RHC is the leading private hospital operator in Australia with a high-quality portfolio of assets. Since 2005 RHC has been developing an offshore footprint in Europe and Asia, placing it in the top five private hospital companies in the world by size. Talk of cost-cutting and health care reform by the Australian government, French tariff increases and a sectoral rotation away from high quality, higher growth Australian equities has placed short-term share price pressure. We expect the experienced and financially disciplined management team to continue brownfield and greenfield investment in Australia and acquiring businesses in Europe and Asia, funded through a strong balance sheet and cash flow. Furthermore, the ageing demographic and growth in chronic disease will continue to drive volume growth at above GDP growth rates. By leveraging its global footprint, RHC can now reduce its variable cost base in medical equipment and consumables through global purchasing agreements with suppliers. These drivers should ensure that RHC delivers double-digit EPS and DPS growth into the future.