RadNet acquires five imaging centers of Progressive Health in Northern New Jersey

RadNet, Inc. (Nasdaq:RDNT), a national leader in providing high-quality, cost-effective, fixed-site outpatient diagnostic imaging services through a network of 198 fully-owned and operated outpatient imaging centers, today reported it has completed the previously announced acquisition of five imaging centers in Northern New Jersey and a 50% equity interest in a sixth center from Progressive Health, LLC and certain affiliates and related entities.

During the third quarter of 2010, the Company executed a definitive agreement to acquire substantially all of the New Jersey businesses of Progressive Health, LLC and related entities. The facilities located in Englewood Cliffs, Union City, Hackensack, Bloomfield, Englewood and Rutherford operate a combination of MRI, CT, ultrasound, mammography, x-ray and other related modalities. Included with the purchase, we acquired a 50% ownership interest in the Rutherford facility.

In connection with the acquisition, the two managing principals of Progressive Health have assumed key management roles in RadNet's New Jersey operations. William Farrell has become RadNet's Senior Vice President of New Jersey Operations, and Robert Farrell has become RadNet's Senior Vice President and Northeast Development Officer. The operational management of the six Progressive Health facilities will be consolidated with those of the 11 New Jersey facilities RadNet has acquired since the beginning of 2009.

"We are very excited to welcome the many outstanding employees of Progressive Health into the RadNet organization. In particular, I am very pleased that Bill and Bob Farrell have assumed key responsibilities within our New Jersey and Northeast operations. We look forward to working with them to continue to build our presence in these regions," said Dr. Howard Berger, President and Chief Executive Officer of RadNet.