CYBeR-CARE Announces Letter of Intent for Sale of Air Response Unit.Business Editors/Health & Medical Writers BOYNTON BEACH Boynton Beach, city (1990 pop. 46,194), Palm Beach co., SE Fla., on the Atlantic coast; inc. 1920. A major suburban area, it is also a beach resort and vegetable-shipping point. , Fla.--(BUSINESS WIRE)--Aug. 11, 2000 CYBeR-CARE, INC inc - /ink/ increment, i.e. increase by one. Especially used by assembly programmers, as many assembly languages have an "inc" mnemonic. Antonym: dec. . (Nasdaq:CYBR CYBR Copy Byte Right ) today announced that it has signed a Letter of Intent to sell its Air Response division for $8.5 million plus assumption of all debt. The buyers include Louis Capece, Jr., chief executive officer of Air Response and a member of the Board of Directors of CYBeR-CARE, and Dennis Rommel, a private investor. The Company has received a non-refundable deposit of CYBeR-CARE common stock valued at $1 million. Under the terms of the transaction, scheduled to close in the third quarter, the purchasers will pay an additional $1.4 million in CYBeR-CARE common stock and CYBeR-CARE will receive a short-term note at 10 percent for $6.1 million collateralized by substantially all of the assets of the Air Response division. The transaction also calls for the assumption of all of the Air Response debt. The final terms of the transaction are subject to the approval of the Board of Directors of CYBeR-CARE. Mr. Capece will abstain from voting. The Company also will obtain a fairness opinion Fairness Opinion A report put together by qualified analysts or advisors providing to key decision makers an evaluation of and facts about a merger or acquisition. Notes: A fairness opinion serves as a document used for guidance in a merger, takeover, or acquisition. from an independent financial advisor. "The sale of the Air Response business is an important step in the transformation of CYBeR-CARE to a leading healthcare technology company," said Michael Morrell, Chairman and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of CYBeR-CARE. "Most immediately, it eliminates substantially all of our long-term debt Long-Term Debt Loans and financial obligations lasting over one year. Notes: For example debts obligations such as bonds and notes which have maturities greater than one year would be considered long-term debt. and provides management more time to devote to our Electronic HouseCall(TM) products." CYBeR-CARE anticipates a gain of approximately $1 million in fiscal 2000 from the sale of the unit. In connection with the sale, and under the terms announced on March 29, 2000, CYBeR-CARE will pay a dividend of five percent of the sale price to shareholders of the Company. Additional information on the dividend will be disclosed when the sale is completed. Based in Boynton Beach, FL, CYBeR-CARE is a technology assisted health management company with four business lines. The Company's Electronic HouseCall(TM) System, a patented Internet-based technology system provides for the remote monitoring of individuals for health care purposes. In addition, CYBeR-CARE operates physical, occupational and speech therapy centers, an institutional pharmacy and one of the largest air ambulance air ambulance Emergency medicine A helicopter or, less commonly, a fixed wing aircraft, used to evacuate a person who requires immediate medical attention that cannot be provided at his/her current location transport services. Safe Harbor Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. Statement under the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995: The statements which are not historical facts contained in this press release are forward-looking statements that involve certain risks and uncertainties including but not limited to risks associated with the uncertainty of future financial results, additional financing requirements, development of new products, government approval processes, the impact of competitive products or pricing, technological changes, the effect of economic conditions and other uncertainties detailed in the Company's filings with the Securities and Exchange Commission. |
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