BETHESDA, MARYLAND - January 5, 1999 - Chindex International, Inc. (NASDAQ:CHDX) (U.S.-China Industrial Exchange, Inc.), a leading independent American company providing Western healthcare products distribution and medical services in the Peoples Republic of China, today announced that the Loan Agreement for its previously announced medical equipment supply program with the Ministry of Public Health in China has been finalized, allowing Chindex to commence shipment of $14 million in medical equipment to be financed under the terms of the agreement. Shipments began in late 1998 and are scheduled to be completed in the first few months of 1999.
The financing for the purchase of Chindex supplied products was made available to Chinese hospitals through the Chinese Ministry of Public Health by means of a loan extended by ABN AMRO Bank to the Bank of China in Beijing. The loan was guaranteed in part by the Export-Import Bank of the United States (Ex-Im Bank).
Roberta Lipson, Chindex President and CEO, commented from Beijing, "This is the second successful Ex-Im Bank backed program we have put together with the Ministry of Public Health in China. Through this financing we are placing $14 million in premier American medical technologies in 41 individual hospitals in China.
"We are the only American company in China that has been able to carry through to conclusion a program for the sale of medical equipment exports to this market based on the backing of Ex-Im Banks long-term loan and guarantee program. We have already begun discussions here in China for the next loan program which we expect will be significantly larger than this one. The Export-Import Bank has also officially expressed interest to continue to support this type of program with our company." Lipson continued.
"We are very pleased to be associated with many marquee manufacturers of healthcare instrumentation whose equipment is being supplied under this financing program. We have faced stiff international competition in the China marketplace over the years, increasingly due to government backed financing programs for medical equipment from other countries. We are proud of our role as a leading American supplier in China," Lipson concluded.
Company sources noted that the deal involved cooperation and facilitation between many organizations, including Chinas Ministry of Public Health Foreign Loan Office, Chinas Ministry of Foreign Trade and Economic Cooperation, Bank of China, the Export Import Bank of the United States, ABN AMRO Bank and the U.S. Department of Commerce. Equipment provided under the program includes products from Acuson Corporation, Lunar Corporation, Steris Corporation, Johnson & Johnson Ortho Clinical Diagnostics, TREX Medical/XRE Division, and Nova Biomedical.
Chindex is a leading American company in healthcare in the Greater Chinese marketplace including Hong Kong and Macau. It provides representative and distribution services to a number of Fortune 500 companies including Acuson, Johnson & Johnson, and Kendall Healthcare Products. It also operates a private hospital corporation in China. With over sixteen years experience, 200 employees, and operations in the United States, China, and Hong Kong, the Chindex strategy is to expand its cross-cultural reach by providing leading edge technologies, quality products and services to Greater Chinas professional communities.
The statements in this press release that relate to future plans, events or performance are forward-looking statements that involve risks and uncertainties, including risks associated with uncertainties pertaining to customer orders, demand for products and services, development of markets for the Companys products and services and other risks identified in the Companys SEC filings. Actual results, events and performance may differ materially. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. The Company undertakes no obligation to release publicly the result of any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.