NationsHealth Implements Organizational Changes to Improve Efficiency and Reduce Operational Expenses
25 April 2006 - 11:39PM
PR Newswire (US)
SUNRISE, Fla., April 25 /PRNewswire-FirstCall/ -- NationsHealth,
Inc. (Nasdaq: NHRX; NHRXW; NHRXU) today announced it has
implemented plans to restructure and streamline the Company's
management organization. The reorganization is part of an ongoing,
larger effort designed to increase both cost effectiveness and
profitability across the Company. This effort is being headed by
NationsHealth's new Chief Operating Officer, Robert E. Tremain.
NationsHealth's management structure will now operate with twenty
fewer management positions, primarily within its sales, enrollment,
customer service, billing and pharmacy/distribution functions that
service all aspects of NationsHealth's businesses, currently
Pharmacy Product / Medicare Part B and Insurance Product / Medicare
Part D businesses. "This ongoing effort is necessary to ensure that
our leadership team is optimally structured to deliver both high
quality services and top value for the dollar," stated Glenn M.
Parker, M.D., Chief Executive Officer of NationsHealth. "Bob
Tremain's industry experience has allowed him to quickly assess our
operations and begin taking immediate steps to improve our ability
to more effectively enroll and service new customers across all
lines of business while simultaneously right-sizing our
administrative costs. This restructuring alone will save the
Company well over $2.0 million on an annualized basis, a direct
increase in value for our shareholders." About NationsHealth, Inc.
NationsHealth improves the delivery of healthcare to Medicare and
managed care beneficiaries by providing medical products and
prescription related services. NationsHealth has a strategic
alliance with CIGNA to offer their Medicare Part D prescription
drug plans nationally. Prior to launching its Medicare Part D
business, NationsHealth offered free discount prescription cards,
accepted at over 50,000 pharmacies nationwide, to more than 3.1
million cardholders. In addition, NationsHealth provides home
delivery of diabetes and ostomy medical products to 105,000
patients. NationsHealth is also the provider of diabetes supplies
to more than 11,000 Medicare beneficiaries at over 1,100 Kmart
pharmacies. For more information please visit our website at
http://www.nationshealth.com/. This press release contains
forward-looking statements about NationsHealth, including
statements regarding anticipated enrollment and private sector
market opportunities in Medicare Part D and specialty
pharmaceutical programs and the potential success of our strategic
partnerships and joint ventures, none of which should be construed
in any manner as a guarantee that such results will in fact occur.
In addition, other written or oral statements that constitute
forward-looking statements may be made by us or on our behalf.
Forward-looking statements are statements that are not historical
facts, and in some cases may be identified by the words
"anticipate," "project," "expect," "plan," "intend," "may,"
"should," "will," and similar words or phrases. Such
forward-looking statements, based upon the current beliefs and
expectations of NationsHealth's management, are subject to risks
and uncertainties, which could cause actual results to differ from
the forward-looking statements. The following factors, among
others, could cause actual results to differ from those set forth
in the forward- looking statements: projections with respect to
enrollment and market opportunities for Part D and specialty
pharmacy programs; our ability to maintain our existing customer
base; our customers' desire to take advantage of our Part D and
specialty pharmacy services; uncertainty in our costs incurred in
administering the Part D program; changes in Medicare, Medicaid,
Tricare, Champus and any other state or national-based
reimbursement program; changing interpretations of generally
accepted accounting principles; outcomes of government reviews of
NationsHealth's business practices; inquiries and investigations
and related litigation; continued compliance with government
regulations; legislation or regulatory requirements or changes
adversely affecting the businesses in which NationsHealth is
engaged; fluctuations in customer demand; management of rapid
growth; our ability to compete effectively; timing and market
acceptance of new products sold by NationsHealth; general economic
conditions; and geopolitical events, regulatory changes and other
risks and uncertainties described in NationsHealth's Annual Report
on Form 10-KSB/A for the year ended December 31, 2005,
NationsHealth's Rule 424(b)(3) Prospectus filed on March 31, 2006
and NationsHealth's other reports filed with the Securities and
Exchange Commission. The information set forth herein should be
read in light of such risks. NationsHealth cautions investors not
to place undue reliance on the forward-looking statements contained
herein. These statements speak only as of the date of this press
release and, except as required by applicable law, NationsHealth
assumes no obligation to update the information contained herein.
At NationsHealth: Timothy Fairbanks, CFO 954-903-5018 At Rx
Communications Group: Melody A. Carey (investors) 917-322-2571
DATASOURCE: NationsHealth, Inc. CONTACT: Timothy Fairbanks, CFO of
NationsHealth, +1-954-903-5018; or Melody A. Carey, investors, Rx
Communications Group, +1-917-322-2571 Web site:
http://www.nationshealth.com/
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