| [October 05, 2008] |
 |
PRG-Schultz Statement on the Medicare Recovery Audit Contractor Program Awards
ATLANTA --(Business Wire)-- PRG-Schultz International, Inc. (Nasdaq: PRGX) the world's largest recovery audit firm, today announced that the company has been notified by the Centers for Medicare and Medicaid Services (CMS) that it was not selected to serve as a recovery audit contractor in the national rollout of the Medicare Recovery Auditing Contractor (RAC) Program. CMS has advised the company that contracts were awarded in the four RAC regions to the lowest contingency fee bidder that satisfied CMS's minimum technical requirements, with no single bidder being eligible for a contract award in more than one region. The company understands from CMS that it received one of the highest technical scores, but was not awarded a contract because it ultimately did not have the lowest contingency fee bid in any region.
"We are obviously disappointed in CMS's decision and believe our proposal offered the best value to suit CMS's recovery audit program needs," said James B. McCurry, chairman, president and CEO of PRG-Schultz International. "Our next step is to receive a debriefing from CMS. Once we have reviewed the details behind the selections, we will evaluate all of our options related to the RAC procurement."
"Regardless of the ultimate outcome of the RAC procurement," continued McCurry, "the company remains financially very strong, with over $20 million in cash on hand and a very profitable, very strong worldwide leadership position in accounts payable recovery audit. We also continue to pursue other opportunities, including new services to existing clients and services that leverage our proven recovery audit capabilities in healthcare."
Conference Call Tomorrow
Management will hold a conference call tomorrow at 9:00AM (EDT) to discuss this announcement. To access the conference call, listeners in the U.S. and Canada should dial (866) 825-3209 at least 5 minutes prior to the start of the conference. Listeners outside the U.S. and Canada should dial (617) 213-8061. To be admitted to the call, listeners should use passcode 86642663. A replay of the call will be available approximately one hour after the conclusion of the live call, extending through November 5, 2008. To directly access the replay, dial (888) 286-8010 (U.S. and Canada) or (617) 801-6888 (outside the U.S. and Canada). The passcode for the replay is 18493940.
This teleconference will also be audiocast on the Internet at www.prgx.com (click on "(NASDAQ: PRGX)" under "Investor Relations"). A replay of the audiocast will be available at the same location on www.prgx.com beginning approximately one hour after the conclusion of the live audiocast, extending through November 5, 2008. Please note that the Internet audiocast is "listen-only." Microsoft Windows Media Player is required to access the live audiocast and the replay and can be downloaded from www.microsoft.com/windows/mediaplayer.
About PRG-Schultz International, Inc.
Headquartered in Atlanta, PRG-Schultz International, Inc. is the world's leading recovery audit firm, providing clients throughout the world with insightful value to optimize and expertly manage their business transactions. Using proprietary software and expert audit methodologies, PRG industry specialists review client purchases and payment information to identify and recover overpayments.
Forward Looking Statements
In addition to historical information, this press release includes certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include both implied and express statements regarding the company's evaluation of its options regarding CMS's selections for the RAC program, the company's financial strength and profitable worldwide leadership position in accounts payable recovery audit, and the company's opportunities to provide new services to existing clients and in healthcare. Such forward looking statements are not guarantees of future performance and are subject to risks, uncertainties and other factors that may cause the actual results, performance or achievements of the company to differ materially from the historical results or from any results expressed or implied by such forward-looking statements. Risks that could affect the company's future performance include the company's ability to successfully challenge CMS's selections for the RAC program, the company's ability to retain personnel and take advantage of future opportunities, revenues that do not meet expectations or justify costs incurred, the company's ability to replace the declining revenues from its core accounts payable services, uncertainty in the credit markets, changes in the market for the company's services, client bankruptcies, loss of major clients, and other risks generally applicable to the company's business. For a discussion of other risk factors that may impact the company's business, please see the company's filings with the Securities and Exchange Commission, including its Form 10-K filed on March 12, 2008. The company disclaims any obligation or duty to update or modify these forward-looking statements.
[ Back To TMCnet.com's Homepage ]
|
INDUSTRIES
Activate Email 
INDUSTRIES
Find Solutions for Enterprises, SMBs & Service Providers at the INTERNET TELEPHONY Conference and EXPO West, September 1-3, 2009. Los Angeles, CA.
