July 20, 2000
AMERIPATH, INC. ANNOUNCES AMENDMENT
TO CREDIT AGREEMENT
Riviera Beach, FL, July 20, 2000 - AmeriPath, Inc. (Nasdaq:PATH),
the largest physician and laboratory company focused
on providing anatomic pathology diagnostic and healthcare
information services, today announced that it has amended
its up to $300 million credit facility with the syndicate
of banks led by Fleet National Bank. The amendment allows
for the Company's current compliance with the credit
facility by excluding charges totaling approximately
$5.2 million from the calculation of the Company's consolidated
operating cash flow covenant through March 31, 2001. These
charges relate to the previously disclosed impairment
of assets and related charges at an acquired practice
in Cleveland, Ohio. In addition, the amendment increases
the Company's operating cash flow requirements under
the facility for the trailing twelve months ending December
31, 2002 and thereafter, and requires that a minimum
of 10% of the purchase price be in the form of the Company's
capital stock for acquisitions greater than $5 million. The
amendment is not expected to have an adverse effect on
the Company's operations or strategies.
Chairman and Chief Executive Officer, James C. New,
stated, "We are pleased to announce the amendment to
our credit agreement. The amendment was completed with
no amendment fees or increased pricing despite a very
tight lending environment for the healthcare industry. The
Company believes its relationships with the members of
our banking syndicate are strong and we appreciate their
continued support of AmeriPath."
The Company is planning to announce its financial results
for the quarter ending June 30, 2000, on Tuesday, July
25, 2000.
AmeriPath, Inc. is the nation's largest physician and
laboratory company focused on providing anatomic pathology
diagnostic and healthcare information services to physicians,
hospitals, national clinical laboratories and managed
care organizations. The company presently operates in
13 states and employs 301 physicians that provide medical
services through outpatient pathology laboratories, hospital
inpatient laboratories and outpatient surgery centers.
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This release contains
certain forward-looking statements regarding AmeriPath,
including its operations
and prospects. Past
performance is not necessarily indicative of future results. In
addition, AmeriPath's actual results could differ materially
from the results anticipated in these forward-looking
statements as a result of uncertainties, including risks
relating to demand, pricing, government regulation, payments
and reimbursements, dependence upon contracts and pathologists,
acquisitions, integration of acquired practices, the
market for pathology services, competition, technology
and other factors identified in AmeriPath's filings with
the Securities and Exchange Commission.
