NEWS - National Health & Safety Announces Court's Confirmation of Reorganization Plan
Thursday November 30, 6:59 am Eastern Time
Press Release
SOURCE: National Health & Safety Corporation
National Health & Safety Announces Court's Confirmation of Reorganization Plan
HORSHAM, Pa., Nov. 30 /PRNewswire/ -- National Health & Safety Corporation (OTC Bulletin Board: NHLT - news) is pleased to announce that the United States Bankruptcy Court of the Eastern District of Pennsylvania confirmed the Company's Plan of Reorganization on November 27, 2000. This order authorizes the Company to proceed with the implementation of the Reorganization Plan.
The Reorganization Plan represents the culmination of months of effort by National Health to consummate a merger whereby MedSmart (including POWERx) would become a wholly owned subsidiary of the Company. This represents a major milestone in rebuilding the Company. MedSmart has, at a cost of approximately $1.4 million, turned POWERx into a turnkey Internet eCommerce business to business (``B2B'') and business to consumer (``B2C'') service provider. As of the effective date, MedSmart Healthcare Network, Inc. (including POWERx) will become a wholly owned subsidiary of National Health & Safety Corp. Confirmation of the Reorganization Plan will allow the combined companies to initiate their business plan. In addition, KJE I, Ltd. (co-proponent of the Reorganization Plan) will contribute approximately $600,000 to cover reorganization expenses and provide working capital to the reorganized National Health & Safety Corp. Details of the Reorganization Plan can be found on the Company's web site at nhlt.com .
James R. Kennard, CEO of the Company stated, ``This Reorganization dramatically improves the financial structure of National Health & Safety Corp., coupled with the exceptional enhancements implemented by MedSmart in support of POWERx, effectively positioning the Company for an exciting market launch of the POWERx products.''
During the past year, MedSmart has focused on developing significant marketing programs with a host of major industry and Internet based companies. With the Confirmation and implementation of the Plan of Reorganization, we are confident that we will now be able to finalize agreements with these companies and accelerate POWERx sales.
The Initial Board of Directors shall be James R. Kennard, Eugene Rothchild and Jimmy E. Nix. The number of directors constituting the board of directors of the Reorganized Debtor shall be increased to either five or seven directors at the next Shareholders' meeting. The officers of the Reorganized Debtor will initially be James R. Kennard as President and CEO, and Roger Folts as Secretary and CFO.
ABOUT POWERx:
POWERx is the most comprehensive medical discount program on the Web, servicing approximately 80 million consumers with little or no health insurance. POWERx achieves savings by negotiating discounts with health care providers on its members' behalf. The POWERx network of over 400,000 providers includes physicians, pharmacies, hospitals, clinics and laboratories, vision and hearing care specialists, dentists, chiropractors, home care, assisted living facilities and holistic centers. With savings on average of 37%, POWERx serves as a stand-alone benefit, a low-cost alternative to health insurance, or an enhancement to an existing health insurance policy. POWERx can also be used to earn savings on a variety of non-medical goods and services.
For more information please visit the Company's web sites at nhlt.com and powerx.net .
Safe Harbor Statement:
Investors should carefully consider the preceding information as well as other information contained in this press release before making an investment in the Common Stock. Information contained in this press release contains ``forward-looking statements'' which can be identified by the use of forward-looking terminology such as ``believes,'' ``expects,'' ``may,'' ``should,'' or ``anticipates'' or the negative thereof or given that the future results covered by such forward-looking statements will be achieved. The preceding matters constitute cautionary statements identifying important factors with respect to such forward-looking statements, including certain risks and uncertainties that could cause actual results to vary materially from the future results covered in such forward-looking statements. Other factors could also cause actual results to vary materially from the future results covered in such forward-looking statements. |
