Floyd Healthcare Resources Inc.

“In accordance with the organization's bylaws, floyd healthcare management, inc.'s chairman of the board serves on the filing entity's governing board as a voting member.”

“The organization's ceo, cfo, controller, legal counsel and employees of fhmi review the form 990 for financial and disclosure accuracy. Prior to its filing, a copy of the organization's 990 return is posted on the board of directors' secure website for their review. Management will send an email notifying members of its posting.”

“Floyd healthcare resources, inc. ("fhr") has a written policy respecting conflicts of interest and disclosure of same. Generally speaking, the policy requires any "covered person" who believes he/she has a conflict of interest to: -disclose the existence and nature of the conflict of interest (including all facts known respecting the subject matter) to the chairman of the board; -play no part, directly or indirectly, in the deliberation or vote of the board of directors with respect to the determination of whether a conflict of interest exists; and -absent himself/herself from that portion of the meeting at which the conflict of interest is discussed. The definition of a "covered person" includes all board members, officers and members of senior management of fhr. When a covered person discloses a potential conflict of interest to the board chairman, the chairman is obliged to bring the matter to the attention of the full board. The board determines whether a conflict of interest actually exists. If the board determines that there is a conflict of interest, the transaction or matter giving rise to the conflict of interest may not proceed unless the board determines, by a majority vote, that, despite the conflict of interest, the transaction/matter is nevertheless in the corporation's best interest and is fair and reasonable to the corporation. In addition to the requirement that a covered person disclose a potential conflict of interest at the time it arises, each covered person is also required to submit, on an annual basis, a `conflict and disclosure of interest questionnaire'. This multi-question document serves as a reminder and prompts each covered person to ponder those areas and situations where a potential conflict might exist. Additionally, any proposed transaction at fhr which involves an "insider" (i.e., a board member, officer, manager, etc.) is scrutinized, with the assistance of corporate legal counsel, from the standpoint of whether the transaction will result in any excess benefit to the insider. Typically this involves obtaining appropriate data regarding comparability which is provided to the board for its use in determining that the consideration being paid to the insider as a part of the transaction is reasonable and does not exceed the value of the benefit received by fhr.”

“The organization makes its governing documents, conflict of interest policy and financial statements available to the public when the request is made at the administrative office of the filing corporation.”