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AMERICAN CLAIMS EVALUATION SIGNS LETTER OF INTENT

 JERICHO, N.Y., May 7 /PRNewswire/ -- American Claims Evaluation, Inc. (NASDAQ: AMCE) today announced it is actively engaged in negotiations which have led to the signing of a preliminary Letter of Intent for proposed acquisition of the capital stock of Rehabilitation Achievement Center, Inc. (RAC), a privately held Illinois corporation. The proposed acquisition is to be made by payment of a fixed amount of cash at closing and an additional sum based on future earnings. As is customary, the proposed acquisition is subject to the commencement and completion of due diligence activities by American Claims, and the negotiation and consumption of a legally binding stock purchase agreement, and other contingencies.
 Rehabilitation Achievement Center was founded in 1988 by Richard Sarber and Kathy Clements who intend to remain with American Claims as executive officers of RAC. Rehabilitation Achievement Center provides post acute outpatient evaluation and treatment programs specializing in community-based rehabilitation services for children and adults who have experienced a brain injury or other neurological impairment. RAC had net revenues of approximately $4 million during its most recent fiscal year.
 American Claims Evaluation, Inc. is a health care cost containment services company in the business of verifying the accuracy of hospital bills throughout the United States submitted to its clients for payment; such clients include commercial health insurance companies, third-party administrators, health maintenance organizations and self-insured corporate clients. The company's services are designed to enable its clients to pay only for those medical services that were actually provided to the patient. The company previously announced that net earnings for the fourth quarter ended March 31, 1993 have been estimated at $.03 per share, subject to the year end audit by its Independent Accountants. It attributed its earnings to a reduction in hospital bill audits for its major client, The Travelers Insurance Company; this client recently advised the company of its intention to terminate the relationship and have such auditing conducted by Travelers' wholly owned subsidiary.
 -0- 5/7/93
 /CONTACT: Gary J. Knauer, chief financial officer of American Claims Evaluation, 516-938-8000/
 (AMCE)


CO: American Claims Evaluation, Inc. ST: New York IN: HEA SU:

TS-SH -- NY047 -- 6005 05/07/93 13:57 EDT
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Publication:PR Newswire
Date:May 7, 1993
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