Quantum Group Announces Pending Acquisition of Billing and Collections Company

The Quantum Group, Inc. announced today that through its subsidiary company QMed Billing, Inc., it has entered into a Letter of Intent to acquire a Miami-based billing and collections company. Quantum expects to close this acquisition within 120 days time, during which Quantum has executed a Management Agreement and as of June 1, 2006, has assumed control of the day-to-day operations of the billing company. The Company has begun conducting the appropriate due diligence and pre-closing process necessary to facilitate the full acquisition.

Quantum President & CEO Noel J. Guillama commented, “We are all very excited by this opportunity. We believe that entering into this acquisition by providing management services in advance of closing will ensure a more seamless transition to ownership.” Guillama continued, “QMed Billing seeks to acquire billing and collections companies throughout the state of Florida to provide more localized and comprehensive service to our customers — the Physicians. We will begin to market this new service to our contracted Renaissance Providers first, thereby fulfilling our commitment to our Providers.”

The Quantum model is to provide a single source solution for the medical community by creating a more effective and efficient medical delivery system. QMed Billing represents a fundamental component of this model — with other services forecasted to follow quickly in its footsteps. Guillama commented, “We have promised our shareholders to build a new kind of company, and are pleased with the progress we have made thus far toward fulfilling this promise. We look very positively toward our future.”