GNOW American CareSource Holdings Inc (CE)

American CareSource Holdings, Inc. (NASDAQ: ANCI) announced today that it has signed a new client service agreement with HealthSCOPE Benefits, Inc., a full service claims administration and health management firm providing administrative and other support services to self-funded employers throughout the United States.

Under the agreement, American CareSource will make available its full complement of ancillary care services to HealthSCOPE Benefits' clients through its network of ancillary care providers. In turn, HealthSCOPE Benefits' payor clients will save an estimated 8-10% on the ancillary claims that American CareSource manages. These savings are expected to grow annually, as American CareSource continues to expand its provider network in HealthSCOPE Benefits' key market segments.

Commenting on today's news, David S. Boone, Chief Executive Officer of American CareSource, noted, "We are pleased to welcome HealthSCOPE Benefits as a new client and look forward to providing our ever increasing range of high quality, affordable, ancillary healthcare services to this top-notch organization. Our relationship with HealthSCOPE, a national Third Party Administrator (TPA) serving numerous union organizations, represents the attainment of another key milestone in our strategy to penetrate the all important TPA market in order to work directly with payors throughout the industry. We strongly believe that our unwavering dedication to customer satisfaction, coupled with comprehensive services and an advantageous cost structure, will greatly enhance HealthSCOPE Benefits' current service offerings."

Mary Catherine Person, President of HealthSCOPE Benefits, stated, "We are equally pleased to have solidified this important partnership with American CareSource. As a full-service TPA, we are dedicated to offering our clientele the broadest range of competitively-priced, value-added services, and our agreement with American CareSource will help to ensure that we continue to live up to our reputation."

About Ancillary Healthcare Services

American CareSource provides ancillary healthcare services through its network that offers cost effective alternatives to physician and hospital-based services. This market is estimated at $574 billion, and has grown to 30% of total national health expenditures. These providers offer services in over 30 categories, including laboratories, dialysis centers, free-standing diagnostic imaging centers, non-hospital surgery centers, as well as durable medical equipment such as orthotics and prosthetics, and others.

About American CareSource Holdings, Inc.

American CareSource Holdings, the first national, publicly traded ancillary care network services company, offers a comprehensive national network of approximately 3,000 ancillary service providers at over 26,000 sites through its subsidiary, Ancillary Care Services. The Company's ancillary network and management provides a complete outsourced solution for a wide variety of healthcare payors and plan sponsors including self-insured employers, indemnity insurers, PPOs, HMOs, third party administrators and both federal and local governments. For additional information, please visit www.anci-care.com.

About HealthSCOPE Benefits

HealthSCOPE Benefits is a total health management company providing full service benefits administration and health management services to self-funded employers. HealthSCOPE's partnerships with clients are founded upon three basic tenets, Healthy People, Healthy Business, and Healthy Futures. These tenets form the basis of their pledge to work with clients to develop attractive, affordable and customer friendly comprehensive plans for their employees. HealthSCOPE, through its leading edge technology, empowers clients to proactively monitor and manage the health of their employee populations, assertively controls health care costs, and enables cost trend management dramatically below industry averages. For additional information, please visit www.healthscopebenefits.com.

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Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995:

Any statements that are not historical facts contained in this release are forward-looking statements. It is possible that the assumptions made by American CareSource Holdings, Inc. for purposes of such statements may not materialize. Actual results may differ materially from those projected or implied in any forward-looking statements. Such statements may involve further risks and uncertainties, including but not limited to those relating to product demand, pricing, market acceptance, the effect of economic conditions, and intellectual property rights, and the outcome of competitive products, risks in product development, the ability to complete transactions, and other risks identified in this release, and the Securities and Exchange Commission filings of American CareSource Holdings, Inc.

Contact: Steven J. Armond Chief Financial Officer American CareSource Holdings, Inc. Tel: 972-308-6847