SANTA ANA, Calif., May 20, 2003 (PRIMEZONE) -- American Hospital Resources, Inc. (OTCBB:AMHR) recently announced the acquisition of Rx Solutions, Inc. As a licensed closed-door pharmacy and Medicaid provider, Rx Solutions, Inc. serves a long-term care base of more than 1,000 patients. Rx Solutions, Inc. provides its client patients with licensed prescription drug services and related pharmacy consulting services within both Mississippi and Alabama.
Since the December 31, 2002 audits, Rx Solutions, Inc. has expanded its base of long-term care residents from 1,000 to just over 1,400. Based on this level of business, AMHR expects Company-wide revenues for 2003 to increase to approximately $5,600,000, or a 36% increase over 2002. As a result of this contract growth, the net income from operations is expected to increase to $450,000, or an increase of over 60% compared to 2002 results.
Daniel Myers Rph., co-founder of Rx Solutions, Inc. stated, "These new contracts, coupled with our improved buying efficiencies since joining the AMHR family, should continue to present opportunities for profitable expansion. The rapid growth of the retirement population is fueling substantial patient demand for pharmacy services."
Christopher Wheeler, founder and Chief Executive Officer of AMHR stated, "We are very pleased with the rapid growth in our subsidiary, Rx Solutions, Inc. By focusing on efficient quality-oriented pharmacy operations, Rx continues to distinguish itself as a strong and growing regional competitor. Management's understanding of the relationship between client service and client retention within the marketplace, should lead to the continued expansion of Rx and AMHR."
Mr. Wheeler went on to say, "The accelerating trend toward consolidation in the pharmacy outsourcing industry continues to provide AMHR with a selection of high-quality acquisition candidates. The consolidation of regional pharmacy service providers by national pharmacy outsourcers and drug wholesalers has made the marketplace aware of the viability of the rollup model. Our business plan focuses on the acquisition of profitable strategic regional pharmacy outsourcers. We are confident that this strategy will build an organization that provides quality service while generating continuous cash flows and resulting profits."
Except for historical information contained herein, the matters discussed in this news release are forward-looking statements that involve risk and uncertainties, including but not limited to economic, competitive, governmental, political and technological factors affecting the Company's revenues, operations, markets, products and prices and other factors discussed in the Company's various filings with the Securities Exchange Commission.