Photos are a bit too distant to determine the problem, but I'd guess that was more winter damage than a disease problem. Can you provide closer photos?

Thanks @gardengal48. If it is winter damage, how should we proceed? Here are some more photos:

I'd say winter damage. Check out this link that discusses winter damage on rhodies from a previous harsh winter and compare photos.

Just prune out the stems with the dried up, curled leaves. It looks like there is some green on the back of the plant - that can be left in place as well as any branches that might show some damage but are mostly green. You may be removing a substantial portion of the plant (can't tell for sure, even with the additional photos) but don't panic. It will put out new growth although it may take a few years before it regains a full, lush appearance.

Still, better than having to replace entirely.