FOR YOUR INFORMATION...................May 10, 1988


     The Federal Trade Commission approved on May 2 Hospital
Corp. of America's proposed divestiture of the land and office
building associated with Downtown General Hospital in
Chattanooga, Tenn., to Alpha Medical Management, Inc.
     Commission approval of the divestiture was required by an
FTC order that became final in 1987.  Under that order, HCA must
divest North Park Hospital and Diagnostic Center Hospital, as
well as the assets associated with Downtown General Hospital.
All three of these hospitals are in the Chattanooga, Tenn.,
area.  The order stems from a 1982 complaint challenging HCA's
acquisition of two hospital chains.
     On April 18, 1988, the Commission approved the divestiture
of North Park Hospital in Hamilton County, Tenn., to HealthCorp,
Inc.  The proposed divestiture of Diagnostic Center Hospital to
Renaissance America Inc. is still awaiting Commission approval.
     Alpha Medical, based in Chattanooga, manages 30 different
home health care facilities in Tennessee.  It assumed management
of Downtown General earlier this year, after HCA terminated its
management contract with the hospital, as required by the FTC
order.  HCA is based in Nashville, Tenn.
     Copies of the Commission letter approving the divestiture
are available from the FTC's Public Reference Branch, Room 130,
6th St. and Pennsylvania Ave. N.W., Washington, D.C. 20580; 202-
326-2222; TTY 202-326-2502.

                              # # #


MEDIA CONTACT:     Brenda Mack, Office of Public Affairs,
                   202-326-2180

STAFF CONTACT:     Toby Singer, Bureau of Competition,
                   202-326-2762

(FTC Docket No. 9161)

(HCADiv3)