MEDICAL STAFFING SOLUTIONS, INC.
SIGNS LETTER OF INTENT TO SELL NURSES ONSITE CORP.
VIENNA, VA -SEPTEMBER 12, 2006- Medical Staffing Solutions, Inc. (OTCBB:MSSI),
an established provider of medical personnel and technology services to
government and commercial clients, announced that it has signed a Letter of
Intent (LOI) to sell its wholly-owned subsidiary, Nurses Onsite Corp. (NOC).
On September 6, 2006, MSSI and NOC entered into the LOI with General Healthcare
Resources, Inc. (GHR) pursuant to which GHR would acquire substantially all of
the assets of NOC for an aggregate purchase price equal to Two Million Eight
Hundred Fifty Thousand Dollars ($2,850,000). The transaction is subject to the
satisfactory completion of due diligence and other conditions including the
execution of a definitive agreement. The parties have agreed to execute a
definitive Asset Purchase Agreement within sixty (60) days following the
execution of the LOI.
Dr. Sahay, President and CEO of MSSI stated, "It is time for MSSI to re-organize
and re-strategize. In the past year since the acquisition of NOC, MSSI stock has
unexpectedly declined in value. We believe we can strengthen MSSI's overall
position by selling Nurses Onsite Corp., stemming losses, and re-focusing on
what MSSI-TeleScience has been doing for over a decade: government contracting."
Dr. Sahay further stated, "By acquiring NOC in 2005, our hope had been to
diversify MSSI's service offering between the commercial and government sectors.
What we came to find is that the two businesses are quite different, and the
economies of scale we had hoped to achieve were not being realized. We believe
that NOC, a per diem nurse staffing agency, will be a better fit with General
Healthcare Resources, Inc. Pending final closing, MSSI will re-focus on the
long-term government health care staffing arena, where unlimited opportunities
exist. The government has proven to be an excellent customer for us, and has
provided us a means to capture regular, long-term streams of revenue with
relatively low-maintenance or additional overhead."
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ABOUT MSSI-TELESCIENCE
In operation since 1992, MSSI-TeleScience International, Inc. is a provider of
long-term medical personnel and technology services to federal, state and local
government agencies and to the private sector. The Company's Medical Services
Division has operations in ten (10) states servicing hospital and medical
facilities with a complete range of medical staff, including doctors, nurses and
technicians. The Company holds multiple long-term contracts, including those
with the U.S. Army, the U.S. Department of Health and Human Services and the
state of California. The Company's Technology Division provides systems
integration and information technology services to the federal government, as
well as emergency equipment, decontamination products, vehicles and supplies to
state and local governments.
For more information, visit the company's website at www.telescience.com.
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Legal Notice Regarding Forward-Looking Statements: "forward-looking statements"
as defined in the Private Securities Litigation Reform Act of 1995 may be
included in this news release. These statements relate to future events or our
future financial performance. These statements are only predictions and may
differ materially from actual future results or events. MSSI-TeleScience
disclaims any intention or obligation to revise any forward-looking statements
whether as a result of new information, future developments or otherwise. There
are important risk factors that could cause actual results to differ from those
contained in forward-looking statements, including, but not limited to, risks
associated with changes in general economic and business conditions (including
in the information technology and financial information industry), actions of
our competitors, the extent to which we are able to develop new services and
markets for our services, the time and expense involved in such development
activities, the level of demand, market acceptance of our services and changes
in our business strategies.
WEB: WWW.TELESCIENCE.COM
E-MAIL: INVESTOR_RELATIONS@TELESCIENCE.COM
PHONE: INVESTOR RELATIONS: 703-637-3246