CompScript, Inc. signs letter of intent to acquire Medical Services Consortium, Inc.

BOCA RATON, FL--(BUSINESS WIRE)--November 13, 1996--

Company Also Signs Lease Agreement to Open New Location in Tampa,

Florida

CompScript, Inc. (Nasdaq SmallCap Market: CPRX), a provider of integrated pharmacy services to the long-term care and sub-acute care industries, today announced that it has signed a letter of intent to acquire Medical Services Consortium, Inc. ("MSC"). Based in Miami, Florida, MSC is a privately-held provider of institutional pharmacy and related services serving long-term care facilities primarily located in southern Florida's Dade, Broward and Monroe counties. MSC has a 1996 annual revenue run rate of approximately $9 million. Assuming the successful completion of the acquisition, CompScript's 1997 annual revenue run rate will approach $30 million.

The acquisition, which is subject to, among other things, the completion of due diligence by both parties and the signing of a definitive agreement, is expected to close on or before December 31, 1996. Specific terms were not disclosed.

Brian Kahan, Chairman and Chief Executive Officer of CompScript, Inc., stated, "Coupled with the May 1996 acquisition of Mobile, Alabama-based Delta Pharmacy Services, Inc., this acquisition would significantly strengthen CompScript's presence in the southeastern United States. Strong operational and philosophical synergies exist between our companies, as both CompScript and MSC are expanding their institutional pharmacy and home health infusion businesses, while utilizing their presence in each as a foundation upon which to diversify into other areas along the continuum of care."

Mr. Kahan continued, "Significantly, both companies are actively providing pharmacy services to the managed care industry. The proposed combination of CompScript and MSC would allow insurers and managed care organizations in South Florida to negotiate with a single company serving the majority of this region. We believe that this would allow for greater negotiating power and the delivery of a superior product to our clients and, importantly, to individual recipients of managed care."

Paul Eger, Chief Executive Officer of MSC, commented, "CompScript brings an innovative approach to the delivery of pharmacy services and has an outstanding industry reputation as a growing provider of integrated pharmacy services. CompScript boasts an exceptionally strong management team, advanced management information systems and a similar growth strategy as MSC. We look forward to a long and mutually beneficial relationship."

CompScript also announced that, in response to increased customer demand, it has signed a lease agreement to open an institutional pharmacy in Tampa, Florida to provide pharmacy and pharmacy related services to long-term care and sub-acute care facilities in this area. This new facility is scheduled to open in January 1997.

This press release contains forward looking statements which involve numerous risks and uncertainties. Actual results could differ materially from those anticipated in such forward looking statements as a result of certain factors, including those set forth in the Company's filings with the Securities and Exchange Commission.

CompScript, Inc. is a comprehensive provider of pharmacy management services to managed care networks, long-term and sub-acute care facilities, home health patients and recipients of managed care. These services include pharmacy services and pharmacy benefits management, infusion therapy, mail order and consulting.

CONTACT: CompScript, Inc.

Brian A. Kahan

Chief Executive Officer

[phone]

or

INVESTOR RELATIONS COUNSEL:

The Equity Group Inc.

Devin Sullivan, [phone]

Robert Goldstein, [phone]