Work Recovery Emerges From Chapter 11
TUCSON, Ariz., Feb. 1, 1997 - Work Recovery, Inc. (WRI) officially emerged from Chapter 11 bankruptcy today and
expects to begin trading on the Nasdaq Bulletin Board during the week of February 3. On February 3, the new Nasdaq
symbol will be: WRKE (common stock) and WRKEW (warrants).
The Company filed for Chapter 11 protection from its creditors on May 29, 1996, due to the contingent liabilities created by
previous management. The United States Bankruptcy Court for the District of Arizona confirmed the Plan of Reorganization
six months later, in early December, 1996, and the Company set February 1, 1997 as the Effective Date for WRI's
emergence from Chapter 11.
The Plan of Reorganization authorizes a 10:1 reverse split of Old Common Stock to New Common Stock. Holders of Old
Common Stock will also receive Warrants for the purchase of New Common Stock at an exercise price of $2.50 per share.
Though 4.6 million Warrants will be issued, only 2.7 million may be exercised, on a first-come basis, during a period not to
exceed 180 days, ending July 31, 1997.
For additional information regarding the Company's Plan of Reorganization and financial condition, consult Forms 8-K and
10-Q, filed January 31, 1997.
Dorcas R. Hardy, former U.S. Commissioner of Social Security, who served as WRI's Acting President and Chief Executive
Officer during the turn-around, has been appointed President and Chief Executive Officer of WRI effective February 1. "We
have put the past's problems behind us in a very timely fashion. Now we can concentrate on our growth and plans to ensure
that shareholders receive value for their investment. I am committed to building an outstanding rehabilitation technology
firm and to making ERGOS(R) not only the industry standard, but also a household word!"
Work Recovery, Inc. manufactures and markets its proprietary and objective Functional Capacity Evaluation technology,
ERGOS(R), which evaluates an individual's capacity to perform work.
SOURCE Work Recovery, Inc./CONTACT: Jodi Stefaniak of Work Recovery, Inc., 520-322-6634, or weekend:
520-529-2275/