Jefferies 2015 Healthcare Conference...(2) SAMHSA –“Results from the 2013 National Survey on Drug Use and Health: Summary of National Findings” –2014. (3) National Center for

June 2, 2015

Jefferies 2015 Healthcare Conference

Some of the statements made in this presentation constitute forward-looking statements within the meaning of the Private

Securities Litigation Reform Act of 1995. Forward-looking statements include any statements that address future results or

occurrences. In some cases you can identify forward-looking statements by terminology such as “may,” “might, “will,” “should,”

“could” or the negative thereof. Generally, the words “anticipate,” “believe,” “continues,” “expect,” “intend,” “estimate,” “project,”

“plan” and similar expressions identify forward-looking statements. In particular, statements about our expectations, beliefs, plans,

objectives, assumptions or future events or performance contained in this are forward-looking statements.

We have based these forward-looking statements on our current expectations, assumptions, estimates and projections. While we

believe these expectations, assumptions, estimates and projections are reasonable, such forward-looking statements are only

predictions and involve known and unknown risks, uncertainties and other factors, many of which are outside of our control, which

could cause our actual results, performance or achievements to differ materially from any results, performance or achievements

expressed or implied by such forward-looking statements.

Given these risks and uncertainties, you are cautioned not to place undue reliance on such forward-looking statements. These

risks and uncertainties may cause our actual future results to be materially different than those expressed in our forward-looking

statements. Additional risks and uncertainties are described more fully in “Risk Factors” in the prospectus supplement and in our

periodic reports and other filings with the Securities and Exchange Commission incorporated by reference therein. These forward-

looking statements are made only as of the date of this presentation. We do not undertake and specifically decline any obligation to

update any such statements or to publicly announce the results of any revisions to any such statements to reflect future events or

developments.

Safe Harbor

1

We have included certain financial measures in this presentation, including Pro Forma EBITDA, Pro Forma Adjusted EBITDA,

Adjusted EBITDA, and CRC Adjusted EBITDA (“the EBITDA and Adjusted EBITDA measures”), which are “non-GAAP financial

measures” as defined under the rules and regulations promulgated by the U.S. Securities and Exchange Commission (“SEC”). We

define Pro Forma EBITDA as pro forma net income (loss) adjusted for loss (income) from discontinued operations, net of income

taxes, net interest expense, income tax provision (benefit) and depreciation and amortization. We define Pro Forma Adjusted

EBITDA as Pro Forma EBITDA adjusted for equity-based compensation expense, cost savings synergies, debt extinguishment

costs and certain other costs. We define Adjusted EBITDA as net income (loss) adjusted for loss (income) from discontinued

operations, net interest expense, income tax provision (benefit), depreciation and amortization, equity-based compensation

expense, debt extinguishment costs, gain on foreign currency derivative, transactions costs and other costs. We define CRC

Adjusted EBITDA as CRC loss from continuing operations adjusted for net interest expense, income tax benefit and depreciation

and amortization further adjusted for other costs. For a reconciliation of pro forma net income (loss) to Pro Forma Adjusted

EBITDA, see page 21 (Pro Forma Adjusted EBITDA Reconciliation). For a reconciliation of CRC loss from continuing operations to

CRC Adjusted EBITDA, see page 22 (CRC Adjusted EBITDA Reconciliation). For a reconciliation of net income (loss) to adjusted

EBITDA, see page 23. For a reconciliation of net income (loss) from continuing operations to adjusted income from continuing

operations per diluted share, see page 24. We may not achieve all of the expected benefits from synergies, cost savings and

recent improvements to our revenue base. See “Risk Factors” in the prospectus supplement.

The EBITDA, Adjusted EBITDA and Pro Forma Adjusted EBITDA measures as presented in this presentation, are supplemental

measures of our performance and are not required by, or presented in accordance with, generally accepted accounting principles

in the United States (“GAAP”). The EBITDA, Adjusted EBITDA and Pro Forma Adjusted EBITDA measures are not measures of

our financial performance under GAAP and should not be considered as alternatives to net income or any other performance

measures derived in accordance with GAAP or as an alternative to cash flow from operating activities as measures of our liquidity.

Our EBITDA, Adjusted EBITDA and Pro Forma Adjusted EBITDA measures may not be comparable to similarly titled measures of

other companies and are not measures of performance calculated in accordance with GAAP. We have included information

concerning the EBITDA, Adjusted EBITDA and Pro Forma Adjusted EBITDA measures in this presentation because we believe

that such information is used by certain investors as measures of a company’s historical performance. We believe these measures

are frequently used by securities analysts, investors and other interested parties in the evaluation of issuers of equity securities,

many of which present EBITDA and Adjusted EBITDA and similar measures when reporting their results. Our presentation of the

EBITDA, Adjusted EBITDA and Pro Forma Adjusted EBITDA measures should not be construed as an inference that our future

results will be unaffected by unusual or nonrecurring items.

Use of Non-GAAP Financial Measures

2

Key Investment Highlights

3

Premier Pure Play Behavioral Health Service Provider – Leading

Platforms in Both the U.S. and the U.K.

Large Addressable Market with Attractive Underlying Industry Tailwinds

– $27bn Domestic Market and $22bn U.K. Market

Strong Growth and Diversification Through a Series of Transformational

Acquisitions

Management Team with Track Record of Creating Shareholder Value –

Strong Operators and Skilled Acquirors

Multiple Levers to Support Sustainable, Long-term Growth – 10% Annual

Organic Revenue Growth and 67% Revenue CAGR Over Last 4 Years

Business Mix Well Diversified by Geography, Service and Payor

Strong Financial Performance and Cash Flow Dynamics – EBITDA and

EPS CAGR of 83% and 79%, respectively, from 2011-2014

Recent Developments

On May 11, 2015, Acadia completed a public offering of 5,175,000 shares of common stock

The shares of common stock were sold at an offering price of $66.50 per share, for net proceeds to

Acadia of approximately $331 million

Acadia intends to use the proceeds from the offering to fund its acquisition activity, repay

outstanding indebtedness on the revolving line of credit under its existing amended and restated

senior credit agreement, and for general corporate purposes

On June 2, 2015 Acadia announced 3 transactions with 17 facilities and approximately 500 beds:

Care UK’s behavioral health operations, including 15 facilities with approximately 300 beds

One 42-bed facility in the UK from Choice Lifestyles

Belmont Behavioral – 47 beds to be acquired from a not-for-profit on July 1, 2015

Expected impact of these transactions offset dilution of offering and Company still has approximately

$300 million Revolver fully available to finance further accretive acquisitions

2015 Adjusted EPS expected to be in a range of $2.12 to $2.15 without effect of any future

transactions

4

Premier Pure Play Behavioral Health Service Provider

5

(1) Pro forma for the acquisitions of PiC, McCallum, CRC, QAM, Choice, Pastoral and MildmayOaks. See reconciliation on slide 21.(2) Market cap based on closing stock price of $73.71 on 05/28/15.

Acadia Overview

Acadia is a leading provider of inpatient and outpatient

behavioral health services established in 2005 to acquire,

develop and operate behavioral healthcare facilities

In February 2011, five members of the former Psychiatric

Solutions senior management team joined Acadia to

build the pre-eminent behavioral healthcare company

M&A strategy has created significant momentum, with

224 locations and 9,000 beds in U.S., Puerto Rico and UK (1)

Financial Highlights

2014 PF Adjusted EBITDA(1): $400 million

Acquisition Spend Since 2011: $3.0 billion

Market Cap(2): $5.3 billion

2014 PF Revenue(1): $1.7 billion

U.S. Geographic Footprint

Co

mp

reh

en

siv

e C

on

tin

uu

m

of

Beh

avio

ral

Healt

hcare

1

Acute

Inpatient

Residential

Recovery

Weight

Management

Eating

Disorder

Outpatient

Community

Services

Youth

Services

CTCs

Existing Facilities

Headquarters

AmiCare Facilities

BCA Facilities

Greenleaf

Delta Medical Center

San Juan Capestrano Hospital

Puerto Rico

North Tampa

Cascade

Pacific Grove

Longleaf

The Refuge McCallum

Skyway House

CRC Health

QAM

Premier Pure Play Behavioral Health Service Provider

6

Leading Platform in the U.K.

Established in 1985, PiC has since grown to comprise

approximately 1,500 beds in 29 facilities located

across the U.K.

PiC is a market leader in the provision of secure

accommodation for mentally ill patients and a leading

provider of care, in both secure and non-secure

settings

Well maintained, flexible mental health hospitals with

outstanding service records

1

PiC Share of the Independent Sector (1)

Community

Rehab – 7% Acute – 5%

Low – 23%

Medium – 21%

High

(1) Laing & Buisson 2013 UK Market Report on Mental Health Hospitals & Community Mental Health Services.

Facility Locations

#2 U.K.

Private-Sector

Provider with 16%

Market Share (1)

658627_1.wor (NY008LJT)


7

2

$16bn U.S.

Acute

Behavioral

Health

Hospital

Market (1)

Acute behavioral health hospital market estimated to grow

to $18.4bn by 2020 (1)

18.5% of Americans aged 18 and older suffer from

diagnosable mental disorders and ~4% suffer from

a serious mental illness (2)

Market is poised for growth due to increased

awareness of mental health illnesses and

treatment acceptance

Stable pricing and inpatient ALOS combined with

increased admissions and occupancy trends

Significant barriers to entry due to high degree of

specialization and regulation

Highly fragmented industry provides compelling

consolidation opportunity

($ in billions)

$15.9 $16.2 $16.5 $16.8 $17.2

$17.7 $18.4

`14E `15E `16E `17E `18E `19E `20E

U.S. Acute Behavioral Health Hospital Market (1)

$22bn U.K.

Mental

Health

Market (3)

Large addressable market: ~8.7 million people currently

have mental healthcare disorders in the U.K. (3)

NHS has 70% share of total mental health hospital beds

vs. 30% for independent providers (3)

The independent provider market has grown significantly

as a result of NHS reducing bed capacity and increased

hospitalization rates

Outsourcing demand is expected to continue to

increase given additional bed closures and NHS

lacking capital to address specific local demand

patterns

Significant consolidation opportunity exists as independent

market is highly fragmented, with the largest four players

accounting for ~58% market share

(thousands of beds)

NHS Bed Capacity (3)

__________________(1) SAMHSA – “Projections of National Expenditures for Treatment of Mental and Substance Use Disorders” – 2014.(2) SAMHSA – “Results from the 2013 National Survey on Drug Use and Health: Mental Health Findings” – 2014.(3) Laing & Buisson 2013 Market Report.

29 29 28 28

27 26

25 24

22

`04 `05 `06 `07 `08 `09 `10 `11 `12

-24%

__________________(1) SAMHSA – “Projections of National Expenditures for Treatment of Mental and Substance Use Disorders” – 2014.(2) SAMHSA – “Results from the 2013 National Survey on Drug Use and Health: Summary of National Findings” – 2014.(3) National Center for Health Statistics, 2010. 8

$11bn U.S. Substance Abuse Centers Market (1) Nearly 2.4 million People are

Dependent on Opioids in the U.S. (2)

Painkillers79%

Heroin21%

$8 $9 $9 $9 $10 $11 $11 $12 $12 $13 $13 $14

0.0

2.0

4.0

6.0

8.0

10.0

12.0

14.0

$16.0

'09 '10 '11 '12 '13 '14 '15 '16 '17 '18 '19 '20

($ in billions)

Substantial Current Need for Treatment (2) Heroin Use Growing > 15% Annually Since 2007,

Amongst Persons Aged 12 or Older (2)

No SpecialtyFacility

TreatmentReceived(20.2mm)

89.1%

ReceivedTreatment at

SpecialtyFacility

(2.5mm)10.9%

161

335

0

100

200

300

400

2007 2012

“It’s clear that opiate addiction is an urgent – and growing –

public health crisis.”

U.S. Attorney General Eric Holder March 10, 2014

Roughly 100 Americans Die Each Day Due to Drug

Overdoses, Surpassing Car Accidents as the #1

Cause of Accidental Deaths (3)

(In Thousands of

Users in Past Month)

22.7mm People

Need Substance

Abuse Treatment

as of 2013

2 Large Addressable Market with Attractive Underlying Industry Tailwinds

9

The Mental Health Parity and

Addiction Equity Act of 2008

provides for equal coverage

between mental health services

and physical medical health

services

Forbids employers and

insurers from placing

stricter limits on mental

healthcare compared to

other health conditions for

group plans of 51

employees or more

Provides incentives and

requirements for employers

to provide comparable

coverage for mental health

and physical health

Projected to affect more

than 113 million Americans

Promotes positive

awareness of mental health

issues and environment

Reform is expected to provide

25 million previously uninsured

Americans with insurance,

including low-income, single,

childless adults

Enables most people who

are now uninsured to get

insurance through an

insurance exchange, which

may result in healthcare

coverage for more than

90% of Americans

Significantly expands

options for affordable

coverage through Medicaid

expansion

Healthcare Exchanges will

be subject to the Mental

Health Parity, resulting in

more individuals having

comparable coverage for

mental health and physical

health

Affordable Care Act

Mental Health Parity

2

Legislative Tailwinds Expected to Further Increase Demand for Behavioral Health Services


Strong Growth and Diversification Through a Series of

Transformational Acquisitions

(1) Pro forma Acadia, YFCS and PHC.(2) Number of beds, number of facilities, revenue and adjusted EBITDA pro forma for the acquisitions of PiC, McCallum, CRC, QAM, Choice, Pastoral and MildmayOaks. Bed mix and payor mix pro

forma for the acquisitions of PiC, McCallum, CRC and QAM. See reconciliation on slide 21.

Pro Forma FY 2011 (1)

$333 $1,673

Pro Forma FY 2014 (2)

# of

Facilities

Revenue($ in mm)

Bed

Mix

10

~1,970 Beds

29

~8,600 Beds

208

Acute27%

RTC / Other73%

Acute30%

Specialty31%

U.K.18%

RTC21%

3

# of beds increased by >4x

Acquired ~180 facilities

$1.3bn increase in Revenue

Attractive and diversified bed mix

Added meaningful specialty mix

through CRC acquisition

Significantly reduced lower

margin RTC mix vs. 2011

$54 / 16.2%

18 U.S. States

$400 / 23.9%

37 U.S. states, Puerto Rico +

England, Wales, Scotland

Adjusted

EBITDA

($ in mm) /

Margin

Payor

Mix

Medicare8%

Comm‘l20%

Medicaid67%

Self-Pay/Other5%

Medicare 12%

Comm‘l 23%

Medicaid 33%

NHS 18%

Self-Pay/Other 14%

Margin Expansion: +770 bps

Reduced Medicaid mix to 33% vs.

67% in 2011

Grown non-government mix to

37% vs. 25% in 2011

Added significant geographic

reach and diversification

Key Highlights

Geographic

Footprint

11

Key Dates Announced: October 29, 2014

Closed: February 11, 2015

Transaction

Value $1.175 billion (1)

Number of

Facilities

35 specialty residential facilities

81 comprehensive treatment facilities

2014

Revenue $452 million (2)

2014

EBITDA

$115 million pre-synergies (3)

$130 million post-synergies (4)

Strong Growth and Diversification Through a Series of

Transformational Acquisitions3

Case Study: CRC Health Group

Purchase

Multiple

10.2x pre-synergies

9.0x post-synergies (4)

Leading substance abuse treatment provider in the

United States with very strong brand and well

positioned assets

Favorable underlying and unmet need in addiction

disorders, with opportunities for bed expansions and

consolidation

Attractive payor mix with diverse, reliable base of

commercial and government payors

Financially compelling acquisition - EBITDA

margins in the mid-20s

Transaction RationaleAcquisition Overview

(1) Transaction value at time of announcement.(2) Revenue after provision for doubtful accounts.(3) See reconciliation on slide 22.(4) Synergies expected to be realized within 24 months of acquisition. See “Risk Factors” in our SEC filings.

12

4

Industry Leading Management Team

Management Team with Track Record of Creating Shareholder

Value – Strong Operators and Skilled Acquirors

Bruce Shear

Executive Vice

Chairman

Years in Industry: 35

Brent Turner

President


Ron Fincher

COO


Steve Davidson

Chief Development

Officer


Chris Howard

EVP,

General Counsel


David Duckworth

CFO


Division IVP Clinical

ServicesDivision IIIDivision II Division VDivision IV

Residential

RecoveryPiC CTCs

Joey Jacobs

Chairman & CEO


13

Proven History of Successfully Acquiring, Integrating and Operating Behavioral Health Businesses

YFCS

PHC

3 facilities from Haven

Behavioral Health

Timberline Knolls

Park Royal Hospital

AmiCare

BCA

# of Facilities

# of Beds

6

400

29

1,970

51

4,200

78

5,800

2015

2014

2012

2011

2010

2013

42

3,100

Greenleaf Center

Delta Medical Center

San Juan Capestrano

Hospital

North Tampa

Behavioral

The Refuge

Longleaf Behavioral

Cascade Behavioral

Pacific Grove

Partnerships in Care

McCallum Place

Skyway House

Croxton

CRC Health Group

Quality Addiction

Management

3 facilities from

Choice Lifestyles

Pastoral Care Group

Mildmay Oaks

Care UK

Belmont Behavioral

Health

224

9,600

218 facilities and 9,200

beds added since 2010

4Management Team with Track Record of Creating Shareholder

Value – Strong Operators and Skilled Acquirors

14

Same Facility

Revenue Growth

Bed Expansions and

Conversions

Margin Opportunity

Targeted Acquisition

Pipeline

Growth supported by positive secular demand trends, market share gains, stable pricing and

inpatient average length of stay

Consistent track record of same facility revenue growth (~10% average over the last four

quarters)

Increase occupancy of existing beds and increasing mix of higher margin services

Improve profitability at underperforming facilities by addressing

capital constraints and improving management systems

Advantages of scale drive savings in group purchasing, benefits and

risk management

Expanding bed count at existing facilities to meet demand – significantly cash flow

accretive

Opportunity from conversion of residential treatment center beds to acute beds

Added over 1,200 beds since 2011

Significant acquisition growth runway exists given

industry fragmentation and attractive valuations

Proven strategy to identify, acquire, integrate and

improve facility operations

Solidifies existing market share and enables entry into

new markets

Historically accretive to earnings

Multiple Levers to Support Sustainable, Long-term Growth5

D

C

B

A

15

Multiple Levers to Support Sustainable, Long-term Growth5

Same Facility Revenue Growth Beds Expansion

12.3%

9.3% 10.0%10.8%

0.0%

5.0%

10.0%

15.0%

2011 2012 2013 2014

Capital Deployed on AcquisitionsAdjusted EBITDA Margin Expansion (1)

Average of 10.6%

$206

$443

$164

$739

$1,422

2011 2012 2013 2014 2015YTD

# of Beds

16.3%

360bps 50bps 100bps 21.4%

FY11 2012 2013 2014 FY14

($ millions) Total:

$3.0bn

76

281325

378

185

2011 2012 2013 2014 1Q15

1,200+ beds added since 2011

A B

C D500+ bps margin expansion since 2011

(2)

Source: SEC filings and company press release.(1) Adjusted EBITDA margin calculated as Adjusted EBITDA divided by revenue after provision for doubtful accounts.(2) 2015YTD capital deployed includes net cash paid for acquisitions, repayment of assumed CRC debt and issuance of common stock in connection with CRC acquisition. Also includes the

subsequent acquisitions of Pastoral, Choice and MildmayOaks completed on April 1, 2015.

Business Mix Diversified by Geography, Service and Payor

Pro Forma FY 2014 Revenues (1)

(1) Pro Forma for the acquisitions of PiC, McCallum, CRC and QAM. Medicaid includes 38 state payors and other payment providers i ncluding educational departments and state governments.

16

UK, 18%

AR, 8%

PA, 6%

AZ, 5%TN, 5%IN, 4%

FL, 4%

CA, 4%

MS, 3%

TX, 3%

MI, 3%

NC, 3%

GA, 3%MO, 3%

IL, 3%LA, 2%

NV, 2%

OH, 2%

MT, 2%VA, 2%

PR, 2%

MA, 2% WA, 2%

WV, 1%DE, 1%

NM, 1%

OK, 1%

OR, 1%

UT, 1%

WI, 1%

Other 9 States, 2%

Significant

Geographic

Diversification

Attractive and

Well Diversified

Payor and Bed

Mix

Geographic diversification with current operations across 37 U.S. States, Puerto Rico and U.K.

Receive Medicaid payments from 38 states, the District of Columbia and Puerto Rico

Medicaid reimbursements are primarily for services provided to children and adolescents

No facility accounts for more than 4% of total facility revenue

Payor Mix – Pro Forma FY 2014 (1)

Self-Pay/Other

14%

Medicare 12%

Comm‘l23%

Medicaid 33%

NHS England 18%

6

Bed Mix – Pro Forma FY 2014 (1)

Acute30%

Specialty31%

U.K.18%

RTC21%

17

1Q15 Key Highlights

Revenue grew 82% yoy to $365.8 million, driven by the

acquisitions of CRC and PiC, as well as continued strong

organic growth

Same-facility revenue grew by 8.5% yoy, driven by the

addition of 441 new beds yoy to existing facilities

Adjusted EBITDA grew by 100% to $78.7 million

Consolidated EBITDA margin grew 200 bps yoy to 21.5%

U.S. facility EBITDA margin expanded 260 bps yoy to

26.3%. U.K. facility EBITDA margin was 25.7%

Adjusted EPS grew 54% yoy to $0.43 (2)

1

2

3

Acquisition Activity

Acadia completed six acquisitions over the last 12 months

ended March 31, 2015, adding 61 inpatient behavioral health

facilities with more than 3,800 beds, as well as 88 CTCs

In 1Q15, Acadia completed the acquisition of CRC Health

and Quality Addiction Management (7 CTCs in Wisconsin)

Also completed three acquisitions in the U.K. on April 1, 2015

The acquisition of Pastoral Healthcare, Mildmay Oaks,

and two facilities from Choice Lifestyles added five

facilities and 180 beds to U.K. operations

5

Strong Financial Performance and Cash Flow Dynamics7

Revenue Growth

$201.4

$365.8

$713.4

$1,004.6

1Q14 1Q15 FY13 FY14

$39.3

$78.7

$145.3

$215.5

1Q14 1Q15 FY13 FY14

($ millions)

Adjusted EBITDA Growth (1)

($ millions)

4

Source: SEC filings and company press release.(1) See slide 23 for reconciliation of net income to adjusted EBITDA.(2) See slide 24 for reconciliation of income from continuing operations to adjusted EPS.

Strong Financial Performance and Cash Flow Dynamics

Revenue

$35

$81

$145

$215

0

50

100

150

200

$250

2011 2012 2013 2014

18

Adjusted EBITDA – Capex (1)

Adjusted EBITDA

($ millions )

$216

$407

$713

$1,005

0

250

500

750

1,000

$1,250

2011 2012 2013 2014

($ millions)

7

$25

$53

$76

$102

0

50

100

$150

2011 2012 2013 2014

Adjusted EPS (2)

($ millions)

Margin 16.3% 19.9% 20.4% 21.4%

$0.27

$0.66

$1.07

$1.54

0.00

0.50

1.00

1.50

$2.00

2011 2012 2013 2014

($/share)

Source: SEC filings and company press release.(1) See slide 23 for reconciliation of net income to adjusted EBITDA.(2) See slide 24 for reconciliation of income from continuing operations to adjusted EPS.

Key Investment Highlights

19

Premier Pure Play Behavioral Health Service Provider – Leading

Platforms in Both the U.S. and the U.K.


– $27bn Domestic Market and $22bn U.K. Market

Strong Growth and Diversification Through a Series of Transformational

Acquisitions

Management Team with Track Record of Creating Shareholder Value –

Strong Operators and Skilled Acquirors

Multiple Levers to Support Sustainable, Long-term Growth – 10% Annual

Organic Revenue Growth and 67% Revenue CAGR Over Last 4 Years

Business Mix Well Diversified by Geography, Service and Payor

Strong Financial Performance and Cash Flow Dynamics – EBITDA and

EPS CAGR of 83% and 79%, respectively, from 2011-2014

Appendix

20

Pro Forma Adjusted EBITDA Reconciliation

Description of Adjustments Pro Forma Adjusted EBITDA Reconciliation

21

a. Represents the equity-based compensation expense of Acadia of $10.1 million and CRC

of $14.2 million for the year ended December 31, 2014.

b. Represents debt extinguishment costs related to CRC’s March 28, 2014 refinancing.

c. Represents management fees paid by CRC to its private equity investor that were

eliminated in connection with the acquisition of CRC.

d. Represents non-cash impairment of goodwill and other long-lived assets recorded by CRC.

e. Represents non-cash gains and losses incurred by CRC on disposals of assets.

f. Represents legal settlement costs and legal fees incurred by CRC primarily related to the

investigation by the Office of the Attorney General of the state of Tennessee at its New

Life Lodge facility. Costs and expected settlement amounts were accrued in 2013 and the

settlement was finalized and paid in April 2014.

g. Represents the cost savings associated with CRC’s restructuring of its corporate office in

the first quarter of 2014 and the restructuring of its youth services in 2014 as if

restructuring occurred on January 1, 2014. These cost savings synergies related primarily

to headcount reductions in youth programs as well as to the reduction of other corporate

overhead expenses.

h. Represents the cost savings synergies associated with CRC’s acquisition of Habit of $0.5

million, which is reflected as an adjustment for the period prior to the March 1, 2014

acquisition date and pro-rated for the year ended December 31, 2014. These cost savings

synergies related primarily to headcount reductions as well as to the reduction of other

corporate overhead expenses.

i. Represents the pro forma effect of cost savings synergies associated with Acadia’s

acquisition of CRC of approximately $15 million. Acadia anticipates that it will incur

approximately $2 million in costs to achieve these cost savings, including costs for

severance. Acadia expects to incur a majority of these costs during the year ending

December 31, 2015, and to realize these cost savings synergies over the 24 month period

following completion of the acquisition of CRC. These cost savings synergies relate

primarily to headcount reductions as well as to the reduction in certain professional and

outside services fees across various departments and other general and administrative

expenses. The actual relative proportion of synergies achieved through workforce

reductions and non-headcount savings could differ materially from the estimates. Actual

cost savings, the costs required to realize the cost savings and the source of the cost

savings could differ materially from these estimates and Acadia cannot assure you that it

will achieve the full amount of cost savings on the schedule anticipated or at all.

PF FY

December 31, 2014

Pro Forma Net Income $115.2

Interest expense, net 108.9

Income tax provision 56.4

Depreciation and amortization 57.0

Pro Forma EBITDA $342.2

a) Equity-based compensation expense 24.3

b) Debt extinguishment costs 11.6

c) Management fees 2.3

d) Goodwill and asset impairment 1.1

Total Pro Forma Adjusted EBITDA $399.7

Source: SEC filings and company press release.

e) Gain and losses on asset disposals 1.5

f) Legal settlement costs 0.1

g) Restructuring savings 1.1

h) Habit acquisition synergies 0.5

i) Cost savings synergies 15.0

Loss from discontinued operations, net of taxes 4.7

$mm

CRC Adjusted EBITDA Reconciliation

22

a. Consists of $1.5 million of pre-acquisition EBITDA for Habit, which was

acquired on February 28, 2014 and also $0.5 million cost-savings

related to Day 1 headcount reduction completed at the close of the

acquisition.

b. Represents management fees paid by CRC to its private equity

investor.

c. Represents the equity-based compensation expense of CRC.

d. Represents legal settlement costs and legal fees incurred by CRC

primarily related to the investigation by the Office of the Attorney

General of the state of Tennessee at its New Life Lodge facility. Costs

and expected settlement amounts were accrued in 2013 and the

settlement was finalized and paid in April 2014.

e. Represents non-cash impairment of goodwill and other long-lived

assets recorded by CRC.

f. Represents non-cash gains and losses incurred by CRC on disposals

of assets.

g. Represents debt extinguishment costs related to CRC’s March 28.

2014 refinancing.

h. Represents non-recurring items consisting of professional fees and

bonuses paid in relation to the Habit acquisition, recruiting fees,

severance expenses and referral bonuses and professional fees

incurred in connection with a contemplated IPO.

i. Represents cost savings primarily consisting of salaries and benefits

from headcount reduction in connection with CRC’s Corporate and

Youth restructuring initiatives.

FY

December 31, 2014

Net Income ($27.0)

Interest expense, net 72.7

Income tax provision 6.6

Depreciation and amortization 21.3

EBITDA $73.6

a) Habit Adjustments 2.0

Management fees 2.3

Stock-based compensation expense 14.2

Legal costs 0.1

Goodwill and asset impairments 1.1

(Gain) / Loss on disposal of assets 1.5

Loss on debt retirement 11.6

Other non-recurring / transaction costs 7.8

Restructuring initiative cost savings 1.1

Total Adjusted EBITDA $115.3

Description of Adjustments Adjusted EBITDA Reconciliation


$mm

b)

c)

d)

e)

f)

g)

h)

i)

Adjusted EBITDA Reconciliation

Description of Adjustments

Adjusted EBITDA Reconciliation

23

a. Represents the equity-based compensation of Acadia.

b. Represents debt extinguishment costs related to the repayment of $52.5 million of the Company's 12.875% Senior Notes due 2018 on March 12, 2013, including a prepayment

premium of $6.8 million and the write-off of $2.6 million of deferred financing costs.

c. Represents the change in fair value of foreign currency derivatives purchased by Acadia related to its acquisition of Partnerships in Care on July 1, 2014 and to its acquisitions in the

U.K. in April 2015 (for the quarter ended on March 31, 2015).

d. Represents transaction-related expenses incurred by Acadia related to acquisitions.

e. Represents the management fees paid by Acadia to its equity sponsor prior to the termination of the professional services agreement between Acadia and its equity sponsor on

November 1, 2011.

Year Ended December 31,

Net Income

Provision for income taxes

Interest expense, net

Depreciation and amortization

EBITDA

a) Equity-based compensation expense

b) Debt extinguishment costs

c) Gain on foreign currency derivatives

d) Transaction-related expenses

Adjusted EBITDA


e) Sponsor management fees

Loss from discontinued operations,

($34.9)

(5.3)

9.2

4.3

($25.0)

17.3

-

-

41.5

$35.2

1.3

1.7

2011

$20.4

12.3

29.8

8.0

$70.6

2.3

-

-

8.1

$81.0

-

0.1

2012

$42.6

26.0

37.3

17.1

$123.6

5.2

9.4

-

7.2

$145.3

-

0.7

2013

$83.0

42.9

48.2

32.7

$207.0

10.1

-

(15.3)

13.7

$215.5

-

0.2

2014

$13.1

7.8

9.7

5.4

$35.9

1.8

-

-

1.6

$39.3

-

-

2014

Three Months Ended March 31,

$14.6

6.6

22.1

13.1

$56.5

3.9

-

(0.1)

18.4

$78.7

-

-

2015$mm

Adjusted EPS Reconciliation

Description of Adjustments

Adjusted Income from Continuing Operations per Diluted Share

24

a. Represents debt extinguishment costs related to the repayment of $52.5 million of the Company's 12.875% Senior Notes due 2018 on March 12, 2013, including a prepayment

premium of $6.8 million and the write-off of $2.6 million of deferred financing costs.

b. Represents the change in fair value of foreign currency derivatives purchased by Acadia related to its acquisition of Partnerships in Care on July 1, 2014 and to its acquisitions in the

U.K. in April 2015 (for the quarter ended on March 31, 2015).

c. Represents transaction-related expenses incurred by Acadia related to acquisitions.

d. Represents the management fees paid by Acadia to its equity sponsor prior to the termination of the professional services agreement between Acadia and its equity sponsor on

November 1, 2011.

e. Represents the income tax provision adjusted to reflect the aggregate tax effect of the adjustments to income (loss) from continuing operations described above based on effective tax

rates.

Income (loss) from continuing operations

Income (loss) from continuing operations

before income taxes

a) Debt extinguishment costs

b) Gain on foreign currency derivatives

c) Transaction-related expenses

Adjusted income from continuing operations

per diluted share


d) Sponsor management fees

Provision for income taxes

Year Ended December 31,

($33.2)

($38.5)

-

-

41.5

$0.27

1.3

(5.3)

2011

$20.5

$32.8

-

-

8.1

$0.66

-

12.3

2012

$43.3

$69.2

9.4

-

7.2

$1.07

-

26.0

2013

$83.2

$126.2

-

(15.3)

13.7

$1.54

-

42.9

2014

$13.0

$20.8

-

-

1.6

$0.28

-

7.8

2014

Three Months Ended March 31,

$14.6

$21.2

-

(0.1)

18.4

$0.43

-

6.6

2015

Adjusted income from continuing operations $5.0 $25.6 $53.6 $85.0 $14.0 $27.1

Weighted-average shares outstanding – diluted (mm) 18.8 38.7 50.3 55.3 50.5 62.9

$mm, except for number of shares and adjusted

income from continuing operations per share

e) Income tax provision/benefit reflecting tax effect of

adjustments to income (loss) from continuing operations 0.6 (15.4) (32.2) (39.5) (8.4) (12.5)

Documents

Jefferies 2015 Healthcare Conference...(2) SAMHSA –“Results from the 2013 National Survey on Drug Use and Health: Summary of National Findings” –2014. (3) National Center for