Immediate (February 9, 2005)

Mike Noble

Fletcher Allen Public Relations

(802) 847-2886

Robert Resigns from Fletcher Allen Board

BURLINGTON, VT -- Elisabeth Robert, president and chief executive officer of The Vermont Teddy Bear Company, resigned her seat on Fletcher Allen Health Care's Board of Trustees today.  Robert issued the following statement:  "After discussing the matter with other board members at our meeting yesterday, I have decided to resign from the Fletcher Allen Board of Trustees, effective immediately, because I believe this will be in the best interest of the organization.  I believed it was necessary to have a discussion with the entire board before reaching this decision and yesterday's meeting was our first opportunity.

"It has been an honor to serve Fletcher Allen as a volunteer during a period of tremendous challenges. I am proud of my work as chair of the Board's Audit Committee and as a member of the Finance Committee and Compensation Committee, and I am especially proud of the enormous progress Fletcher Allen has made since I joined the board in the midst of a crisis two years ago. I brought enormous energy to this board and a persistent commitment to see it succeed. There is much work remaining to be done, but I recognize that the recent controversy surrounding one of my company's teddy bears will detract from my ability to serve effectively, and I cannot allow this to occur. I leave Fletcher Allen with great respect for my fellow board members, its skilled leaders and dedicated employees, and will continue to support the organization in any way I can," said Robert.

A resident of Charlotte, Vermont, Robert was appointed to the Fletcher Allen board by the Vermont Health Foundation in December of 2002.  She has served as the chair of the board audit committee, in addition to serving on the finance committee and the compensation and human resources committee.

"As chair of the Audit Committee and member of both the Finance and Compensation Committees, Liz brought a depth of financial acumen to the board that has been invaluable to the institution, especially during the Renaissance Project bond financing. She has been a particularly dedicated and conscientious board member during her two-year tenure." said William Schubart, chair of the Fletcher Allen board. "I accept her resignation with regret and fully understand and respect her decision to step down in view of the recent controversy."

Background on the Fletcher Allen Board of Trustees

The Fletcher Allen Board of Trustees has 18 members.  Sixteen of the 18 members are appointed by Fletcher Allen's four parent organizations: University Health Center, Fanny Allen Corporation, Vermont Health Foundation and the University of Vermont.  Each of these organizations appoints four trustees to the board, working closely together to meet the needs of the overall board.  In addition to these 16 members, the chief executive officer is an ex officio board member, and the chair of the board is elected by the other trustees. The president of the Medical Staff of Fletcher Allen also attends all board meetings by invitation but does not vote.