HAIFA, Israel, and WESTPORT, Conn., July 2 /PRNewswire/ -- Elscint Ltd.
(NYSE: ELT), a subsidiary of Elbit Medical Imaging Ltd. (Nasdaq: EMITF), and
Healthcare Systems Finance S.A. ("HSF") announced today that they have entered
into a Vendor Program Agreement for the financing of sales of Elscint
manufactured equipment to customers in South and Central America by HSF. The
initial term of this agreement is for a period of ten years.
In addition to the Vendor Program Agreement, Elscint and HSF have entered
into an Assignment Agreement whereby HSF has purchased for $6.5 million all of
Elscint's interest in certain bills of exchange issued by customers of Elscint
in Brazil.
Elscint has been active in the medical imaging market in South and Central
America for the past two decades. Since 1990, Elscint has sold medical
imaging equipment to various countries in this territory (primarily in Brazil)
in an amount in excess of $160 million, of which approximately $43 million was
sold in 1997 alone. Elscint currently holds a considerable share of the CT
and NM markets in Brazil and is increasing its position in the MRI market.
HSF is a unit of a large joint venture, MSF Holding Ltd., formed to
finance medical equipment in Latin America. The joint venture ownership
includes DVI, Inc. (NYSE: DVI), International Finance Corporation (IFC),
Netherlands Development Finance Co. (FMO), and an affiliate of First Union
Corporation (NYSE: FTU).
Jonathan Adereth, President and Chief Executive Officer of Elscint, said,
"The agreements with HSF enable Elscint to provide the best financing to our
customers, to maintain our continuing growth in South and Central America and
to ensure our strong position in these markets. Elscint and DVI intend to
seek further global cooperation and expansion with attractive financing
programs in other territories as well, for the mutual benefit of the two
parties."
DVI is a specialty commercial finance company whose core business is
providing asset based financing to the healthcare providers. The Company
principally serves such financing needs by offering diagnostic and other
medical equipment term loans, medical accounts receivable financing and
financial advisory services to healthcare service providers.
Elscint is an advanced medical imaging company serving healthcare
professionals worldwide. Guided by the philosophy of applying unique
technologies for the advancement of cost-effective healthcare, Elscint
designs, manufactures, sells and services a wide range of sophisticated
computer-based medical imaging products including Computerized Tomography
(CT), Magnetic Resonance Imaging (MRI), Nuclear Medicine (NM) and Mammography
systems.
This release contains certain forward-looking statements which involve
known and unknown risks, uncertainties or other factors not under the
Company's control which may cause actual results, performance or achievements
of the Company to be materially different from the results, performance or
other expectations implied by these forward-looking statements. These factors
include, but are not limited to, those detailed in the Company's periodic
filings with the Securities and Exchange Commission.
SOURCE Elscint Ltd.
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Related links:
http://www.elscint.co.il
CONTACT:
Gabi Yankovitz, VP, Finance & CFO of Elscint,
972-4-8310271; Laurie Berman, General Info., 310-442-0599, Alicia
Nieva-Woodgate, Media Info., or Brian Gill, Investor Info.,
212-661-8030, all of The Financial Relations Board; or Donna M.
Hamel, VP, Managing Director of DVI, 203-226-8888
NOTE TO EDITORS: For further information on Elscint, via
facsimile at no cost, please call 800-PRO-INFO and enter company
code 206 or ticker symbol ELT.
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