SunBridge Skilled Nursing Centers Recognized Nationally for Continuous Quality Improvement

IRVINE, CA–(EMWNews – August 21, 2008) – Fifteen skilled nursing centers operated by

SunBridge Healthcare Corp., a wholly owned subsidiary of Sun Healthcare

Group (NASDAQ: SUNH), have earned the prestigious American Health Care

Association and the National Center For Assisted Living’s (AHCA/NCAL)

Quality Award for demonstrating a strong commitment to continuous quality

improvement.

The SunBridge care centers are among 312 long-term care centers across the

nation to earn this type of award. The nursing centers include: Harborside

Healthcare-Arden House (Conn.), St. Joseph’s Manor (Conn.), SunBridge Care

and Rehabilitation of Marion (Ohio), SunBridge Care and Rehabilitation –

Wood Mill (Mass.), SunBridge Care and Rehabilitation for Hadley (Mass.),

SunBridge Care and Rehabilitation for Rochester (N.H.), Harborside

Healthcare-Northwood Rehabilitation and Nursing (N.H.), SunBridge Care and

Rehabilitation for Cartersville (Ga.), SunBridge Care and Rehabilitation

for Griffin (Ga.), SunBridge Care and Rehabilitation for Ardmore (Tenn.),

Marshall C. Voss Health and Rehabilitation Center (Tenn.), Harborside

Healthcare-Kensington Manor (Ky.), Harborside Healthcare – Edmonson (Ky.),

Sable Care Center (Colo.), and Harborside Healthcare – New Lebanon

Rehabilitation and Nursing Center (Ohio).The staff at each of these centers

will be honored for their achievement and presented with an award during

AHCA/NCAL’s 59th Annual Convention and Exposition, October 5-8, 2008, in

Nashville, Tennessee.

According to AHCA/NCAL, Step I recipients receive this recognition for

their commitment to a customer-focused mission by defining their principal

customers and their expectations and indicating ways of continually

striving to meet those needs. “I am extremely proud of our nursing centers

earning this award,” said Bill Mathies, president SunBridge Healthcare

Corporation. “Their commitment is demonstrated daily through their

interactions with residents, families and fellow employees, and clearly,

quality of care is a way of life at their centers.”

AHCA/NCAL President and CEO Bruce Yarwood agreed. “SunBridge’s Step I award

recipients show that their dedicated frontline caregivers, administrators,

nurses and physicians are demonstrating their commitment to quality of care

and meeting the needs of our nation’s most vulnerable population,” he said.

The AHCA/NCAL Quality Awards are considered to be a valuable framework and

tool within the long-term care profession in developing a systems-based

perspective to achieve performance excellence. AHCA/NCAL’s Quality Award is

modeled after the criteria of the Malcolm Baldrige National Quality Award,

the nation’s premier award recognizing distinguished achievements.

About Sun Healthcare Group, Inc and SunBridge Healthcare Corp.

Sun Healthcare Group, Inc., with executive offices in Irvine, California,

owns SunBridge Healthcare Corporation and other affiliated companies that

operate long-term and postacute care centers in many states. In addition,

the Sun Healthcare Group family of companies provides therapy through

SunDance Rehabilitation Corporation, hospice services through SolAmor

Hospice and medical staffing through CareerStaff Unlimited, Inc.