MOBILE, Ala., Aug. 4, 2011 /PRNewswire/ -- HASCO Medical, Inc. (OTCBB: HASC), www.mysouthernmed.com, a managed healthcare provider that serves patients in Alabama, Florida, and Mississippi, announced today that the Chairman of the Company, Hal Compton, Sr. has personally guaranteed the financing that was used for the purchase of Mobility Freedom, Inc. http://finance.yahoo.com/news/HASCO-Medical-Announces-prnews-1072922352.html?x=0&.v=1 on May 17th, 2011.
As part of the purchase price of Mobility Freedom, Inc., on May 13, 2011, the Company issued a $2 Million Promissory Note to Jeff Connor and Patricia Connor, as sellers of Mobility Freedom. The Note will bear interest of 6% with principal and interest being paid in equal successive monthly installments, each in the amount of $16,877.14, commencing on August 1, 2011 and continuing on the same day of each month thereafter for a period of 180 months until all principal and accrued interest has been paid in full. The Note is guaranteed by Hal Compton, Sr., HASCO Medical's Chairman.
In order to finance the cash portion of the purchase price of Mobility Freedom, Inc., on May 13, 2011, the Company issued a $2 Million Promissory Note to Hal Compton, Sr., Chairman of HASCO Medical. Hal Compton, Sr. paid $1.85 million as well as $150,000 of working capital into the Company for a total of $2 million. The Note will bear interest of 5% with principal and interest being paid in equal successive monthly installments, each in the amount of $21,213.00 commencing on August 15, 2011 and continuing on the same day of each month thereafter for a period of 120 months until all principal and accrued interest have been paid in full.
"The ability to secure nearly $4 million under these very favorable terms, and the confidence of our Chairman to not only invest $2 million of his own personal capital and personally secure the other promissory note is the ultimate vote of confidence in our management team's ability to execute our business plan," stated Hal Compton Jr. CEO of HASCO Medical.
About HASCO Medical, Inc.
HASCO Medical ("HASC" or the Company) provides products and services that dramatically improve the quality of living for its customers. The Company's products and services include the sale of durable medical equipment, home respiratory equipment and the sale or rental of wheelchair accessible vans for which it provides custom conversion services. The Company operates in the South Eastern portion of the United States including Alabama, Mississippi and Florida. The Company's objective is to be a leading provider of home health care products and services in the continental United States.
This press release may contain forward-looking statements, which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. In some cases you can identify those so-called "forward looking statements" by words such as "may," "will," "should," "expects," "plans," "targets," "believes," "anticipates," "estimates," "predicts," "potential," or "continue" or the negative of those words and other comparable words. These forward looking statements are subject to risks and uncertainties, product tests, commercialization risks, availability of financing and results of financing efforts that could cause actual results to differ materially from historical results or those anticipated. Further information regarding these and other risks is described from time to time in the Company's filings with the SEC, which are available on its website at: http://www.sec.gov. We assume no obligation to update or alter our forward-looking statements made in this release or in any periodic report filed by us under the Securities Exchange Act of 1934 or any other document, whether as a result of new information, future events or otherwise, except as otherwise required by applicable federal securities laws.
SOURCE HASCO Medical, Inc.