Ex-CEO Returns to Arcadia Services, Inc.; Home Care and Staffing Company Maintaining Headquarters in Michigan
For immediate release:
As of May 1st, Arcadia Services, Inc. has gone through a stock transfer with a newly formed Holding company, Arcadia Holdings II, Inc. With Comerica as the senior investor, Arcadia Services now finds itself under new ownership. The new CEO, John Elliott, has retu...rned after five years to resume operations, focusing on the home care and staffing industry. The stock transfer has allowed Arcadia Services to become a privately owned company once again. Mr. Elliott plans to rebuild momentum lost over the past few years through focus on the home care and staffing industry. Mr. Elliott has stated “Returning to Arcadia for the first time since 2007 has been like coming home. We have the greatest people in the health care industry. For 35 years Arcadia has been exceptionally profitable and we will continue to focus on the business and its growth.” The company remains on solid ground and still holds its market share value. The basic organization will remain the same, keeping its headquarters in Southfield, MI, as well as maintaining all employees and affiliates nationally. A long standing and very successful Arcadia Affiliate, Charles Symes, confirmed his confidence in the company moving forward, stating, “I am excited about the future of this company and the successful transition back to being a privately held entity. Our focus remains on providing the highest level of home health, home care and medical staffing.” Arcadia Services, Inc. looks forward to reaffirming its commitment to its employees and patients over the years to come. Please see our website, Facebook, and Twitter for the latest updates on the company’s continued growth and prosperity.
All you longs own stock in Arcadia Resources, Inc. (ARI)
The stock that was transferred to the new company, Arcadia Holdings II (AHI), was the stock in Arcadia Services, Inc (ASI) (and its subs), previously a wholly owned subsidiary of ARI.
AHI, a private company, owns 100% of ASI, because the stock in ASI was pledged as collateral to Comerica. Comerica sold that collateral interest to AHI, AHI foreclosed and took 100% of ASI. Comerica's now reduced credit line with ASI is still in place.
ARI, which the longs own a piece of, OWNS the following:
$1,000,000 in assets No operating units, i.e. no source of revenue/cash flow
ARI, which the longs own a piece of, OWES the following:
$33 million in unsecured debt.
Now, I know this is a remedial class, so I'll make it simple for you all
1,000,000 minus 33,000,000 = a whole lot of worthless stock!