ResCare's NYC Contract Renewed
LOUISVILLE, KY (May 5, 2008) – ResCare, Inc. (NASDAQ: RSCR), the nation’s leading provider of residential, training, educational and support services for at-risk youth and people with special needs, today announced that its subsidiary, Arbor E&T LLC, has received an 18-month contract, with another 18-month renewal option, to continue as a contractor through the New York City Human Resources Administration relating to its WeCARE program. Through WeCARE, Arbor provides a wide range of services for people with medical and/or mental health conditions who receive or have applied for welfare benefits in the boroughs of Queens and Brooklyn. Expected revenues should be $32 million annually. Arbor was originally awarded the contract in December of 2004.
Arbor provides comprehensive education, training and placement services through local, state and national employment assistance and welfare to work programs for adults and young people who have barriers to employment in 24 states and Washington, DC.
Frank R. Lipton, M.D., Executive Deputy Commissioner of the New York City Human Resources Administration, said, “We are pleased that Arbor is a partner in this groundbreaking effort. They’ve helped thousands of clients obtain jobs, achieve wellness and access the disability benefits for which they are eligible.”
“We appreciate the continued partnership with New York City’s Human Resources Administration to address the employment and health needs of the city’s most vulnerable populations,” said Ralph G. Gronefeld, Jr., ResCare president and chief executive officer. “More than 65,000 people have been served by Arbor through the WeCARE program in the last three years. They have received comprehensive health and skills assessments and entered wellness programs to help them learn how to manage their disabilities. All are efforts to assist them in finding the resources they need to become more independent. Clients also receive job training and placement assistance. Arbor has placed more than 4,000 people who may otherwise have been unable to find long-term employment. We are very proud of that success.”
ResCare, with 30+ years of experience helping people reach their highest level of independence, is one of the largest providers of home care to the elderly and those with disabilities. It also offers residential and support services to people with intellectual and developmental disabilities and provides education, vocational training and job placement for people of all ages and skill levels. Based in Louisville, Kentucky, ResCare and its 44,000 dedicated employees serve daily more than 65,000 people in 38 states, Washington, D.C., Puerto Rico and in a growing number of international locations. For more information about ResCare, please visit the Company’s website at www.rescare.com.
From time to time, ResCare makes forward-looking statements in its public disclosures, including statements relating to expected financial results, revenues that might be expected from new or acquired programs and facilities, its development and acquisition activities, reimbursement under federal and state programs, financing plans, compliance with debt covenants and other risk factors, and various trends favoring privatization of government programs. In ResCare’s filings under the federal securities laws, including its annual, periodic and current reports, the Company identifies important factors that could cause its actual results to differ materially from those anticipated in forward-looking statements. Please refer to the discussion of those factors in the Company’s filed reports. Statements related to expected financial results are as of this date only, and ResCare does not assume any responsibility to update these statements.