X0202 4 2005-01-31 1 0001051488 Integrated Healthcare Holdings IHCH.OB 0001305503 Chaudhuri Kali P 6800 INDIANA AVENUE, SUITE 130 RIVERSIDE, CA 92506 0 0 1 0 Common Stock Option (Right to Buy) .30 2005-01-31 4 J 0 50000000 D 2009-11-16 Common Stock 50000000 0 D Secured Convertible Promissory Note .0031 2005-01-31 4 J 0 160000000 D 2004-09-28 2005-09-29 Common Stock 160000000 0 D Stock Purchase Warrant (Right to Buy) 2005-01-31 4 J 0 60000000 A 2007-01-31 2008-07-21 Common Stock 60000000 0 D The option was granted pursuant to the First Amendment to Secured Convertible Note Purchase Agreement dated as of November 16, 2004 between the issuer and the reporting person. The Secured Convertible Promissory Note ("Note") was granted pursuant to the Secured Convertible Note Purchase Agreement dated as of September 28, 2004 between the issuer and the reporting person. The option and the Note were rescinded and cancelled pursuant to the Rescission, Restructuring, and Assignment Agreement dated January 31, 2005 ("Rescission Agreement") between the issuer, the reporting person and certain other parties. The reporting person was issued the Stock Purchase Warrant pursuant to the Rescission Agreement. The option would have become exercisable in whole or in part at any time on or after the date that Anil V. Shah, M.D. or his assignee or designee exercises the first tranche of an option as provided in Section 1.1(a) of a Purchase Option Agreement dated as of November 16, 2004 between the issuer and Dr. Shah. The exercise price for the first 34,538,153 shares purchased is $0.003125 per share. The exercise price for the remainder of the shares is $0.078 per share if exercised between 1/31/2007 and 7/30/2007, $0.11 per share if exercised between 7/31/2007 and 1/30/2008, and $0.15 per share thereafter. The warrant will not vest and become exercisable within 60 days after the date of this statement. Kali P. Chaudhuri 2005-02-02