Exhibit 99.1

FOR IMMEDIATE RELEASE		4714 Gettysburg Road Mechanicsburg, PA 17055 NYSE Symbol: SEM

Select Medical Holdings Corporation Announces
Results for Third Quarter Ended September 30, 2011

MECHANICSBURG, PENNSYLVANIA — November 3, 2011 — Select Medical Holdings Corporation (“Select Medical”) (NYSE: SEM), today announced results for its third quarter ended September 30, 2011.

For the third quarter ended September 30, 2011, net operating revenues increased 18.0% to $694.1 million compared to $588.3 million for the same quarter, prior year. Income from operations increased 62.3% to $68.1 million compared to $42.0 million for the same quarter, prior year. Net income attributable to Select Medical increased to $25.6 million compared to $8.0 million for the same quarter, prior year. Net income before interest, income taxes, depreciation and amortization, stock compensation expense, other income, loss on early retirement of debt and equity in earnings (losses) of unconsolidated subsidiaries (“Adjusted EBITDA”) for the third quarter increased 45.6% to $86.5 million compared to $59.4 million for the same quarter, prior year. A reconciliation of net income to Adjusted EBITDA is contained in table VII of this release. Income per common share for the third quarter ended September 30, 2011 was $0.17 on a fully diluted basis compared to income per common share of $0.05 for the quarter ended September 30, 2010.

For the nine months ended September 30, 2011, net operating revenues increased 19.0% to $2,086.1 million compared to $1,752.9 million for the same period, prior year. Income from operations increased 26.5% to $236.7 million compared to $187.2 million for the same period, prior year. Net income attributable to Select Medical increased 25.2% to $71.0 million compared to $56.7 million for the same period, prior year. Net income attributable to Select Medical for the nine months ended September 30, 2011 includes a loss on early retirement of debt, net of tax, of $19.2 million associated with the June 1, 2011 refinancing of a portion of its indebtedness. Additionally, Adjusted EBITDA for the nine months ended September 30, 2011 increased 21.8% to $292.2 million compared to $239.9 million for the same period, prior year. A reconciliation of net income to Adjusted EBITDA is contained in table VII of this release. Income per common share for the nine months ended September 30, 2011 was $0.46 on a fully diluted basis compared to income per common share of $0.35 for the nine months ended September 30, 2010. Excluding the loss related to the early retirement of debt and its tax effect, net income available to common stockholders on an adjusted basis (“Adjusted Net Income Per Share”) was $0.59 per diluted share for the nine months ended September 30, 2011. A reconciliation of net income per share to Adjusted Net Income Per Share is contained in table VIII of this release.

Specialty Hospitals

Certain specialty hospital key statistics are contained on tables V and VI of this release. For the third quarter of 2011, net operating revenues for all of Select Medical’s hospitals increased 24.1% to $521.1 million compared to $419.8 million for the same quarter, prior year. The hospitals acquired in the Regency acquisition on September 1, 2010 contributed $84.1 million of net operating revenue, or $61.3 million of this increase. Adjusted EBITDA for the specialty hospital segment increased 40.0% to $81.6 million compared to $58.3 million for the same quarter, prior year. The hospitals acquired in the Regency acquisition contributed $12.7 million of this increase. The Adjusted EBITDA margin for the segment was 15.7% for the third quarter of 2011, compared to 13.9% for the same quarter, prior year. Excluding the effect of the Regency hospitals, the Adjusted EBITDA margin would have been 16.0% for the third quarter of 2011, compared to 14.9% for the same quarter, prior year.

For the nine months ended September 30, 2011, net operating revenues for all of Select Medical’s hospitals increased 26.5% to $1,561.3 million compared to $1,234.6 million for the same period, prior year. The hospitals acquired in the Regency acquisition contributed $255.0 million of net operating revenue, or $232.2 million of this increase. Adjusted EBITDA for the segment for the nine months ended September 30, 2011 increased 27.3% to $273.0 million compared to $214.5 million for the same period, prior year. The hospitals acquired in the Regency acquisition contributed $35.9 million of this increase. The Adjusted EBITDA margin for the segment for the nine months ended September 30, 2011 was 17.5%, compared to 17.4% for the same period, prior year. Excluding the effect of the Regency hospitals, the Adjusted EBITDA margin would have been 18.2% for the nine months ended September 30, 2011, compared to 17.8% for the same period, prior year.

Outpatient Rehabilitation

Certain outpatient rehabilitation key statistics are contained in tables V and VI of this release. For the third quarter of 2011, net operating revenues for the outpatient rehabilitation segment increased 2.7% to $173.0 million compared to $168.4 million for the same quarter, prior year. Adjusted EBITDA for the segment for the third quarter decreased 4.4% to $19.4 million compared to $20.3 million for the same quarter, prior year. The Adjusted EBITDA margin for the segment was 11.2% for the third quarter of 2011, compared to 12.1% for the same quarter, prior year.

For the nine months ended September 30, 2011, net operating revenues for the outpatient rehabilitation segment increased 1.2% to $524.7 million compared to $518.3 million for the same period, prior year. Adjusted EBITDA for the nine months ended September 30, 2011 decreased 2.3% to $65.3 million compared to $66.8 million for the same period, prior year. The Adjusted EBITDA margin for the nine months ended September 30, 2011 was 12.4% compared to 12.9% in the same period, prior year.

Stock Repurchase Program

On August 3, 2011, the board of directors of Select Medical authorized an increase of $50.0 million in the capacity of its common stock repurchase program from $100.0 million to $150.0 million. The program will now remain in effect until March 31, 2013, unless extended by the board of directors. Stock repurchases under this program may be made in the open market or through privately negotiated transactions, and at times and in such amounts as Select Medical deems appropriate. The timing of purchases of stock will be based upon market conditions and other factors. Select Medical is funding this program with cash on hand or borrowings under its revolving credit facility. Select Medical repurchased 4,239,972 shares at a cost of $28.4 million and 4,649,747 shares at a cost of $31.6 million, which includes transaction costs, during the quarter and nine months ended September 30, 2011, respectively. Since the inception of the program through September 30, 2011, Select Medical has repurchased 11,555,447 shares at a cost of $75.8 million, which includes transaction costs.

Business Outlook

Select Medical is increasing its prior business outlook for calendar year 2011. Select Medical now expects net revenue for the full year 2011 to be in the range of $2.76 billion to $2.80 billion and Adjusted EBITDA for the full year to be in the range of $375 million to $390 million. Select Medical expects fully diluted income per common share to be in the range of $0.62 to $0.68. Adjusted Net Income Per Share is now expected to be in the range of $0.75 to $0.81.

Conference Call

Select Medical will host a conference call regarding its third quarter results and its business outlook on Friday, November 4, 2011, at 9:00 am EDT. The domestic dial in number for the call is

1-800-706-7745. The international dial in number is 1-617-614-3472. The pass code for the call is 57051359. The conference call will be webcast simultaneously and can be accessed at Select Medical Holdings Corporation’s website http://www.selectmedicalholdings.com/.

For those unable to participate in the conference call, a replay will be available until 11:59pm EST, November 11, 2011. The replay number is 1-888-286-8010 (domestic) or 1-617-801-6888 (international). The passcode for the replay will be 42934406. The replay can also be accessed at Select Medical Holdings Corporation’s website, http://www.selectmedicalholdings.com.

* * * * *

Select Medical is a leading operator of specialty hospitals and outpatient rehabilitation clinics in the United States. As of September 30, 2011, Select Medical operated 110 long term acute care hospitals and nine acute medical rehabilitation hospitals in 28 states, and 952 outpatient rehabilitation clinics in 34 states and the District of Columbia. Select Medical also provides medical rehabilitation services on a contract basis at nursing homes, hospitals, assisted living and senior care centers, schools and worksites. Information about Select Medical is available at http://www.selectmedical.com/

Certain statements contained herein that are not descriptions of historical facts are “forward-looking” statements (as such term is defined in the Private Securities Litigation Reform Act of 1995). Because such statements include risks and uncertainties, actual results may differ materially from those expressed or implied by such forward-looking statements due to factors including the following:

•

additional changes in government reimbursement for our services, including changes that will result from the expiration of the moratorium for long term acute care hospitals established by the Medicare, Medicaid and SCHIP Extension Act of 2007, the American Recovery and Reinvestment Act, and the Patient Protection and Affordable Care Act may result in a reduction in net operating revenues, an increase in costs and a reduction in profitability;

•

the failure of our specialty hospitals to maintain their Medicare certifications may cause our net operating revenues and profitability to decline;

•

the failure of our facilities operated as “hospitals within hospitals” to qualify as hospitals separate from their host hospitals may cause our net operating revenues and profitability to decline;

•

a government investigation or assertion that we have violated applicable regulations may result in sanctions or reputational harm and increased costs;

•

acquisitions or joint ventures may prove difficult or unsuccessful, use significant resources or expose us to unforeseen liabilities;

•

private third-party payors for our services may undertake future cost containment initiatives that limit our future net operating revenues and profitability;

•

the failure to maintain established relationships with the physicians in the areas we serve could reduce our net operating revenues and profitability;

•

shortages in qualified nurses or therapists could increase our operating costs significantly;

•

competition may limit our ability to grow and result in a decrease in our net operating revenues and profitability;

•

the loss of key members of our management team could significantly disrupt our operations;

•

the effect of claims asserted against us could subject us to substantial uninsured liabilities and in the future we may not be able to obtain insurance at a reasonable price;

•

other factors discussed from time to time in our filings with the Securities and Exchange Commission, including factors under the heading “Risk Factors” in our annual report on Form 10-K.

Investor inquiries:

Joel Veit, 717/972-1100

I. Condensed Consolidated Statements of Operations
For the Three Months Ended September 30, 2010 and 2011
(In thousands, except per share amounts, unaudited)

		2010				2011				%Change
Net operating revenues		$	588,250			$	694,131				18.0	%
Costs and expenses:
Cost of services			498,739				581,829				16.7	%
General and administrative			19,228				14,975				(22.1	)%
Bad debt expense			11,317				11,709				3.5	%
Depreciation and amortization			17,012				17,545				3.1	%
Income from operations			41,954				68,073				62.3	%
Equity in earnings (losses) of unconsolidated subsidiaries			(186	)			1,653				N/M
Other income			148				—				N/M
Interest income			—				119				N/M
Interest expense			(27,677	)			(24,134	)			(12.8	)%
Income before income taxes			14,239				45,711				221.0	%
Income tax expense			5,574				19,330				246.8	%
Net income			8,665				26,381				204.5	%
Less: Net income attributable to non-controlling interests			656				785				19.7	%
Net income attributable to Select Medical Holdings Corporation		$	8,009			$	25,596				219.6	%
Income per common share:
Basic		$	0.05			$	0.17
Diluted		$	0.05			$	0.17
Weighted average shares outstanding:
Basic			159,717				151,470
Diluted			159,955				151,676

N/M = Not Meaningful

II. Condensed Consolidated Statements of Operations
For the Nine Months Ended September 30, 2010 and 2011
(In thousands, except per share amounts, unaudited)

		2010				2011				%Change
Net operating revenues		$	1,752,940			$	2,086,066				19.0	%
Costs and expenses:
Cost of services			1,441,160				1,708,911				18.6	%
General and administrative			41,819				47,656				14.0	%
Bad debt expense			31,449				40,002				27.2	%
Depreciation and amortization			51,333				52,766				2.8	%
Income from operations			187,179				236,731				26.5	%
Loss on early retirement of debt			—				(31,018	)			N/M
Equity in earnings (losses) of unconsolidated subsidiaries			(186	)			1,329				N/M
Other income			464				—				N/M
Interest income			—				286				N/M
Interest expense			(86,998	)			(75,094	)			(13.7	)%
Income before income taxes			100,459				132,234				31.6	%
Income tax expense			39,989				56,809				42.1	%
Net income			60,470				75,425				24.7	%
Less: Net income attributable to non- controlling interests			3,773				4,438				17.6	%
Net income attributable to Select Medical Holdings Corporation		$	56,697			$	70,987				25.2	%
Income per common share:
Basic		$	0.35			$	0.46
Diluted		$	0.35			$	0.46
Weighted average shares outstanding:
Basic			159,698				152,299
Diluted			159,964				152,522

N/M = Not Meaningful

III. Condensed Consolidated Balance Sheets
(In thousands, unaudited)

		December 31,				September 30,
		2010				2011
Assets
Cash		$	4,365			$	10,213
Accounts receivable, net			353,432				394,989
Current deferred tax asset			30,654				19,834
Prepaid income taxes			12,699				10,340
Other current assets			28,176				28,106
Total Current Assets			429,326				463,482
Property and equipment, net			532,100				505,894
Goodwill			1,631,252				1,627,509
Other identifiable intangibles			80,119				72,448
Assets held for sale			11,342				11,342
Other assets			37,947				70,435
Total Assets		$	2,722,086			$	2,751,110
Liabilities and equity
Payables and accruals		$	350,179			$	343,220
Current portion of long-term debt			149,379				10,268
Total Current Liabilities			499,558				353,488
Long-term debt, net of current portion			1,281,390				1,397,418
Non-current deferred tax liability			59,074				68,399
Other non-current liabilities			66,650				73,219
Total equity			815,414				858,586
Total Liabilities and Equity		$	2,722,086			$	2,751,110

IV. Condensed Consolidated Statement of Cash Flows
For the Nine Months Ended September 30, 2010 and 2011
(In thousands, unaudited)

		2010				2011
Operating Activities
Net Income		$	60,470			$	75,425
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization			51,333				52,766
Provision for bad debts			31,449				40,002
Loss on early retirement of debt			—				31,018
Loss (gain) from disposal of assets			612				(5,182	)
Non-cash gain from interest rate swaps			(464	)			—
Non-cash stock compensation expense			1,405				2,698
Amortization of debt discount			1,396				1,271
Changes in operating assets and liabilities, net of effects from acquisition of businesses:
Accounts receivable			(26,668	)			(81,466	)
Other current assets			3,571				240
Other assets			494				1,072
Accounts payable			(3,469	)			14,008
Due to third-party payors			(756	)			(1,050	)
Accrued expenses, income and deferred taxes			(9,108	)			13,112
Net cash provided by operating activities			110,265				143,914
Investing activities
Purchases of property and equipment			(38,626	)			(32,094	)
Investment in business			—				(13,514	)
Acquisition of businesses, net of cash acquired			(165,802	)			1,921
Proceeds from sale of assets			—				7,879
Net cash used in investing activities			(204,428	)			(35,808	)
Financing activities
Borrowings on revolving credit facilities			90,000				595,000
Payments on revolving credit facilities			(70,000	)			(570,000	)
Borrowings on 2011 credit facility term loan, net of discount			—				841,500
Payments on 2011 credit facility term loans			—				(2,125	)
Payments on 2005 credit facility term loans, net of call premium			—				(484,633	)
Repurchase of 10% senior subordinated notes			—				(150,000	)
Repurchase of 7 5/8% senior subordinated notes, net of tender premium			—				(273,941	)
Borrowings of other debt			5,015				5,496
Principal payments on seller and other debt			(6,667	)			(5,846	)
Debt issuance costs			—				(18,556	)
Proceeds from (repayment of) bank overdrafts			10,971				(4,174	)
Repurchase of common stock			—				(31,641	)
Proceeds from issuance of common stock			125				169
Distributions to non-controlling interests			(3,618	)			(3,507	)
Net cash provided by (used in) financing activities			25,826				(102,258	)
Net increase (decrease) in cash and cash equivalents			(68,337	)			5,848
Cash and cash equivalents at beginning of period			83,680				4,365
Cash and cash equivalents at end of period		$	15,343			$	10,213
Supplemental Cash Flow Information
Cash paid for interest		$	99,897			$	94,632
Cash paid for taxes		$	36,424			$	31,105

V. Key Statistics
For the Three Months Ended September 30, 2010 and 2011
(unaudited)

		2010				2011				%Change
Specialty Hospitals
Number of hospitals — end of period:
Long term acute care hospitals			111				110
Rehabilitation hospitals			6				9
Total specialty hospitals			117				119
Net operating revenues (,000)		$	419,798			$	521,085				24.1	%
Number of patient days			275,387				333,322				21.0	%
Number of admissions			11,305				13,599				20.3	%
Net revenue per patient day (a)		$	1,478			$	1,474				(0.3	)%
Adjusted EBITDA (,000)		$	58,282			$	81,570				40.0	%
Adjusted EBITDA margin			13.9	%			15.7	%
Outpatient Rehabilitation
Number of clinics — end of period			950				952
Net operating revenues (,000)		$	168,438			$	173,030				2.7	%
Number of visits			1,144,096				1,099,342				(3.9	)%
Revenue per visit (b)		$	101			$	103				2.0	%
Adjusted EBITDA (,000)		$	20,339			$	19,435				(4.4	)%
Adjusted EBITDA margin			12.1	%			11.2	%

(a)		Net revenue per patient day is calculated by dividing specialty hospital direct patient service revenue by the total number of patient days.
(b)		Net revenue per visit is calculated by dividing outpatient rehabilitation clinic revenue by the total number of visits. For purposes of this computation, outpatient rehabilitation clinic revenue does not include managed clinics or contract services revenue.

VI. Key Statistics
For the Nine Months Ended September 30, 2010 and 2011
(unaudited)

		2010				2011				%Change
Specialty Hospitals
Number of hospitals — end of period:
Long term acute care hospitals			111				110
Rehabilitation hospitals			6				9
Total specialty hospitals			117				119
Net operating revenues (,000)		$	1,234,562			$	1,561,270				26.5	%
Number of patient days			808,133				994,179				23.0	%
Number of admissions			33,022				40,965				24.1	%
Net revenue per patient day (a)		$	1,481			$	1,498				1.1	%
Adjusted EBITDA (,000)		$	214,523			$	273,004				27.3	%
Adjusted EBITDA margin			17.4	%			17.5	%
Outpatient Rehabilitation
Number of clinics — end of period			950				952
Net operating revenues (,000)		$	518,288			$	524,694				1.2	%
Number of visits			3,442,266				3,381,896				(1.8	)%
Revenue per visit (b)		$	101			$	103				2.0	%
Adjusted EBITDA (,000)		$	66,813			$	65,308				(2.3	)%
Adjusted EBITDA margin			12.9	%			12.4	%

(a)		Net revenue per patient day is calculated by dividing specialty hospital direct patient service revenue by the total number of patient days.
(b)		Net revenue per visit is calculated by dividing outpatient rehabilitation clinic revenue by the total number of visits. For purposes of this computation, outpatient rehabilitation clinic revenue does not include managed clinics or contract services revenue.

VII. Net Income to Adjusted EBITDA Reconciliation
For the Three and Nine Months Ended September 30, 2010 and 2011
(In thousands, unaudited)

The following table reconciles net income to Adjusted EBITDA for Select Medical. Adjusted EBITDA is used by Select Medical to report its segment performance. Adjusted EBITDA is defined as net income before interest, income taxes, depreciation and amortization, stock compensation expense, other income, loss on early retirement of debt and equity in earnings (losses) of unconsolidated subsidiaries. The Company believes that the presentation of Adjusted EBITDA is important to investors because Adjusted EBITDA is used by management to evaluate financial performance and determine resource allocation for each of its operating units.

Adjusted EBITDA is not a measure of financial performance under generally accepted accounting principles. Items excluded from Adjusted EBITDA are significant components in understanding and assessing financial performance. Adjusted EBITDA should not be considered in isolation or as an alternative to, or substitute for, net income, cash flows generated by operations, investing or financing activities, or other financial statement data presented in the consolidated financial statements as indicators of financial performance or liquidity. Because Adjusted EBITDA is not a measurement determined in accordance with generally accepted accounting principles and is thus susceptible to varying calculation, Adjusted EBITDA as presented may not be comparable to other similarly titled measures of other companies.

		Three Months Ended								Nine Months Ended
		September 30,								September 30,
		2010				2011				2010				2011
Net income		$	8,665			$	26,381			$	60,470			$	75,425
Income tax expense			5,574				19,330				39,989				56,809
Other income			(148	)			—				(464	)			—
Loss on early retirement of debt			—				—				—				31,018
Interest expense, net of interest income			27,677				24,015				86,998				74,808
Equity in (earnings) losses of unconsolidated subsidiaries			186				(1,653	)			186				(1,329	)
Stock compensation expense:
Included in general and administrative			20				488				311				1,436
Included in cost of services			440				430				1,094				1,262
Depreciation and amortization			17,012				17,545				51,333				52,766
Adjusted EBITDA		$	59,426			$	86,536			$	239,917			$	292,195
Specialty hospitals		$	58,282			$	81,570			$	214,523			$	273,004
Outpatient rehabilitation			20,339				19,435				66,813				65,308
Other (1)			(19,195	)			(14,469	)			(41,419	)			(46,117	)
Adjusted EBITDA		$	59,426			$	86,536			$	239,917			$	292,195

(1)		Other primarily includes general and administrative costs.

VIII. Reconciliation of Net Income Per Share to Adjusted Net Income Per Share
For the Nine Months Ended September 30, 2010 and 2011
(In thousands, except per share amounts, unaudited)

						Per Share								Per Share
		2010				(a)				2011				(a)
Net income attributable to Select Medical Holdings Corporation			56,697				0.35				70,987				0.47
Earnings allocated to unvested restricted stockholders			(135	)			(0.00	)			(763	)			(0.01	)
Net income available to common stockholders			56,562				0.35				70,224				0.46
Adjustment for early retirement of debt:
Loss on early retirement of debt			—				—				31,018				0.20
Estimated income tax benefit (b)			—				—				(11,796	)			(0.07	)
Earnings allocated to unvested restricted stockholders			—				—				(207	)			(0.00	)
Adjusted net income available to common stockholders		$	56,562			$	0.35			$	89,239			$	0.59
Adjustment for dilution							0.00								0.00
Adjusted net income available to common stockholders — diluted shares						$	0.35							$	0.59
Weighted average common shares outstanding:
Basic							159,698								152,299
Diluted							159,964								152,522

(a)		Per share amounts for each period presented are basic weighted average common shares outstanding for all amounts except adjusted net income available to common stockholders — diluted shares, which is based on diluted shares outstanding.
(b)		Represents the estimated tax benefit on the adjustments to net income.