CABG Medical Inc. Shareholders Approve Plan Of Liquidation And Dissolution

MINNEAPOLIS, April 27 /PRNewswire-FirstCall/ -- CABG Medical, Inc. today announced that shareholders voted overwhelmingly to approve the Company's Plan of Liquidation and Dissolution (the "Plan") at the Company's special meeting held today.

(Logo: http://www.newscom.com/cgi-bin/prnh/20050114/CGF013LOGO )

More than 98% percent of the shares represented at the meeting in person or by proxy were voted in favor of the plan. This represents more than 66% percent of the outstanding shares of CABG Medical.

As a result of the approval of the Plan, the Company's common stock will cease trading on the NASDAQ National Market effective April 28, 2006. As previously disclosed, the Company anticipates an initial distribution of $1.47 per share will be made during the month of May 2006. After the Company has completed the statutory shut-down procedures, a second distribution of remaining funds, if any, will be distributed to shareholders and could range from $0.00 to $0.04.

The Company also announced that effective April 27, 2006, A. Jay Graf, Archie C. Smith, Robert E. Munzenrider and John L. Babitt, have resigned from the Company's Board of Directors. Additionally, Mr. Babitt has resigned as an officer of the Company. Manny Villafana, the Company's Chairman and Chief Executive Officer, will continue as a director of the Company until the final cash distribution and formal dissolution is completed.

The aggregate distribution of $1.47 to $1.51 per share amount represents the Board of Directors' estimate of the total amount that could be distributed to the shareholders if: (i) there are no significant legal or auditing expenses and (ii) there are no other significant contingent obligations arising prior to the effective date of the dissolution. Patient or other legal claims, contingent obligations, larger than anticipated impairments and discounts on the sale of illiquid assets and larger than expected operational expenses could reduce the amount of cash available for distribution to a significantly greater extent than we currently anticipate.

Photo: NewsCom: http://www.newscom.com/cgi-bin/prnh/20050114/CGF013LOGOAP Archive: http://photoarchive.ap.orgPRN Photo Desk, photodesk@prnewswire.comCABG Medical, Inc.

CONTACT: Manny Villafana, Chairman & CEO, or John L. Babitt, President &CFO, of CABG Medical, +1-763-258-8005, fax, +1-763-258-8008

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