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December 01, 2007

Contact NameContact TitleContact Department

Campus Laundry is proud to be the textile service provider for healthcare facilities in our region that desire the best service available. It is our desire to continue our positive growth by including Generic Hospital as valued and satisfied customers.

While our mission certainly includes remaining profitable, our primary mis-sion is to provide a valued service to our community that will in turn create educational opportunities for students attending Monterey Bay Academy. Thanks to our many healthcare customers, Campus Laundry is able to pro-vide work experience opportunities and scholarship programs for young peo-ple seeking an outstanding education in a Christian environment. Adding your facilities to our list of service is important to us, not in the traditional business sense of delivering a profit to shareholders, but as an investment in the future of our community.

To this end, Campus Laundry commits to you the following: • Provide Generic Hospital with the best quality laundry service. • Partner with your team to help develop new and mean-

ingful ways to improve your textile program. • Remain continually responsive to the changing needs of your facility. • Continue to improve in our internal efficiencies and technolo-

gies and pass along those savings and benefits to your facilities.

Choosing Campus Laundry will provide Generic Hospital with trouble-free Laundry service for years to come. The following pages contain a brief over-view of what Campus Laundry can do for your facilities.

Respectfully submitted,

Jay Ketelsen, rlld, resdGeneral Manager, Campus Laundrynailm National Board of Directors

Campus Laundry at Monterey Bay Academy783 San Andreas RoadLa Selva Beach, CA 95076-1911

831 722 4358 telephone831 722 2260 facsimile

[email protected]

Generic Hospital

Laundry Servicessubmitted december 2007

Campus Laundry ........................................................................... pg 01

Reliable Service............................................................................. pg 02

Professional Qualifications ........................................................... pg 03

Efficiency ...................................................................................... pg 04

The Environment .......................................................................... pg 05

Service Details ..............................................................................pg 06

Laundry Carts/Safety ..................................................................... pg 10

Pricing ............................................................................................ pg 11

Summary ....................................................................................... pg 12

Table of Contents

Laundry Services Proposal • 01

Campus Laundry has been providing service for healthcare facilities since 1966. Campus Laundry is owned and operated by Monterey Bay Academy, a co-educational Christian boarding high school located in La Selva Beach, midway between Monterey and Santa Cruz with easy access to Highways 1, 101, and 880. Campus Laundry is an integral component of the Work Ex-perience Education program at Monterey Bay Academy.

The mission of Campus Laundry is threefold:

• provide a critical service for our community,

• provide work experience opportunities for students,

• assist Monterey Bay Academy financially.

It is important to for our healthcare clients to know that our primary work-force at Campus Laundry consists of regular, full-time, skilled production staff. This insures uninterrupted continuity in our quality and ability to meet the service needs of our client hospitals the year round.

Within a staff of nearly 130 persons, approximately 25 are part-time stu-dent employees. Though Campus Laundry operates 6 days per week and Saturday night, most students work 2 hours per day, five days per week. Students that participate in the Work Experience Education program re-ceive the same wages as a full-time adult employee for that particular task/assignment. In addition to their wages, students are graded on their work assignments and receive curricular credit while in this program.

Students do not work in areas that may contain soiled linen. In fact, most students work in ancillary departments such as the clean pack room, mending station, and office.

Within the Work Experience Education program, students gain valuable employer/employee skills that will not only enhance their scholastic de-velopment but will be a lasting influence in their productive adult lives. For our facility to meet all our objectives, we must provide a working envi-ronment that is truly committed to quality. Su-perior quality service and product has been our mainstay in this business for 38 years and will continue to be the way we measure ourselves as we grow into this new century.

What is Campus Laundry?

Students gain valuablework experience skills.


Quality AssuranceAt Campus Laundry our quality assurance is simple. There will be no charge for any textiles processed and delivered by Campus Laundry that do not meet our mutually-agreed-to standards.

As a partner of your team, we will work with you to develop a clearly writ-ten guideline of quality standards, specifically for the textiles used at Ge-neric Hospital. If you already have written linen standards, we will be delighted to review them with you to make certain they reflect your current emphasis on quality and patient satisfaction.

Multiple Plant ProtectionWe have recently integrated the production capacity of our former North-ern California plant into Campus Laundry, our primary production facili-ty. This allows us to more efficiently service the greater Bay Area.

Campus Laundry also maintains reciprocal back-up emergency service with two healthcare laundry providers should our plant operations be in-terrupted for an extended period.

Alternate Ground RoutingWe are located approximately XX highway miles of your facility. Our trucks are equipped with al-ternate route maps to get them through the Salinas metro area should there be travel re-strictions in that area. Our trucks also have on board communication that will assist our driv-ers in navigating the best possible route to your facility in the event of storms, earthquake, or civil blockage.

Emergency Air Delivery / Disaster ContingencyCampus Laundry maintains a fixed wing airfield and helipad on-site. In the event of a disaster that would hinder our fleet from being able to ar-rive at your facilities, we can deliver mission critical textiles to you direct by air so long as aircraft are permitted to fly within the region.

Resource Protection / Environmental Stewardship and RecyclingCampus Laundry retains its own fresh water system of six wells and a 250,000 gallon storage tank, including our own wastewater treatment and recovery facility. Our soiled linen sorting crew recovers a tremendous amount of refuse and recyclables daily. Items of value are returned to the

Reliable Service


source healthcare facility; while items such as disposable plastics are recy-cled.

Uninterrupted Power CapabilityCampus Laundry maintains a reserve power gen-erator on-site to operate the plant and water sys-tem in the event of a municipal power failure or scheduled shut down.

Redundant Steam and AirCampus Laundry operates with 200% capacity steam boilers and air compressor systems. Our boilers are duel fuel (natural gas or diesel) for emergency purposes. We alternate operation of this equipment so that one system is always of-fline and ready for backup use.

Professional QualificationsThe management team at Campus Laundry is professionally trained through extensive study at the American Laundry and Linen College at Eastern Kentucky University and through the National Association of In-stitutional Linen Management (nailm).

General Manager, Jay Ketelsen, earned his Registered Laundry and Linen Director (rlld) and Registered Environmental Services Director (resd) at Eastern Kentucky University, 1993 through 1998.

Jay Ketelsen is a past Senior Vice President of nailm and currently serves as Chief Administrative Officer (CAO) on the nailm International Board of Directors. nailm works in an official capacity as an advisor to Joint Com-mission on Accreditation of Healthcare Organizations (jcaho) regarding practices for the healthcare laundry industry. Mr.. Ketelsen acts as an ad-visor to several healthcare laundry operations throughout the nation.

Campus Laundry Operations Managers, Elisa Rasor and Yvonne Hayes, are Certified Laundry and Linen Managers (cllm) through nailm.

Together, our professional staff provides over 90 years of textile/manage-ment experience. We are proficient, ready, and willing to meet the chal-lenges of textile processing, management, and utilization for your facility.

Professional Qualifications


Plant AutomationWhile it is tempting, from an economical stand-point, to automate our operation as fully as tech-nology will provide, we know that to do so would significantly limit the ability to provide complete product inspection.

Campus Laundry continues to invest in state-of-the-art production technologies that enhance a safe work environment, improve productivity, and of course, do not compromise our high qual-ity standards. Our plant is a blend of the latest in production technology and proven systems that provide quality on a consistent basis.

Trucking/DeliveryIn 2002 we upgraded our delivery fleet with new tractors to protect our ability to provide dependable service. In 2003 we expanded our fleet with a van and another 48-foot trailer. To ensure complete reliability and safe-ty, we replace our motor fleet every five years, and professionally maintain them via contract.

Utility Cogeneration SystemWe have installed a campus-wide cogeneration system that is scheduled to go online August 2005. This system will vastly assist us in keeping check on utility costs. With a near term payback earned through increased utility ef-ficiencies, we will soon be in a position to pass a significant portion of our utility cost savings on to our client healthcare facilities.

Laundry Delivery CartsCampus Laundry provides the #650nx Sani Trux® Turnabout Carts of Mc-Clure Industries for healthcare service. Benefits of using Sani Trux® carts are: better ergonomics for your staff, easier to load and unload, ease of ac-cess to specific linen without unloading the entire cart, and the carts are fire-retardant.

Efficiency


Technology and Automation Encourages Environmental Stewardship and Efficiency

Through the thoughtfully applied use of efficient, environmentally-fa-vorable equipment, blended with hands-on attention to detail, Campus Laundry will continue our tradition of providing superior quality while ex-panding market share.

Please review the included information showcasing the high points and de-tails of our state-of-the-art production equipment.

Milnor® CBW® Batch Washers • Top transfer of goods from

module to module to reduce dirty water contamination

• Larger cylinder space al-lows better wash penetration

• 44 drops per minute mechanical action to increase wash penetration and soil removal

Milnor® Divided Cylinder Washer-Extractors • Fast loading and unloading of goods utiliz-

ing divided sections, low door height, and auto-positioning of tumbler for removal.

• High extraction speeds to reduce fin-ishing time and fuel consumption

Milnor® Pass Through Dryers • Low-friction seal greatly reduces hot airflow escape, there-

by reducing drying time and energy consumption

American Dryer Corporation® Dryers • Lint drawer located in front of exhaust fan, eliminating cost-

ly external lint collectors and reduces lint fire concerns • Drive wheels located outside of the heat flow, greatly reducing wear

McClure Industries Sani Trux® #650NX carts • Structural fiberglass composite • One piece design with no joints, laps, or seams • Ball and roller bearing 6-inch casters with

a load capacity of 500 lbs. each • Fire-retardant fiberglass body that meets 1997 Uniform Fire Code

The Environment

At Campus Laundry, we care about our mission, which means we care about the clients we serve,

and the environment in which we all live.


Sorting and Processing by Classification: Extending the Life of Your LinenUnlike many other laundry operations, our commitment to quality in-cludes complete sorting and separation of all healthcare textiles into their correct classifications prior to being washed. By properly separating tex-tile classifications, specific formulations can be established for each spe-cific textile type used at the Mee Memorial facilities. By applying specific formulas (time, active agents, water levels, and mechanical action) we can process your textiles in a manner that can enhance the longevity of your valued inventory.

All our formulas are designed by a professional Healthcare Laundry Specialist and tested twice monthly. In addition to these bi-weekly tests per-formed by AuroraChem, we employ the servic-es of an independent test lab at nailm to provide monthly testing as a benchmark. Our chemical pH is measured daily to ensure that we are al-ways on target regarding our formulation.

Healthcare textiles are handled, washed, and processed in accordance with California Title 22, including variances allowable by the State of Cal-ifornia regarding temperature and time as appropriate wash formulation and technologies are applied. Standard Precautions are applied by all em-ployees regarding the handling of soiled healthcare linen.

Separate Batch ProcessingAt Campus Laundry, each account is processed as a separate batch. This al-lows our production plant to operate at peak efficiency while maintaining complete separation between accounts. Our Milnor tunnel washing sys-tem utilizes a system of computer driven robotics and is programmed in a manner that virtually eliminates linen mix up. Each account continues to flow through the balance of the production plant as a batch, allowing us to maintain this separation of accounts throughout the entire process.

Specialized Processing: Barrier Garments, Micro-fiber products, etc.Campus Laundry takes extra care when processing such critical and ex-pensive items . As with all our formulas, they are designed specifically for the goods being processed. In addition to specific formulation, these items are processed as special production by a team specifically trained for these goods.

Detail of Services

Textiles are handled, washed, and processed

in accordance withCalifornia Title 22.


General Linen FinishingAs washed linen emerges from the dryer system, it is tagged and maintained as an account batch and staged for finish production. In the Finish Department, flatwork such as sheets, pillowcas-es, et cetera, are processed through our flatwork ironing systems with auto folders. Unlike other plants that use auto stackers, each sheet is per-sonally inspected, hand-packed, and counted into the delivery cart.

Though we do use state-of-the-art automated folding equipment for patient gowns, bath blan-kets, spreads, towels, et cetera, we visually inspect each item prior to fold-ing to ensure that item meets the criteria established by the particular facility to which it belongs.

Each facility’s linen is packed according to the wishes of that particular cli-ent to better meet the needs of the client’s linen room staff.

Press FinishingOur Press Department processes laboratory coats, physician’s coats, warm-up jackets, and hospital service uniforms. Each garment is inspect-ed and hand pressed to ensure a superior professional appearance.

Processing of Scrub ApparelScrub apparel is processed according to the desire of the individual client. Some facilities request that their scrubs be run through an automated iron process. Others request they simply be tumble-dried and folded. Campus Laundry works closely with the manufacturers of our client’s linen to in-sure that it is properly processed. We remain flexible to meet our custom-er’s needs.

Processing of Snap Closure ItemsCampus Laundry processes snap closure items by several different meth-ods. The method of choice is up to the individual hospital. Some facilities request snap closure articles to be run through our automated ironers and we do this daily with excellent results. Others request that some or all their snap closure items be processed in our Press Department while some facil-ities ask that they be fluffed and folded right from the dryers.

Detail of Services (continued)


Cart Packing for Unit Specific DeliveryCampus Laundry will work with the client’s linen team to develop good working par levels for each floor/unit. If a client chooses, Campus Laundry can custom pack carts ready for unit specific delivery.

Dietary and Banquet Linen Campus Laundry excels in the processing of dietary and banquet linens. These items are treated very special from the moment they arrive at our soiled sorting stations. First, they are sorted into like groups, then indi-vidually inspected and pre-treated for the particular type of soil or stains found. These items are then washed in small dedicated loads with specific food and beverage formulas. Once washed, each item is inspected, hand processed, neatly folded, and hung to deliver the finest presentation.

Nursery and Infant LinenSeparation of nursery and infant linen begins in the soiled linen sorting room. Once sorted, they are processed separately throughout the balance of the system. As with all linen, these items are returned packed by like item, clearly identified, counted, and packed in the delivery carts per the client’s request.

Mops and Housekeeping RagsClient-owned mops and housekeeping rags are carefully processed accord-ing to classification and type. Micro-fiber mops are processed according to the manufacturer’s specifications. These items are packed in bulk by classification for return delivery.

Kaumeographing (Linen Identification Marking)Campus Laundry provides a linen stamping service that utilizes the kaum-eographs supplied by the client’s linen vendor. Utilizing this service often allows the vendor to ship orders in a more timely manner.

Retrieval and Return of Hospital InstrumentsAll instruments or other non-linen items recov-ered during the sorting process are returned to the facility of origin. The only exceptions to this are hazardous and disposable items such as dis-posable sharps, red bagged waste, et cetera.



Campus Laundry Pickup and Delivery Processdays of service Campus Laundry is open for production six days per week. The plant is closed from sundown Fri-day through sundown Saturday.

holidays In recognition of the needs of our customers, Campus Laundry does not close on holidays that fall within our regular scheduled work week so that our healthcare service continues on a nor-mal basis.

turnaround time Campus Laundry provides turnaround time of 24 hours from the time of pickup. Stained linen may be held up to 48 hours for special treatment.

drivers Campus Laundry drivers are uniformed and carry Campus Laundry ID cards. Campus Laundry is a non-union facility.

Contingency Planstrucking In the event of a disaster, either natural or deliberate, Cam-pus Laundry trucks are equipped with cell phone communication and detailed alternate route maps covering our entire area of service.

air delivery Campus Laundry has it’s own helipad and fixed-wing run-way. Emergency supply services can be arranged using these facilities.

backup processing Campus Laundry has agreements in place to pro-vide backup processing by qualified healthcare laundry processors out of our immediate area in the event a disaster renders our plant inoper-able for greater than 24 hours.

redundant equipment Campus Laundry has a full compliment of re-dundant equipment in both our power plant and our production plant.

Emergency or Special Delivery and Emergency PacksIn the event of an emergency, such as a natural or man-made disaster, ev-ery effort will be made to continue service as normal as possible. Linen that is culled out during the normal production inspection process is set aside and can be sealed, boxed and stored on site at the healthcare facility for use in the instance of a major event. Though each facility should main-



tain correct par levels on hand, an event could preclude any type of transpor-tation either road or air for a day or more. Having this clean, culled linen on hand is a significant hedge against linen shortage during disaster.

Laundry Delivery Carts: Safety and ErgonomicsThe pick-up/delivery carts provided by Campus Laundry are the #650nx Sani Trux®, manufactured by McClure Industries. These carts cost twice that of the typical laundry cart provided in the Bay Area, but we believe they are well worth it for the sake of our client’s staff, as well as our own. You can see for yourself the value by reading the points listed below:

Fire RetardantThe #650nx is truly fire-retardant, unlike the polyethylene carts generally provided in the Bay Area. It simply will not burn as the poly-ethylene carts will.

ErgonomicsMore importantly though are the ergonomic features of the #650nx for the client’s house-keeping staff. This cart utilizes an upper and lower removable shelf and a low, wide cut so that your staff do not have to bend and stretch their backs as they do with the stan-dard poly delivery cart. Textiles are packed by like item and utilizing the shelves allows for housekeeping staff to access many items with-out completely unloading the cart. When empty, the shelves simply slide into position along the open face of the cart converting the cart into a “soiled collection and delivery cart”.

Ease of MovementOur #650nx carts are equipped with the state-of-the-art “Roll-Rite” wheel. This is a large diameter, oval cross-section wheel that travels well on tile or carpet even with the heaviest of loads. Each cart has one locking wheel for convenient and safe transport within hospital corri-dors.

Cart CoversCampus Laundry envelopes each cart of clean textiles in a clear poly cover. The covers are 100% recyclable and can be returned to Campus Laundry with the soiled linen at pick up.

Laundry Carts/Safety


Services • Separate batch processing for each facility • Sorting and processing by classification • Specific processing for specialized items such as mi-

cro-fiber mops, barrier gowns, et cetera. • Culling linen to client’s standards • Prepare emergency linen storage packs for the hospital • Monthly site visits to each facility by a Campus Laundry manager. • Provide educational in-service programs designed to height-

en linen awareness and reduce consumption. • On-site linen inventory participation at each facili-

ty once or twice annually, at the client’s choosing. • Regular and reliable service up to five (5) days per week.

PricingLaundry Service price per pound, clean dry weight for customer owned good (cog) for Generic Hospital is $0.xxxx.

This price includes pickup and delivery three times weekly, professional processing, water, sewage, base electricity and natural gas costs. As Mee Generic Hospital grows, the frequency of pickup and delivery service can be modified.

As electricity or natural gas costs climb above the base cost factored into our price per pound, there will be a surcharge to recover those costs only. These utility surcharges have typically aver-aged $0.xxxxx per pound. As of June 2005, our new cogeneration plant and long term energy contracts will offset and eventually totally elimi-ate those utility surcharges.

Optional Services • Mending linen: $xx.xx per hour with itemized count and dol-

lar value of all goods mended and returned to service. • Packing carts ready for unit-specified delivery: ad-

ditional $0.xxxx per packed pound. • Delinting reusable surgical towels: $x.xx per dozen. • Linen Marking/Stamping: prevailing Medline price.

Pricing


• Campus Laundry will process each facility as separate ac-counts and through our system of “batch” production and main-tain your account’s textiles separate from other accounts.

• Campus Laundry offers a menu of ad-ditional services: mending, unit specific cart packing, delinting sur-gical towels, surgical packs, etc.

• Campus Laundry will provide pickup and delivery service seven days per week (in-cluding Saturday nights), providing hospital maintains a circulating inventory level suffi-cient to allow Campus Laundry to process Monday through Friday and pre-pack for de-livery, carts for Saturday night and Sunday.

• Campus Laundry will provide, on a reg-ular basis, a quality in-service target-ed to textile awareness and utilization.

• Campus Laundry will work with Gener-ic Hospital and Medline on a regular basis to review the mix of textiles used by the fa-cilities in order to help identify the most beneficial mix of textiles.

• Campus Laundry will continue to grow with our client’s needs.

• We guarantee the quality of our work to meet the agreed upon standards of each facility, or you do not pay for it.

Summary

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