ORPEA Publishes the Summary of the External Assessment Report on Subjects Relating to the Care of Nursing Homes Residents in France and to Employment Law

Regulatory News:

As per its commitment, the ORPEA Group (Paris:ORP) has posted on its website the summary of the final conclusions of the audits carried out by Grant Thornton and Alvarez & Marsal, on the subject relating to the care of nursing homes residents in France and on employment law topics, thus completing the external surveys commissioned by the Board of Directors.

This follows the publication of the preliminary results of the audits on 26 April 2022 and the publication on 8 June 2022 of the final conclusions of these firms regarding the use of public funds and business relations with third parties, including some public officials, to which reference is made where applicable.

Philippe Charrier, Chairman and Chief Executive Officer, said:

« With the publication of these last two sections on the care of nursing homes residents in France and on labor policies, we are fulfilling the commitment made on 26 January to shed light on the allegations made against the ORPEA Group in the book. Yet, this endeavor for transparency doesn’t end here: my successor as CEO, Laurent Guillot, will actively pursue this dialogue with all our stakeholders.

The Grant Thornton and Alvarez & Marsal report allows us to rule out the allegation of a system of widespread abuse. It notably refutes the notion of a rationing of protection as well as several allegations concerning meals and food. However, it does report shortcomings and inadequacies in the handling of adverse events, in the managerial incentive system and in the management of human resources. We have announced and implemented a first set of measures to correct these malfunctions. Remaining true to our commitment to sustainable improvement, we continue to develop our practices with special attention to exemplarity in order to provide the best possible support to vulnerable people.

I would like to once again thank all residents, patients and their families for the trust they continue to place in the group, as well as all of our employees for the engagement they demonstrate on a daily basis. We are also grateful to the 1,900 people who took part in roundtable talks (“Etats Généraux”) in our French nursing homes, participating in very rich discussions which will contribute to the group's actions in the coming months. »