Background Information

• Critical Home Care was a medical equipment company with fiscal year 2003 revenues of approximately $5 million.
• Arcadia Services was a national provider of staffing and home care services. With 75 locations in 21 states, the company had 2003 revenues of more than $75 million.
• Arcadia Rx was a mail order pharmacy with calendar year 2003 revenues of approximately $3 million.

• Trinity Healthcare, a North Carolina-based medical equipment company
• American Oxygen & Medical Equipment, a medical equipment supplier with two offices in Illinois
• Merit Staffing Resources, with five Massachusetts locations and 2003 sales of $4.7 million
• The Staffing Source, a three-office Florida staffing firm with 2003 sales of $3.3 million.
• United Health Care Services, Inc., a Florida-based home medical equipment supplier
• Home Health Professionals, a comprehensive home care services and temporary staffing provider with seven Michigan locations
• Health-Link LLC, a home medical equipment provider with operations in northwest Indiana and metropolitan Chicago

Business Strengths

• The aging of the "baby boomer" generation, the largest and wealthiest in American history, will lead to an increased need for home care services, home-delivered medicine and medical equipment. The total number of people over 65 is expected to more than double - from 35 million today to 79 million - by 2030.
• As Americans live longer, hospitals and other health care facilities are expected to encounter an ever-worsening shortage of nurses and other essential personnel. On any given business day, Arcadia Resources, Inc., has approximately 4,000 employees working in businesses and medical facilities.
• The globalization of the American economy will make it ever more difficult to predict staffing needs; the need for temporary employees will increase sharply. Arcadia Services is a growing player in the technical, clerical and light industrial technical staffing marketplace.
• Studies show that individuals function better and recover quicker when in their own homes. Arcadia Resources provides the caregivers, prescription medicines and equipment that enable them to do that.
• Businesses and government will intensify the search for ways to reduce health care costs without diminishing quality care. Recovering at home costs far less than in a facility.

• Industry leader in markets served
• Differentiated products and services
• Superior competitive position
• Consistent performing business
• Excellent industry fundamentals
• Strong affiliate relationships
• Scalable business platform
• Diverse revenue sources
• Customer-focused culture
• Highly effective, experienced and proven management team

Industry Overview