Bend, Ore., March 22, 2010 – Clear One Health Plans, Inc. (OTCBB: CCHN) announced that the State of Oregon Department of Consumer and Business Services Insurance Division issued an order, dated March 17, 2010, approving the proposed plan of acquisition of control of Clear One Health Plans by PacificSource Health Plans pursuant to the Merger Agreement. Under the Merger Agreement, Clear Onewill be merged with and into Springfield Acquisition, Inc. and Clear One will be the surviving corporation and a wholly-owned subsidiary of PacificSource.
The Company also received confirmation from the Centers for Medicare & Medicaid Services (“CMS”) that the proposed transaction with PacificSource could proceed without obtaining any additional filings or approvals from CMS. The closing of the transaction is still subject to certain terms and conditions customary for transactions of this type, including regulatory approval from the Oregon Division of Medical Assistance Programs, shareholder approval, and satisfaction of the conditions to closing contained in the Merger Agreement. Clear One will solicit shareholder approval by means of a proxy statement, which will be mailed to Clear One shareholders on or about March 23, 2010. The parties currently anticipate consummating the transaction during the second calendar quarter of 2010.
About Clear One Health Plans, Inc.
Clear One Health Plans offers affordable health plans to meet the needs of employers, providers, and consumers. The Company provides health insurance, including Medicare Advantage plans, commercial plans, individual plans, and administrative services to individuals and businesses throughout the West. The Company also offers life, disability, dental, vision and voluntary benefits programs, as well as employee benefit services to self-funded employers, associations, Taft-Hartley Trusts, and Chamber of Commerce plans. Clear One is dedicated to the development of community-based employee benefits programs, health insurance, and ancillary plans. For information call 888-863-3637, visit www.clearonehp.com.
Safe Harbor statement under the Private Securities Litigation Reform Act of 1995
Certain statements contained in this press release are forward-looking in nature and involve a number of risks and uncertainties. Such forward-looking statements are within the meaning of that term in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Act of 1934, as amended. The words “believe,” “estimate,” “expect,” “intend,” “anticipate,” “plan,” “appears,” “will,” and similar expressions and variations thereof identify certain of such forward-looking statements, which speak only as of the dates on which they were made. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise. Readers are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those indicated in the forward-looking statements as a result of various factors. Readers are cautioned not to place undue reliance on these forward-looking statements.
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Contact: Patricia Gibford, President and Chief Executive Officer, 541-330-8114, patricia.gibford@clearonehp.com, or Gunnar Hansen, Executive Vice President and Chief Financial Officer, 541-330-8100, gunnar.hansen@clearonehp.com