VALLEY FORGE, Pa.--(BUSINESS WIRE)--Nov. 1,
2006--AmerisourceBergen Corporation (NYSE:ABC) today announced that it
has acquired all of the outstanding stock of IgG of America, Inc., a
specialty pharmacy and infusion services business specializing in the
blood derivative IVIG, for approximately $35 million in cash. The
acquisition also includes a contingent payment of up to approximately
$8.5 million based on IgG of America achieving specific earnings
targets in calendar year 2008. The transaction is expected to be
slightly accretive to the Company's fiscal 2007 earnings.
"The addition of IgG of America supports AmerisourceBergen's
strategy of building our specialty pharmaceuticals services to
manufacturers," said R. David Yost, Chief Executive Officer of
AmerisourceBergen. "IgG is a leader in the IVIG area, and is an
excellent addition to our services in the pharmaceutical supply
channel."
Based in of Linthicum, Maryland, IgG of America had revenues of
approximately $29 million over the last twelve months ended September
30, 2006. IgG will become part of the AmerisourceBergen Specialty
Group.
About AmerisourceBergen
AmerisourceBergen (NYSE:ABC) is one of the world's largest
pharmaceutical services companies serving the United States, Canada
and selected global markets. Servicing both pharmaceutical
manufacturers and healthcare providers in the pharmaceutical supply
channel, the Company provides drug distribution and related services
designed to reduce costs and improve patient outcomes.
AmerisourceBergen's service solutions range from pharmacy automation
and pharmaceutical packaging to pharmacy services for skilled nursing
and assisted living facilities, reimbursement and pharmaceutical
consulting services, and physician education. With nearly 60 billion
in annualized revenue, AmerisourceBergen is headquartered in Valley
Forge, PA, and employs more than 13,000 people. AmerisourceBergen is
ranked #27 on the Fortune 500 list. For more information, go to
www.amerisourcebergen.com.
FORWARD-LOOKING STATEMENTS
This news release may contain certain "forward-looking statements"
within the meaning of Section 27A of the Securities Act of 1933 and
Section 21E of the Securities Exchange Act of 1934. These statements
are based on management's current expectations and are subject to
uncertainty and changes in circumstances. Actual results may vary
materially from the expectations contained in the forward-looking
statements. The forward-looking statements herein include statements
addressing management's views with respect to future financial and
operating results and the benefits, efficiencies and savings to be
derived from the Company's integration plan to consolidate its
distribution network. The following factors, among others, could cause
actual results to differ materially from those described in any
forward-looking statements: competitive pressures; the loss of one or
more key customer or supplier relationships; customer defaults or
insolvencies; changes in customer mix; supplier defaults or
insolvencies; changes in pharmaceutical manufacturers' pricing and
distribution policies or practices; adverse resolution of any contract
or other disputes with customers (including departments and agencies
of the U.S. Government) or suppliers; regulatory changes; changes in
U.S. government policies (including reimbursement changes arising from
the Medicare Modernization Act); declines in the amounts of market
share rebates offered by pharmaceutical manufacturers to the
PharMerica long-term care business, declines in the amounts of rebates
that the PharMerica Long-Term Care business can retain, and/or the
inability of the business to offset the rebate reductions that have
already occurred or any rebate reductions that may occur in the
future; any disruption to or other adverse effects upon the PharMerica
Long-Term Care business caused by the announcement of the Company's
agreement to combine the PharMerica Long-Term Care business with the
institutional pharmacy business of Kindred Healthcare, Inc. into a new
public company that will be owned 50% by the Company's shareholders
(the "PharMerica LTC Transaction"); the inability of the Company to
successfully complete the PharMerica LTC Transaction; fluctuations in
market interest rates; operational or control issues arising from the
Company's outsourcing of information technology activities; the
Pharmaceutical Distribution segment's ability to continue to
successfully transition its business model to fee-for-service; success
of integration, restructuring or systems initiatives; fluctuations in
the U.S. dollar - Canadian dollar exchange rate and other foreign
exchange rates; economic, business, competitive and/or regulatory
developments in Canada, the United Kingdom and elsewhere outside of
the United States; acquisition of businesses that do not perform as we
expect or that are difficult for us to integrate or control; and other
economic, business, competitive, legal, regulatory and/or operational
factors affecting the business of the Company generally. Certain
additional factors that management believes could cause actual
outcomes and results to differ materially from those described in
forward-looking statements are set forth (i) in Item 1 (Business)
under the heading "Certain Risk Factors" in the Company's Annual
Report on Form 10-K for the fiscal year ended September 30, 2005 and
elsewhere in that report and (ii) in other reports filed by the
Company pursuant to the Securities Exchange Act of 1934, including the
Company's Quarterly Report on Form 10-Q for the fiscal quarter ended
June 30, 2006.
CONTACT: AmerisourceBergen Corporation
Michael N. Kilpatric, 610-727-7118
mkilpatric@amerisourcebergen.com
SOURCE: AmerisourceBergen Corporation