-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, Di1rz8RUVsh1/v7F2DzDsVy+rg4HDM1Gr+TIuDxygAw/8AW1mOp+ze8PXxZdo1Z3 2CMk4LGGVyGaZLQc2/5Pwg== 0000950103-06-002787.txt : 20061212 0000950103-06-002787.hdr.sgml : 20061212 20061212113135 ACCESSION NUMBER: 0000950103-06-002787 CONFORMED SUBMISSION TYPE: SC 13D/A PUBLIC DOCUMENT COUNT: 4 FILED AS OF DATE: 20061212 DATE AS OF CHANGE: 20061212 GROUP MEMBERS: DINAKAR SINGH GROUP MEMBERS: DINAKAR SINGH LLC GROUP MEMBERS: TPG-AXON GP, LLC GROUP MEMBERS: TPG-AXON PARTNERS (OFFSHORE), LTD. GROUP MEMBERS: TPG-AXON PARTNERS GP, L.P. GROUP MEMBERS: TPG-AXON PARTNERS, LP SUBJECT COMPANY: COMPANY DATA: COMPANY CONFORMED NAME: TRIAD HOSPITALS INC CENTRAL INDEX KEY: 0001074771 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-GENERAL MEDICAL & SURGICAL HOSPITALS, NEC [8062] IRS NUMBER: 752816101 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: SC 13D/A SEC ACT: 1934 Act SEC FILE NUMBER: 005-56393 FILM NUMBER: 061270601 BUSINESS ADDRESS: STREET 1: 5800 TENNYSON PARKWAY CITY: PLANO STATE: TX ZIP: 75024 BUSINESS PHONE: 9727892732 MAIL ADDRESS: STREET 1: 5800 TENNYSON PARKWAY CITY: PLANO STATE: TX ZIP: 75024 FORMER COMPANY: FORMER CONFORMED NAME: TRIAD HOSPITALS LLC DATE OF NAME CHANGE: 19981207 FILED BY: COMPANY DATA: COMPANY CONFORMED NAME: TPG-Axon Capital Management, LP CENTRAL INDEX KEY: 0001328562 IRS NUMBER: 201967305 STATE OF INCORPORATION: DE FILING VALUES: FORM TYPE: SC 13D/A BUSINESS ADDRESS: STREET 1: 888 SEVENTH AVENUE CITY: NEW YORK STATE: NY ZIP: 10019 BUSINESS PHONE: (212) 479-2000 MAIL ADDRESS: STREET 1: 888 SEVENTH AVENUE CITY: NEW YORK STATE: NY ZIP: 10019 SC 13D/A 1 dp04231_sc13da.htm
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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

SCHEDULE 13D/A
Under the Securities Exchange Act of 1934
(Amendment No. 3)

TRIAD HOSPITALS, INC.

(Name of Issuer)
 
COMMON STOCK, PAR VALUE $0.01 PER SHARE

(Title of Class of Securities)
 
89579K109

(CUSIP Number)
 
Dinakar Singh
TPG-Axon Capital Management, L.P.
888 Seventh Avenue, 38th Floor
New York, New York 10019
(212) 479-2000

(Name, Address and Telephone Number of Person Authorized to
Receive Notices and Communications)
 
December 12, 2006

(Date of Event which Requires Filing of this Statement)

If the filing person has previously filed a statement on Schedule 13G to report the acquisition that is the subject of this Schedule 13D, and is filing this schedule because of §§240.13d -1(e), 240.13d -l(f) or 240.13d -l(g), check the following box. o

The information required on the remainder of this cover page shall not be deemed to be “filed” for the purpose of Section 18 of the Securities Exchange Act of 1934, as amended (the “Act”) or otherwise subject to the liabilities of that section of the Act but shall be subject to all other provisions of the Act (however, see the Notes).

Page 1 of 13




CUSIP No. 89579K109 13D  

1 NAME OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)


TPG-Axon GP, LLC
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
(a) 
(b) 
3 SEC USE ONLY


4 SOURCE OF FUNDS (See Instructions)

OO
5 CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e)

N/A
6 CITIZENSHIP OR PLACE OF ORGANIZATION

 Delaware
NUMBER OF SHARES
BENEFICIALLY OWNED BY
EACH REPORTING PERSON
WITH
7 SOLE VOTING POWER

0
8 SHARED VOTING POWER

6,480,500
9 SOLE DISPOSITIVE POWER

0
10 SHARED DISPOSITIVE POWER

6,480,500
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON

6,480,500
12 CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES


13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)

7.4%*
14 TYPE OF REPORTING PERSON

OO


*All percentage ownership reported in this Schedule 13D/A is based on 88,020,293 shares of Common Stock issued and outstanding as of October 31, 2006, as reported by the Issuer (as defined below) in its Quarterly Report on Form 10-Q for the quarterly period ended September 30, 2006 filed with Securities and Exchange Commission on November 7, 2006.

Page 2 of 13




CUSIP No. 89579K109 13D  

1 NAME OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)


TPG-Axon Partners GP, L.P.
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
(a) 
(b) 
3 SEC USE ONLY


4 SOURCE OF FUNDS (See Instructions)

OO
5 CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e)

N/A
6 CITIZENSHIP OR PLACE OF ORGANIZATION

 Delaware
NUMBER OF SHARES
BENEFICIALLY OWNED BY
EACH REPORTING PERSON
WITH
7 SOLE VOTING POWER

0
8 SHARED VOTING POWER

2,233,866
9 SOLE DISPOSITIVE POWER

0
10 SHARED DISPOSITIVE POWER

2,233,866
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON

2,233,866
12 CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES


13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)

2.5%*
14 TYPE OF REPORTING PERSON

PN

Page 3 of 13

 





CUSIP No. 89579K109 13D  

1 NAME OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)


TPG-Axon Partners, LP
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
(a) 
(b) 
3 SEC USE ONLY


4 SOURCE OF FUNDS (See Instructions)

WC
5 CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e)

N/A
6 CITIZENSHIP OR PLACE OF ORGANIZATION

 Delaware
NUMBER OF SHARES
BENEFICIALLY OWNED BY
EACH REPORTING PERSON
WITH
7 SOLE VOTING POWER

0
8 SHARED VOTING POWER

2,233,866
9 SOLE DISPOSITIVE POWER

0
10 SHARED DISPOSITIVE POWER

2,233,866
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON

2,233,866
12 CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES


13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)

2.5%*
14 TYPE OF REPORTING PERSON

PN

 

Page 4 of 13





CUSIP No. 89579K109 13D  

1 NAME OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)


TPG-Axon Capital Management, L.P.
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
(a) 
(b) 
3 SEC USE ONLY


4 SOURCE OF FUNDS (See Instructions)

OO
5 CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e)

N/A
6 CITIZENSHIP OR PLACE OF ORGANIZATION

 Delaware
NUMBER OF SHARES
BENEFICIALLY OWNED BY
EACH REPORTING PERSON
WITH
7 SOLE VOTING POWER

0
8 SHARED VOTING POWER

6,480,500
9 SOLE DISPOSITIVE POWER

0
10 SHARED DISPOSITIVE POWER

6,480,500
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON

6,480,500
12 CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES


13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)

7.4%*
14 TYPE OF REPORTING PERSON

PN

Page 5 of 13





CUSIP No. 89579K109 13D  

1 NAME OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)


TPG-Axon Partners (Offshore), Ltd.
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
(a) 
(b) 
3 SEC USE ONLY


4 SOURCE OF FUNDS (See Instructions)

WC
5 CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e)

N/A
6 CITIZENSHIP OR PLACE OF ORGANIZATION

 Cayman Islands, BWI
NUMBER OF SHARES
BENEFICIALLY OWNED BY
EACH REPORTING PERSON
WITH
7 SOLE VOTING POWER

0
8 SHARED VOTING POWER

4,246,634
9 SOLE DISPOSITIVE POWER

0
10 SHARED DISPOSITIVE POWER

4,246,634
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON

4,246,634
12 CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES


13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)

4.8%*
14 TYPE OF REPORTING PERSON

OO

Page 6 of 13

 





CUSIP No. 89579K109 13D  

1 NAME OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)


Dinakar Singh LLC
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
(a) 
(b) 
3 SEC USE ONLY


4 SOURCE OF FUNDS (See Instructions)

OO
5 CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e)

N/A
6 CITIZENSHIP OR PLACE OF ORGANIZATION

 Delaware
NUMBER OF SHARES
BENEFICIALLY OWNED BY
EACH REPORTING PERSON
WITH
7 SOLE VOTING POWER

0
8 SHARED VOTING POWER

6,480,500
9 SOLE DISPOSITIVE POWER

0
10 SHARED DISPOSITIVE POWER

6,480,500
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON

6,480,500
12 CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES


13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)

7.4%*
14 TYPE OF REPORTING PERSON

OO

Page 7 of 13




CUSIP No. 89579K109 13D  

1 NAME OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)


Dinakar Singh
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
(a) 
(b) 
3 SEC USE ONLY


4 SOURCE OF FUNDS (See Instructions)

OO
5 CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e)

N/A
6 CITIZENSHIP OR PLACE OF ORGANIZATION

USA 
NUMBER OF SHARES
BENEFICIALLY OWNED BY
EACH REPORTING PERSON
WITH
7 SOLE VOTING POWER

0
8 SHARED VOTING POWER

6,480,500
9 SOLE DISPOSITIVE POWER

0
10 SHARED DISPOSITIVE POWER

6,480,500
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON

6,480,500
12 CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES


13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)

7.4%*
14 TYPE OF REPORTING PERSON

IN

Page 8 of 13





     Pursuant to Rule 13d-2 promulgated under the Act, this Schedule 13D/A (this “Amendment No. 3”) amends the Schedule 13D originally filed on November 1, 2006 (File Number 005-56393) (the “Schedule 13D”), as previously amended by Amendment No. 1 and Amendment No. 2 thereto on November 17, 2006 and December 1, 2006, respectively. This Amendment No. 3 is being filed by TPG-Axon GP, LLC (“GP LLC”), TPG-Axon Partners GP, L.P. (“Partners GP”), TPG-Axon Partners, LP (“TPG-Axon Domestic”), TPG-Axon Capital Management, L.P. (TPG-Axon Management”), TPG-Axon Partners (Offshore), Ltd. (“TPG-Axon Offshore”), Dinakar Singh LLC (“Singh LLC”) and Dinakar Singh (“Mr. Singh”). The foregoing persons are sometimes collectively referred to herein as the “Reporting Persons.” Any disclosures herein with respect to persons other than the Reporting Persons are based on the information and belief of the Reporting Persons. This Amendment No. 3 relates to the Common Stock, par value $0.01 per share (the “Common Stock”), of Triad Hospitals, Inc., a Delaware corporation (the “Issuer”). References herein to the “Shares” are to the shares of Common Stock of the Issuer being reported herein by the Reporting Persons.

     The Reporting Persons are making a single, joint filing because they may be deemed to constitute a “group” within the meaning of Section 13(d)(3) of the Act. The agreement among the Reporting Persons to file jointly (the “Joint filing Agreement”) is attached hereto as Exhibit 1.

     TPG-Axon Management, as investment manager to TPG-Axon Domestic and TPG-Axon Offshore, has the power to direct the disposition and voting of the Shares held by TPG-Axon Domestic and TPG-Axon Offshore. Partners GP is the general partner of TPG-Axon Domestic. GP LLC is the general partner of Partners GP and TPG-Axon Management. Singh LLC is a Managing Member of GP LLC. Mr. Singh, an individual, is the Managing Member of Singh LLC and in such capacity may be deemed to control Singh LLC, GP LLC and TPG-Axon Management, and therefore may be deemed the beneficial owner of the securities held by TPG-Axon Domestic and TPG-Axon Offshore. Mr. Singh and Eric Mandelblatt (“Mr. Mandelblatt”) are Co-Chief Executive Officers of TPG-Axon Management.

     Each of Singh LLC, GP LLC, Partners GP, Mr. Singh and Mr. Mandelblatt disclaims beneficial ownership of all of the shares of Common Stock reported in this Amendment No. 3.

   Item 1. Security and Issuer

     No material change.

   Item 2. Identity and Background

     No material change.

   Item 3. Source and Amount of Funds or Other Consideration

     No material change.

   Item 4. Purpose of Transaction

     Item 4 is hereby amended by adding the following at the end thereof:

     “On December 12, 2006, certain of the Reporting Persons sent a letter to the Issuer and its Board of Directors, reiterating the Reporting Persons’ concerns regarding the Issuer’s strategy, performance and management controls and recommending strategies to address performance issues, and requesting, pursuant to Section 220 of the Delaware General Corporation Law, permission to inspect, and to make copies and extracts from, the Issuer’s stock ledger and list of its stockholders, in each case in order to enable the Reporting Persons and their affiliates to communicate with the other stockholders of the Issuer on matters relating to their mutual interests as stockholders. A copy of the letter is attached hereto as Exhibit 2 and incorporated by reference herein.”

   Item 5. Interest in Securities of the Issuer

     No material change.

Page 9 of 13





   Item 6. Contracts, Arrangements, Understandings or Relationships with Respect to Securities of the Issuer

     No material change.

   Item 7. Material to be Filed as Exhibits

  Exhibit 1. Joint Filing Agreement, dated October 31, 2006, signed by each of the Reporting Persons (previously filed on November 1, 2006 and incorporated by reference herein).
     
  Exhibit 2. Letter to the Issuer, dated December 12, 2006.

Page 10 of 13




SIGNATURE

     After reasonable inquiry and to the best of my knowledge and belief, I certify that the information set forth in this statement is true, complete and correct.

Dated: December 12, 2006

TPG-Axon GP, LLC
 
   
By:   /s/ Dinakar Singh
 
  Dinakar Singh
  Co-President
     
TPG-Axon Partners GP, L.P.
      By: TPG-Axon GP, LLC, general partner
 
   
By:   /s/ Dinakar Singh
 
  Dinakar Singh
  Co-President
     
TPG-Axon Partners, LP
      By: TPG-Axon Partners GP, L.P., general partner
      By: TPG-Axon GP, LLC, general partner
   
By:   /s/ Dinakar Singh
 
  Dinakar Singh
  Co-President
     
TPG-Axon Capital Management, L.P.
      By: TPG-Axon GP, LLC, general partner
   
By:   /s/ Dinakar Singh
 
  Dinakar Singh
  Co-President
     
TPG-Axon Partners (Offshore), Ltd.
   
By:   /s/ Dinakar Singh
 
  Dinakar Singh
  Director
     
     

Page 11 of 13





   Dinakar Singh LLC
     
By:   /s/ Dinakar Singh
 
  Dinakar Singh
  Managing Member
     
     
/s/ Dinakar Singh



Dinakar Singh


Page 12 of 13




LIST OF EXHIBITS
TO SCHEDULE 13D/A

1. Joint Filing Agreement, dated October 31, 2006, signed by each of the Reporting Persons (previously filed on November 1, 2006 and incorporated by reference herein).
 
2. Letter to the Issuer, dated December 12, 2006.
 

Page 13 of 13






EX-99.2 2 dp04231_ex2.htm
  Exhibit 2
   
Dinakar Singh
TPG-Axon Capital
888 Seventh Avenue 38|F
New York NY 10023

 

Board of Directors
Triad Hospitals, Inc.
5800 Tennyson Parkway
Plano, TX 75024

December 12, 2006

Dear Sirs and Madams,

As you know, TPG-Axon owns more than 7% of Triad Hospitals, making us the company’s largest shareholder. As per our previous correspondence, we have become increasingly concerned with the strategic direction of the company and increasingly worried about the ability of this management team to appropriately guard and invest our capital.

As we have stated before, we believe the company has remarkably poor financial analysis and controls. Strategic vision is a critical strength that a successful company must have, in any business. However, vision that is unburdened by facts and analysis is simply dangerous. To our astonishment, management has been unable to produce any level of thorough analysis regarding margins, bad debt, and most of all, Return on Investment. This is in stark contrast to other hospital companies, public or private.

When pressed for details on financials, management unfortunately resorts to platitudes, of which the most common is “if you don’t grow, you die”. Candidly, we would suggest that the quickest way towards death for a company is to spend money recklessly without careful and rigorous analytical controls. Ultimately, not only is reckless growth not good for shareholders, it does not enhance patient care either. The only real winners from growth, without analysis, and without adequate return on investment, are senior management. Ironically, Triad’s management team has had the best of all worlds – they have run this company like a growth non-profit, but paid themselves as if it were a private equity company. The losers in this equation have been shareholders. While we understand that Triad ‘inherited’ a disjointed set of assets from HCA, management has had ample time to reconstitute the portfolio in a coherent fashion. It has been disappointing that despite the passage of seven years, margins have not improved, cash flow has not been delivered, and shareholder funds have been increasingly and aggressively spent. It is now high time for accountability and discipline.

Management has taken no steps to allay our concerns regarding the company’s capital structure, capital expenditures, and operating controls – in fact, we have received no response to our letter of November 16th to Chief Executive James Shelton. To be clear -- we believe the balance sheet must be much more efficient, rather than keeping a war chest for acquisitions and that the company must drastically alter its capital expenditure program. Finally, we believe the company must focus away from transactions, and instead on improving margins and operating efficiency. With proper management, margins would improve from sub-par levels, providing significant boost to EBITDA and cashflow. In addition, valuation would increase meaningfully if the investment community were convinced that the company had capable management and would be disciplined in future operations. Lastly, we believe a more efficient capital structure would magnify the benefit of both of these factors, and provide substantial return to shareholders.

_________________________________________________________________________________________________
Phone: (212) 479-2020 | Fax: (212) 479-2001 | dsingh@tpgaxon.com





We urge you, as our representatives, to finally fulfill your fiduciary duty and steer this company towards a more sensible course. In the interim, we feel that we have no choice but to begin communication with our fellow shareholders regarding the strategic direction of the company and the ability of this management team to execute to the level necessary. Therefore, as is our right as shareholders, we hereby submit a demand for a shareholder list and other associated materials (full details of which are attached).

Sincerely,
 
Dinakar Singh
Managing Partner
TPG-Axon Capital






December 12, 2006

VIA FEDERAL EXPRESS AND FACSIMILE

Triad Hospitals, Inc.
5800 Tennyson Parkway
Plano, TX 75024

Attention:   James D. Shelton
        Chairman of the Board, President and Chief Executive Officer
     
Re:   Demand for Stockholder List and Other Materials

Dear Mr. Shelton:

     TPG-Axon Partners, L.P. and TPG-Axon Partners (Offshore), Ltd. (the Holders”) are the beneficial holders of 2,233,866 shares and 4,246,634 shares, respectively, of common stock, par value $.01 per share (the “Shares”), of Triad Hospitals, Inc., a Delaware corporation (the “Company”), as of the close of business on December 8, 2006. The shares are held in each Holder's prime brokerage account with Goldman Sachs & Co. as evidenced by the position report attached hereto as Exhibit A. Cede & Co., as the nominee of The Depository Trust Company, is the record holder of such Shares.

     The purpose of this letter is to request to inspect, and to make copies and extracts from, the Company’s stock ledger, and list of its stockholders, in each case in order to enable the Holders and their affiliates to communicate with the other stockholders of the Company on matters relating to their mutual interests as stockholders and to facilitate and support a potential proxy solicitation of the Company’s stockholders to elect nominees to the Company’s Board of Directors at its upcoming annual meeting.

     Pursuant to Section 220 of the Delaware General Corporation Law, as a beneficial holder of Shares, Holders hereby demand the right during the usual hours of business to inspect, and to make copies and extracts from, the following records and documents (the “Materials”):

  (a) A complete record or list of the holders of the Company’s outstanding Shares, certified by the Company or its transfer agent and registrar, showing the names and addresses of each holder of the Company’s Shares and the number of Shares registered in the name of each such holder, as of the most recent date available at the time of inspection.
 
  (b) A magnetic computer tape or other electronic media containing a file (an “Electronic File”) of the holders of the Company’s outstanding Shares as of the most recent date available at the time of inspection, showing the names, addresses and number of Shares held by each such holders, together with such computer processing data and instructions as are necessary for Holders to make practical use of such Electronic File, and a separate hard copy printout of the contents of such Electronic File for verification purposes, if different from the list in (a).
 






  (c) All daily transfer sheets showing changes in the names, addresses and number of Shares of the holders of the Company’s outstanding Shares which are in, or come into, the possession or control of the Company or its transfer agent or registrar, or which can reasonably be obtained from brokers, dealers, banks, clearing agencies or voting trustees or their nominees.
 
  (d) All information in, or which comes into, the Company’s possession or control, or which can reasonably be obtained from brokers, dealers, banks, clearing agencies or voting trustees or their nominees, concerning the names, addresses and number of Shares held by the participating brokers and banks named in the individual nominee names of Cede & Co. and other similar nominees, including respondent bank listings and all omnibus proxies and related respondent bank proxies and listings issued pursuant to Rule 14b-2 under the Securities Exchange Act of 1934, as amended (the “Exchange Act”).
 
  (e) A list or lists containing the name, address and number of Shares attributable to any participant in any Company employee stock ownership plan, stock ownership dividend reinvestment plan, or comparable plan of the Company in which voting decisions or decisions concerning tenders of Shares with respect to the Shares held by such plan are made, directly or indirectly, individually or collectively, by the participants in the plan, and an Electronic File for such list with the same categories of information as in (b) above.
 
  (f) All information in or which comes into the Company’s possession, or which can reasonably be obtained from nominees of any central certificate depository system, concerning the number and identity of the actual beneficial owners of Shares, including an alphabetical breakdown of any holdings in the respective names of Cede & Co., and other similar nominees for the accounts of customers or otherwise.
 
  (g) All information in, or which comes into, the Company’s possession or control, or which can reasonably be obtained from brokers, dealers, banks, clearing agencies or voting trustees or their nominees, relating to the names of the non-objecting beneficial owners (“NOBO’s”) of Shares pursuant to Rule 14b-1(b) or Rule 14b-2(b) under the Exchange Act, within an Electronic File in a format as is necessary for Holders to make practical use of such information, and a hard copy printout of such information in order of descending balance for verification purposes.
 
  (h) A stop list or stop lists relating to any Shares and any changes, corrections, additions or deletions made thereto.
 
  (i) To the extent not already referred to above, any Electronic File which contains any or all of the information encompassed in this letter, together
 





 

    with any program, software, manual or other instructions necessary for the practical use by Holders of such information.

     Holders further request that modifications, additions or deletions to any and all of the Materials referred to in paragraphs (a) through (i) above be immediately furnished to Holders as such modifications, additions or deletions become available to the Company or its agent or representatives.

     Holders will bear the reasonable costs incurred by the Company (including those of its transfer agent) in connection with the production of the above information.

     Each Holder hereby designates and authorizes MacKenzie Partners, Inc. and its officers and employees, Davis Polk & Wardwell and its partners and employees, and any other persons to be designated by such Holder, acting together, singly or in combination, to conduct, as its agents, the inspection and copying herein requested.

     Please advise counsel for Holders, George R. Bason, Jr. (telephone: 212-450-4340) of Davis Polk & Wardwell, 450 Lexington Avenue, New York, New York 10017, when and where the items demanded above will be made available to Holders and their designated agents.






     Please sign and date a copy of this letter to indicate your receipt hereof and return a copy to us as soon as possible.

Very truly yours,
 
TPG-AXON PARTNERS, L.P.
     
By: TPG-Axon Partners, GP, LP, its general partner
   
By: TPG-Axon GP, LLC, its general partner
   
   
By:  /s/ Michael Gismondi  
 
  Name:  Michael Gismondi
  Title: Vice President  
     
TPG-AXON PARTNERS (OFFSHORE), LTD.
     
By: TPG-Axon Capital Management, LP, its investment adviser
   
By: TPG-Axon GP, LLC, its general partner
   
   
By:  /s/ Michael Gismondi  
 
  Name:  Michael Gismondi
  Title: Vice President  
     

 

 

Acknowledged and received:
 
   TRIAD HOSPITALS, INC.
     
By:   
 
  Name:  
  Title:  
     
cc:      George R. Bason, Jr., Davis Polk & Wardwell
       Mark H. Harnett, MacKenzie Partners, Inc.
     
Enclosures






Exhibit A






Goldman, Sachs & Co.  |    One New York Plaza   |   New York, New York 10004
Tel: 212-902-1000

GOLDMAN
SACHS

Goldman Sachs
Prime Brokerage Services
1 New York Plaza, 44th Floor
New York, NY 10004

December 08, 2006

Mike Gismondi
TPG Axon
888 Seventh Avenue, 40th Fl
New York, NY 10019

Re: Confidential confirmation of Triad Hospitals, Inc. CMN holdings as it relates to TPG Axon.

To Whom It May Concern,

In accordance with your request, we can confirm that the position(s) below represents holdings reflected on the books and records of Goldman Sachs & Co. for the benefit of TPG Axon as of 12/08/2006:

TPG Axon Partners LP, 002-37737:        
Triad Hospitals, Inc CMN,   ISIN US89579K1097   2,233,866 Shs
         
TPG Axon Partners (Offshore), 002-37735:        
Triad Hospitals, Inc CMN,   ISIN US89579K1097   4,246,634 Shs

The information contained in this communication is for your information only. Such information should be viewed as confidential and is intended solely for the use of the intended recipient(s). This is not an offer or solicitation with respect to the purchase or sale of any security. This material has been prepared based upon information that Goldman, Sachs & Co. believes is reliable. Goldman, Sachs & Co. does not accept any responsibility to update any opinions or other information contained in this letter.

Thank you,

_______________________
Managing Director


Goldman, Sachs & Co.
One New York Plaza
New York, NY 10004






STATE OF NEW YORK )  
   : ss.:
COUNTY OF NEW YORK )  

     Michael Gismondi, being duly sworn, deposes and says that he is a Vice President of the general partner of the general partner of TPG-Axon Partners, L.P. (“Holder”), that he is authorized to make the foregoing Demand for Stockholder List and Other Materials on behalf of Holder, that he executed the foregoing Demand for Stockholder List and Other Materials on behalf of and as the act and deed of Holder, that the facts set forth therein, including the statement of purpose, and the exhibit thereto regarding Holders beneficial ownership, are true to the best of his knowledge, information and belief, that the foregoing Demand for Stockholder List and Other Materials includes a designation of MacKenzie Partners, Inc. and its officers and employees, Davis Polk & Wardwell and its partners and employees, and any other persons designated by Holder, acting together, singly or in combination, as Holder’s agents to conduct the inspection and copying referred to therein and that the foregoing and this verification are the Holder’s power of attorney authorizing the foregoing persons to act on behalf of the Holder.

/s/ Michael Gismondi

Michael Gismondi
Vice President

     SWORN TO AND SUBSCRIBED before me this 12th day of December, 2006.

/s/ Mary A. Lee

Notary Public
 
My Commission Expires: Feb. 22, 2009
 
Mary A. Lee
Notary Public, State of New York
No. 02LE6122695
Qualified in New York County
Commission Expires February 22, 2009
 





STATE OF NEW YORK )  
   : ss.:
COUNTY OF NEW YORK )  

     Michael Gismondi, being duly sworn, deposes and says that he is a Vice President of the general partner of the investment manager of TPG-Axon Partners (Offshore), Ltd. (“Holder”), that he is authorized to make the foregoing Demand for Stockholder List and Other Materials on behalf of Holder, that he executed the foregoing Demand for Stockholder List and Other Materials on behalf of and as the act and deed of Holder, that the facts set forth therein, including the statement of purpose, and the exhibit thereto regarding Holders beneficial ownership, are true to the best of his knowledge, information and belief, that the foregoing Demand for Stockholder List and Other Materials includes a designation of MacKenzie Partners, Inc. and its officers and employees, Davis Polk & Wardwell and its partners and employees, and any other persons designated by Holder, acting together, singly or in combination, as Holder’s agents to conduct the inspection and copying referred to therein and that the foregoing and this verification are the Holder’s power of attorney authorizing the foregoing persons to act on behalf of the Holder.

/s/ Michael Gismondi

Michael Gismondi
Vice President

     SWORN TO AND SUBSCRIBED before me this 12th day of December, 2006.

/s/ Mary A. Lee

Notary Public
 
My Commission Expires: Feb. 22, 2009
 
Mary A. Lee
Notary Public, State of New York
No. 02LE6122695
Qualified in New York County
Commission Expires February 22, 2009
 





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