchased in increasing numbers by non-clinical investors.

While private equity investors promise improved efficiencies for clinicians and patients, it’s
irrefutable that they are buying multiple practices with a priority of financial gain, as opposed
to meaningful improvements the health of patients they serve. Typically, after an investor
purchase of a private practice, the quality of care declines along with both provider and patient

Gladstone believes this trend is very damaging to overall healthcare. And in particular, if the focus of a
psychiatric practice is profit, much of what is helpful and healing vanishes. Appointment times
shrink, providers are rushed and dispirited, and every interaction becomes transactional.

Gladstone feels so strongly about the dangers of outside investment that we’re committed to keeping
Gladstone out of the hands of private equity and other Wall Street-type investors. Instead,
Gladstone will remain a practice owned and operated by clinicians dedicated to improving their
communities. Our providers are free to deliver the best treatment they can, and our patients
benefit from an environment where their wellbeing is the primary focus.