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Exhibit 99.2

                      INTEGRATED HEALTHCARE HOLDINGS A STEP
                    CLOSER TO RESOLVING CORE FINANCING ISSUES

FOR IMMEDIATE RELEASE                 FOR MORE INFORMATION CONTACT:
                                      EDWARD GYIMAH   (714) 953-9503

January 20, 2010: Integrated Healthcare Holdings, Inc. (IHHI), which owns and
operates four acute care hospitals and ancillary health businesses in Orange
County, California, announced today that the court-appointed receiver overseeing
its principal lender, Medical Capital Corporation and its affiliates (MCC), has
signed an agreement with KPC Resolution Company, LLC ("KPC"), an affiliate of
IHHI's largest shareholder, Dr. Kali Chaudhuri, to sell all of MCC's outstanding
loans to KPC. Other potential buyers of the MCC debt will now have a chance to
submit competitive bids exceeding the value of the receiver's contract with Dr.
Chaudhuri through a process referred to as "overbidding". IHHI anticipates that
the receiver will entertain qualified overbids for roughly three months and any
final sale transaction must still be approved by U.S. District Court Judge David
Carter. Since MCC stopped advancing funds under its revolving credit arrangement
with IHHI almost seven months ago, IHHI has relied solely on
internally-generated earnings and collections from operations to fund the cash
needs of its four central Orange County hospitals.

Early last year IHHI retained CB Capital Partners of Newport Beach, California
as its financial advisor to help the company refinance its debt. Outside lenders
were performing due diligence reviews of the company when the U.S. Securities
and Exchange Commission (SEC) charged MCC and members of its management for
securities fraud this past July. The SEC charges led to Judge Carter's
appointment of a receiver over MCC's assets, including all of MCC's loans to
IHHI. According to Kenneth Westbrook, IHHI's President and Chief Executive
Officer, these lenders continue to express strong interest in working with the
company, especially in light of IHHI's improved financial performance.

Mr. Westbrook added, "We have accomplished a great deal in the past year by
turning the hospitals around financially and enhancing our service to the
community, especially in view of the severe problems the company has endured
with its principal lender. It is very satisfying to finally see some light at
the end of the tunnel."

Safe Harbor for Forward Looking Statements

This press release contains forward-looking statements, which are subject to
certain risks and uncertainties that could cause actual results to differ
materially from those expressed or implied in this release. Statements in this
press release which are not historical in nature are forward-looking statements.
Although we believe the expectations reflected in such forward-looking
statements are reasonable, we can give no assurance that such expectations will
prove to be correct. Actual results may differ materially from those
anticipated, estimated or projected in the forward-looking statements due to
risks and uncertainties, including those described in our Annual Report on Form
10-K under the caption "Risk Factors" and also the contingencies described above
in this press release. Readers are cautioned not to place undue reliance on
forward-looking statements, which speak only as of the date of this press
release. IHHI assumes no obligation to update any forward-looking statements to
reflect events or circumstances occurring after the date of this press release