Sleep Facility Provides Comprehensive Diagnosis and Treatment for Gatesville, Texas and All Surrounding Central Texas Area Residents Suffering From Sleep-Related Problems

Graymark Healthcare (Nasdaq: GRMH) today announced that through its wholly-owned subsidiary, Nocturna Sleep Centers, it has entered into a management agreement with Coryell Memorial Healthcare System, Gatesville, Texas, to provide sleep diagnostic and treatment services to patients in the Memorial Hospital's sleep center. Coryell Memorial Healthcare System is a community owned healthcare organization. Graymark Healthcare provides similar services within 24 company owned and 67 hospital agreements in 10 states in addition to Texas.

"Coryell Memorial Hospital is fully accredited and licensed. The hospital provides quality healthcare with small town hospitality. I am confident the relationship with Nocturna Sleep Centers will add to the comprehensive quality care Coryell Memorial Hospital is known for providing to our special Central Texas community," said David Byrom, CEO of Coryell Memorial Healthcare System.

"Coryell Memorial Healthcare System is a progressive healthcare organization. Our partnership with Nocturna Sleep Centers supports our mission to provide the highest level of quality care for our residents and patients," added Byrom.

"Graymark Healthcare is honored to create an alignment with Coryell Memorial Healthcare System to provide sleep diagnostic and treatment services," said Stanton Nelson, Graymark's Chairman and CEO. "The Graymark Healthcare Comprehensive Care Model for Sleep Disorders including Obstructive Sleep Apnea complement the care offered by hospitals and medical centers like Coryell Memorial Hospital, and allow them to provide state-of-the-art sleep disorder services in a high quality, affordable manner," Nelson continued.

As part of its management agreement, Graymark Healthcare will implement its effective five step clinical approach to managing sleep disorders at Coryell Memorial Hospital. This approach includes: 1-a simple and quick process for referring physicians, 2-testing in comfortable luxurious rooms, 3-individualized treatment, 4-education and close patient support through the initial stages of care; and 5-ongoing check-ins and assistance with product re-supply. All steps are managed by a Board Certified Sleep Medicine physician.

Dr. David Brickey, MD will serve as the Medical Director of the Coryell Memorial Hospital Sleep Center. "Obstructive Sleep Apnea or OSA can have serious effects on people's health and personal lives," said Dr Brickley. "OSA is known to increase the risk for several serious health conditions, including obesity, high blood pressure, heart disease, stroke, diabetes, depression and sexual dysfunction. Additionally, OSA may result in excessive daytime sleepiness, memory loss, lack of concentration and irritability. OSA and its effects may increase the risk for automobile accidents and negatively affect work productivity and personal relationships," Dr. Brickley concluded. Dr. Brickey practices Critical Care Medicine and is Board Certified in Pulmonology, with an emphasis in Sleep Medicine. Dr. Brickey will oversee all care including the interpretation of the diagnostic sleep test results.

The management agreement between Coryell Memorial Healthcare System and Graymark Healthcare became effective in January and the sleep center immediately began seeing patients.

About Graymark Healthcare, Inc.

Graymark Healthcare Inc. is a diversified healthcare services company that conducts business in two operating segments, SDC Holdings and ApothecaryRx. Our first operating segment, SDC Holdings, is one of the largest providers of care management solutions to the sleep disorder market based on number of independent sleep care centers and hospital sleep diagnostic programs operated in the United States. We provide a comprehensive diagnosis, treatment and disease management solution for patients suffering from sleep disorders. Our second operating segment, ApothecaryRx, operates independent retail pharmacy stores selling prescription drugs, over-the-counter, or OTC, drugs and an assortment of general merchandise.

This press release may contain forward-looking statements that are based on the Company's current expectations, forecasts and assumptions. Forward-looking statements involve risks and uncertainties which could cause actual outcomes and results to differ materially from the Company's expectations, forecasts and assumptions. These risks and uncertainties include risks and uncertainties not in the control of the Company, including, without limitation, the current economic climate and other risks and uncertainties, including those enumerated and described in the Company's filings with the Securities and Exchange Commission, which filings are available on the SEC's website. Unless otherwise required by law, the Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Source: Graymark Healthcare, Inc.