MINNEAPOLIS, Dec. 27 /PRNewswire-FirstCall/ -- Health Fitness Corporation
(HFC)(OTC Bulletin Board: HFIT) today announced the signing of a definitive
agreement to acquire the business of HealthCalc.Net, Inc. (HealthCalc), a
leading provider of web-based fitness, health management, and wellness
programs to corporations, health care organizations, physicians, and
athletic/fitness centers.
Founded in 1997 and headquartered in Dallas, Texas, the HealthCalc web-
based platform provides customers with a variety of tools and resources to
identify opportunities to impact health care costs through lifestyle
improvement programs for individuals. In addition to other services, the
HealthCalc platform allows individuals to take periodic online health
assessments, track their daily exercise, receive online health coaching, and
provide access to the latest health education and information in an internet-
based environment.
HFC paid $6 million in cash and stock at the closing with the potential
for additional amounts to be paid under an earn-out provision based upon the
HealthCalc business segment achieving established revenue objectives for
calendar year 2006. For 2005, HealthCalc's revenues are projected to be
approximately $2.5 million, of which $850 thousand is attributed to HFC
clients.
"HealthCalc has been our technology partner for almost ten years. As we
have expanded the focus of our health management capabilities with our
customers, owning a proven technology platform has become an important element
of our overall growth strategy," said Jerry Noyce, HFC CEO and President. "We
currently use HealthCalc's web-based system in many of our fitness centers to
track member usage and perform health and fitness assessments. The HFC version
of the HealthCalc platform (Live for Life-e) has become a foundation of our
health management portfolio and already has over 500,000 registered users from
our various customers utilizing the system across the country.
"By combining the talents and experience of our organizations, we will
strengthen the scientific basis of our existing products and the availability
of new and innovative technology solutions available to our customers through
a single organization. We will enhance our ability to develop new solutions as
we anticipate the ongoing changes in today's market, and we will expand the
marketing reach of our existing products and services by coordinating the
distribution opportunities currently available to both organizations.
"The market for health management services is rapidly developing, and it
is imperative that leading service providers in this market have a robust
technological capability to serve a geographically dispersed workforce. The
purchase of HealthCalc further solidifies our positioning as a leading
provider of corporate health and fitness management services in the market,"
concluded Noyce.
"We are very excited with the opportunities to combine the capabilities of
HealthCalc and HFC in delivering technology-driven health management services
to the market," said John Ellis, HealthCalc President and CEO. "As HealthCalc
has expanded its service capabilities each year, it has become increasingly
necessary to grow in areas where HFC has already demonstrated success. By
joining with HFC, I feel confident that we will achieve our vision of
enhancing the health and productivity of our clients through innovative
technology-based products and services much faster."
About Health Fitness Corporation
Health Fitness Corporation is a leading provider of fitness and health
management services to corporations, hospitals, and communities. Serving
clients for over 30 years, HFC provides fitness and health management services
to more than 400 on-site and remote locations across the U.S. and Canada. For
more information about HFC, go to http://www.hfit.com .
About HealthCalc
HealthCalc is a leading provider of web-based health management services
and wellness programs to corporations, health care organizations, physicians,
and athletic/fitness centers. The HealthCalc web-based platform provides
customers with the ability to collect the information necessary to identify
opportunities to impact health costs through lifestyle improvement programs.
Forward-Looking Statements
Certain statements in this release, including, without limitation, those
relating to the opportunity to achieve revenue and operating synergies from
the integration of HealthCalc and Health Fitness Corporation, are forward-
looking statements. Any statements that are not based upon historical facts,
including the outcome of events that have not yet occurred and our
expectations for future performance, are forward-looking statements. The words
"believe," "estimate," "expect," "intend," "may," "could," "will," "plan,"
"anticipate," and similar words and expressions are intended to identify
forward-looking statements. Such statements are based upon the current beliefs
and expectations of our management. Actual results may vary materially from
those contained in forward-looking statements based on a number of factors
including, without limitation, our inability to meet the growing employee
health management demands of major corporations and other factors disclosed
from time-to-time in our filings with the U.S. Securities and Exchange
Commission. You should take such factors into account when making investment
decisions and are cautioned not to place undue reliance on these forward-
looking statements, which speak only as of the date of which they are made. We
undertake no obligation to update any forward-looking statements.
SOURCE Health Fitness Corporation
 back to top
Company News On-Call:
http://www.prnewswire.com/comp/000921.html
Related links:
http://www.hfit.com
CONTACT:
Wes Winnekins, CFO, +1-952-897-5275,
wes.winnekins@hfit.com , or Michael Zdychnec, Vice President of
Marketing, +1-952-897-5235, michael.zdychnec@hfit.com , both of
Health Fitness Corporation
|
