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Total Renal Care Reports Net Revenues Up 61% and Net Income Up 99% For Third Quarter 1998 Earnings Per Share at 35 cents, Up 94% From Same Year-ago Quarter

TORRANCE, Calif.--(BUSINESS WIRE)--Nov. 3, 1998-- 

     Third Quarter/Recent Highlights:
     -- Revenues up 61% to $318,585,000 for the quarter
     -- Earnings up 99% to $29,109,000 for the quarter
     -- Cash Flow (EBITDA) margin improved to 28.7% for the quarter
	    -- Addition of 54 centers and more than 3,300 patients since July
1, 1998 for a total of approximately 36,400 patients at September 30,
1998 (including 21 centers and 1,000 patients under management)
	    -- Addition of 15 centers, and approximately 1,500 patients since
October 1, 1998 for a current total of approximately 37,900 patients
(including 14 centers and 1,200 patients under management)

Continuing to report strong quarterly financial results, Total Renal Care Holdings, Inc. (NYSE: TRL), the second largest domestic and largest independent worldwide provider of dialysis services, today announced record revenues, earnings, and earnings per share for the third quarter of 1998.

Revenues increased 61% to $318.6 million in the third quarter of 1998 from $197.7 million in the corresponding period of 1997. Earnings increased 99% to $29.1 million from $14.6 million and earnings per share increased 94% to $0.35 on 87.1 million weighted average shares outstanding, compared with earnings per share of $0.18 on 80.5 million weighted average shares outstanding for the prior-year third quarter period.

``The success of our aggressive, yet disciplined growth strategy in 1998 has continued to result in an impressive financial track record quarter after quarter,'' said Victor M.G. Chaltiel, TRL Chairman, President and Chief Executive Officer. ``With more than 8,000 patients added year-to-date, plus the 1,200 patients under Satellite Dialysis Centers and those currently under a definitive agreement or an agreement in principle, we believe that we are well-positioned for another extraordinary year of growth in 1999.''

Revenues increased 62% to $865.7 million in the first nine months of 1998 from $535.4 million in the corresponding period of 1997. Earnings (before merger costs of $92.8 million and $15.6 million of non cash expenses related to a change in accounting principle requiring start-up and organizational costs to be expensed immediately rather than capitalized and the write-off of deferred financing charges all of which were recognized in the first quarter, and $25.8 million from an extraordinary item and related charge associated with the refinancing of existing credit lines and early retirement of underlying interest swap arrangements recognized in the second quarter) increased 92% to $76.7 million up from $39.9 million. Earnings per share (before extraordinary item and related charge, and merger costs and accounting change) increased 86% to $0.93, compared with earnings per share of $0.50 for the same prior year nine month period.

``Obviously, we are very pleased with the continuation of our exceptional 1998 performance into the last half of 1998,'' commented Mr. Chaltiel.

As previously disclosed, the Company's Florida-based laboratory subsidiary is the subject of a third party carrier review and payment suspension. Notwithstanding the provision by the Company of extensive supporting documentation, the carrier still maintains that 99.3% of the tests performed by the laboratory during the review period were not properly supported by the prescribing physicians' medical justification and has issued a formal overpayment determination in the amount of approximately $5.6 million. The carrier has informed the local offices of the Department of Justice and the Department of Health and Human Services of the overpayment determination. The Company continues to cooperate fully with the carrier and believes that the carrier's position is wrong, legally and factually. The Company has instituted formal appeal proceedings relating to the overpayment determination and will pursue all possible remedies available under the law.

Torrance-based Total Renal Care Holdings, Inc. is the second largest domestic and largest independent worldwide provider of integrated dialysis services for patients suffering from chronic kidney failure. The Company owns and operates high-quality, free-standing kidney dialysis centers and home peritoneal dialysis programs in 33 states, as well as Washington, D.C., Puerto Rico, Guam, Argentina and Europe, and also provides high-quality acute hemodialysis services to inpatients at approximately 306 hospitals. Currently, TRL will operate 492 outpatient dialysis facilities and provide services to approximately 37,900 patients, with approximately 2,200 patients in 35 centers under TRL management (including patients to be served under the Satellite Dialysis Centers agreement, which is effective December 1, 1998). The company additionally operates ESRD laboratory and pharmacy facilities, as well as vascular access management, transplant services and ESRD clinical research programs.

For information on Total Renal Care Holdings, Inc., via facsimile at no cost, call 1-800-PRO-INFO and dial company code TRL.

Expansion Highlights

                           Quarter Ended              Year Ended
                       Sept. 30,    Dec. 31,            Dec. 31,
                         1997        1997                1997

Treatments              489,922     553,218            1,869,854
Patients                 13,700      15,800               15,800
Centers                     174         197                  197
Revenue per
Treatment                  $232        $236                 $234


                                      Quarter Ended
                       March 31,         June 30,        Sept. 30,
                         1998              1998            1998

Treatments             1,099,627        1,186,597        1,283,734
Patients                  30,700           33,100           36,400
Centers                      391              423              477
Revenue per
Treatment                   $235             $243             $248


	    This release contains forward-looking statements which are made
pursuant to the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. These forward-looking statements
include statements regarding operations integration and market
opportunities and involve risks and uncertainties that could cause
actual results to differ materially from the forward-looking
statements. Factors which could cause or contribute to such
differences include, but are not limited to, the uncertainties
associated with governmental regulation, general economic and other
market conditions, and the "risk factors" set forth in the Company's
filings with the Securities and Exchange Commission. The
forward-looking statements should be considered in light of these
risks and uncertainties.



                      TOTAL RENAL CARE HOLDINGS
             CONDENSED CONSOLIDATED STATEMENTS OF INCOME

                        Three Months                 Nine Months
                    1998           1997          1998          1997

Net operating
 revenues        $318,585,000  $197,749,000  $865,684,000 $535,401,000
Operating
 expenses:
 Facilities       200,925,000   131,670,000   549,544,000  360,771,000
 General and
  administrative   17,174,000    13,208,000    50,589,000   35,244,000
 Provision for
  doubtful
  accounts          8,997,000     5,390,000    23,539,000   14,786,000
 Depreciation
 and
 amortization      22,435,000    14,194,000    62,474,000   38,023,000
 Merger costs               0             0    92,835,000            0

  Total operating
   expenses       249,531,000   164,462,000   778,981,000  448,824,000
Operating income   69,054,000    33,287,000    86,703,000   86,577,000

Interest expense  (19,805,000)   (7,525,000)  (50,866,000) (17,179,000)
Interest swap-
 early
 termination
 costs                      0             0    (9,823,000)           0
Interest income       963,000       883,000     3,627,000    2,346,000

Income before
 income taxes,
 minority
 interests,
 extraordinary
 item and
 cumulative effect
 of a change
 in accounting
 principle         50,212,000    26,645,000    29,641,000   71,744,000

Income taxes       19,244,000    11,163,000    28,924,000   28,661,000

Income before
 minority
 interests,
 extraordinary
 item and
 cumulative
 effect of a
 change in
 accounting
 principle         30,968,000    15,482,000      717,000    43,083,000

Minority
 interests in
 income of
 consolidated
 subsidiaries       1,859,000       850,000    4,817,000     3,193,000

Income (loss)
 before
 extraordinary
 item and
 cumulative
 effect of a
 change in
 accounting
 principle         29,109,000    14,632,000   (4,100,000)   39,890,000

Extraordinary
 loss, net of
 tax of
 $7,668,000                 0             0   12,744,000             0

Cumulative effect
 of a change in
 accounting
 principal, net
 of tax of
 $4,300,000                 0             0    6,896,000             0

Net (loss)
 income           $29,109,000   $14,632,000 ($23,740,000)  $39,890,000

Earnings (loss)
 per common share:
 Net income
 (loss) before
 extraordinary
 item and
 cumulative
 effect of
 change in
 accounting
 principle              $0.36        $0.19       ($0.05)         $0.52
 Extraordinary
  loss                  $0.00        $0.00       ($0.16)         $0.00
 Cumulative effect
  of change in
  accounting            $0.00        $0.00       ($0.09)         $0.00
 Net (loss)
  income                $0.36        $0.19       ($0.30)         $0.52

Weighted average
 number of
 common shares
 outstanding       80,858,000   77,752,000   79,982,000     77,405,000

Earnings (loss)
 per common
 share -
 assuming
 dilution:
 Net income
  (loss) before
  extra-
  ordinary item
  and cumulative
  effect of
  change in
  accounting
  principle             $0.35        $0.18       ($0.05)         $0.50
  Extraordinary loss    $0.00        $0.00       ($0.16)         $0.00
  Cumulative effect
  of change in
  accounting            $0.00        $0.00       ($0.09)         $0.00
  Net (loss) income     $0.35        $0.18       ($0.30)         $0.50

 Weighted average
  number of common
  shares and
  equivalents
  outstanding -
  assuming
  dilution         87,052,000   80,532,000   79,982,000     79,683,000


Contact:
     Total Renal Care, Torrance
     Victor M.G. Chaltiel, CEO
     or John E. King, CFO
     310/792-2600
          or
     The Financial Relations Board
     Larry Delaney, General Information
     Moira Conlon, Investor Contact
     Michaelle Burstin, Media Contact
     310/442-0599
     Kathy Brunson, Investor Contact
     312/266-7800

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