Transcend Services, Inc. announces $5.75 million credit line agreement with Silicon Valley Bank

Business Wire, May 8, 1996

ATLANTA--(BUSINESS WIRE)--May 8, 1996--TRANSCEND SERVICES, INC. (NASDAQ:TRCR), has signed two (2) separate credit facilities with Silicon Valley Est (Wellesley, Mass.) division of Silicon Valley Bank (Santa Clara, Calif.)

The first is a $5.0 million working capital facility secured by all Company assets. The line is subject to an initial cap of $3.0 million, with future increases in borrowing capacity tied to certain covenants being achieved. The second facility is a $750,000 term loan specifically available to help finance any of the Company's capital expenditures, also secured by all Company assets.

The Company is very pleased with the Silicon Valley relationship and the additional liquidity it provides as the Company continues its very rapid growth in the healthcare services.

Transcend, headquartered in Atlanta, is a hospital services company focused on the outsourcing of Health Information Management (HIM) and related functions, such as Patient Access, for healthcare providers and has signed multi-year outsourcing contracts with hospitals and healthcare systems nationwide.

CONTACT: Transcend Services, Inc., Atlanta

Larry G. Gerdes/David W. Murphy, 404/364-8000