Alliance HealthCard 2Q Profit Rises 57 Percent.

ATLANTA -- Alliance HealthCard, Inc. (OTCBB: ALHC) said Tuesday its second quarter profit rose 57 percent on a 22% increase in revenue. The benefit solutions company reported continuing revenue growth in its core membership programs through increased distribution from retail marketing partners. The growth was accompanied by improved gross margins.

Alliance HealthCard said net income for the January-through-March period increased to over $723,000, up from net income of $462,508 in the same period a year ago.

On a per-share basis, earnings increased from $.03 to $.05 per share, up 57%, aided by the recent merger between Benefit Marketing Solutions ("BMS") and Alliance Healthcard. Revenue rose 22 percent to $4.14 million.

"I am pleased with our continued year over year revenue growth and the operating results of our core business," said Danny Wright, Alliance HealthCard's Chief Executive Officer. "Given the resources dedicated to the recent merger during the second quarter, we were particularly pleased that we maintained such strong operating results. With the integration of the two companies now almost complete, we anticipate some synergies that should have a meaningful impact on operating results in future quarters. We will continue to pursue our strategy of developing new markets and channels of distribution with an improved product base."

Alliance HealthCard (OTCBB: ALHC) is a licensed discount medical provider organization (DMPO) that provides individuals and families with discounted pharmacy, medical, dental, hospital, vision, and various other health services through a half million-provider locations across the country. With the combination of the companies, additional services brought by BMS and Alliance are now part of the portfolio of the combined companies. Some of the services added are: road side assistance, AD&D insurance, warranty protection, identity theft, credit monitoring, and various entertainment and lifestyle benefits.

Mr. Wright further stated that the newly combined companies are a significant leader in the industry serving a very broad range of clients. Those clients include insurance companies, banks, consumer finance organizations, retail pharmacies and employers. The company is now positioned as the most cost effective solution for discount medical programs and other non-insurance benefits in the industry.

Safe Harbor Statement under the Private Securities Litigation Reform Act:

This press release contains "forward-looking statements" within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, Section 27A of the Securities Act of 1933, as amended and pursuant to the Private Securities Litigation Reform Act of 1995. Such forward-looking statements may relate to financial results and plans for future business activities, and are thus prospective. Such forward-looking statements are subject to risks, uncertainties and other factors that could cause actual results to differ materially from future results expressed or implied by such forward-looking statements. Among the important factors that could cause actual results to differ materially from those indicated by such forward-looking statements are competitive pressures, loss of significant customers, the mix of revenue, changes in pricing policies, delays in revenue recognition, lower-than-expected demand for the Company's products and services, general economic conditions, and the risk factors detailed from time to time in the Company's periodic reports and registration statements filed with the Securities and Exchange Commission. Any forward-looking statements are made pursuant to the Private Securities Litigation Reform Act of 1995 and, as such speak only as of the date made.