News Release

FOR IMMEDIATE RELEASE

HFM MEMBERSHIP ANALYSIS FORECASTS LANDMARK
INNOVATIONS IN HEALTHCARE FOODSERVICE

(New York, NY) April 15, 2008 – Dining facility renovations are just one of the trends leading the way for enhanced customer service in the healthcare foodservice industry.

According to a recent membership survey conducted by The National Society for Healthcare Foodservice Management (HFM), more and more hospitals today are implementing innovative programs focusing on raising the bar for customer service in healthcare.

Two hundred and seventy one HFM healthcare food and nutrition professionals from across North America participated in the HFM survey which inquired about their patient meal service, retail restaurants, cafés, kiosks, practices, operations and construction plans.

"HFM members continue to pave the way as the leaders of the healthcare foodservice industry," said HFM president, Mary Angela Miller, administrative director for Ohio State University Medical Center in Columbus, OH. "Expect to see more modern facilities with a variety of services and options, focusing on making the customer happy."

The survey, completed earlier this month, was designed to highlight new trends, record demographics and track changes in the healthcare foodservice industry.

Construction
More than half of HFM members who are planning major construction or remodeling projects at their facilities said they expected to break ground within two years. Nearly 40 percent of respondents who have budgeted for these capital improvement projects said they would spend in excess of $800,000.

Patient Foodservice
Room service is part of an overarching trend in the healthcare foodservice industry. According to survey respondents, 37 percent of operators offer a room service model at their facility, and 25 percent of those who do, implemented it within the past year.

Transitioning to room service has proven to be a worthwhile investment, especially in the area of patient care and customer satisfaction. Since converting to a room service model, 74 percent of members surveyed stated that their patient satisfaction scores had increased and 81 percent reported they had gone up by more than 10 percent.

Retail Venues
Operators are putting greater emphasis on innovative ways to keep their staff and visitors happy as well. A retail cashless system, which allows customers to pay for their hospital cafeteria meals conveniently with the scan of a prepaid card, key or an online service, is used at more than half of the members' facilities.

Demographics
Almost two-thirds of HFM healthcare foodservice operators surveyed are female. Directors make up 61 percent of the operators, followed by managers at 18 percent and administrative directors at 11 percent. More than 30 percent of operators have been at their current job for more than 16 years. Nearly 40 percent manage multiple sites and nearly 20 percent manage multiple departments. Salary wise, more than 40 percent are making between $80,001 and $100,000 annually.

Healthcare Supplier Industry
More than 60 HFM associate members, who are suppliers and distributors to the healthcare foodservice industry, were also surveyed. The scope of services which HFM associate members provide operators include food, equipment, distribution, consulting and technology. For more than half of those surveyed, healthcare makes up at least 30 percent of their sales.

Approximately 62 percent of associate members surveyed have been in the healthcare industry for more than 16 years. Also, more than 30 percent said that they have been at their current company for more than 16 years. About 41 percent of associates said they had previously worked as a healthcare foodservice operator.

HFM associate member and Industry Advisory Council chair, Marie Nelson, is a registered dietitian and worked as a healthcare foodservice operator for 15 years, she is now director of customer marketing at Schwan's Food Service Inc. in Marshall, MN. "The HFM membership survey provides a wealth of information and data to the food industry about the healthcare segment." said Nelson, "The results of this survey will be used by HFM associate members to develop products and services for the healthcare foodservice industry."

About HFM:
The National Society for Healthcare Foodservice Management (HFM) represents more than 2,000 on-staff foodservice professionals at acute, extended and long-term care facilities and suppliers in the United States and Canada. Founded in 1988, HFM is the healthcare foodservice industry's leading resource for educational programming, professional development, advocacy and innovative business practices that increase patient and staff satisfaction, decrease costs, and define successful operation performance. HFM also provides a venue for operators and suppliers to build powerful partnerships that can compete successfully in today's fast-changing healthcare environment.

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