Vencor International made the following announcement on Thursday:

"Vencor's new Internet division is definitely the most interesting development at our company as of present. The company is eager to use our wide network of industry contacts and associations to bring together a fragmented and diverse global textile industry via the streamlining efficiencies of the Internet at our site, the The company has always believed that technology should take a larger role in the textile industry. While technology is revolutionizing most other industries, too many people in the apparel industry still do business the "old fashioned" way instead of taking advantage of the many ways to increase productivity, profitability and professionalism. Vencor hopes to break this trend.

"Vencor's Internet services group will offer a way of connecting buyers and suppliers by eliminating the middle layers in the supply and distribution chains. Vencor's revenue model from this operation may consist of advertising, transaction fees, Web site development/maintenance fees, e-commerce consulting fees and subscription dues. Currently, the company is working on compiling a definitive worldwide network for the apparel industry as well as undergoing a selection process for hiring an innovative Web site development firm. Management is looking forward to announcing our Web site construction team in the next few weeks.

"In line with the new strategy, Vencor is taking fantastic office space in the heart of the New York garment district. This office will serve as our outpost for the East Coast fashion industry as well as overseeing the sales staff in Europe and Asia. The company management team expects to spend more time in New York over the next year developing and staffing this office. In addition, our presence in New York will help us in getting our message to Wall Street and the many institutional investors that are already showing interest in our strategy.

"Vencor invites the public and its shareholders to contact us to discuss these new developments in greater detail. Our phone number is 213/893-7116. Please ask to speak to our director of marketing, Phil Dragna. 'We always enjoy hearing from current investors or potential new ones,' Phil said.

"Vencor asks its shareholders to be patient during our transition from the Bulletin Board to the American Stock Exchange or potentially the Nasdaq National Market. Vencor is working to fulfill the requirements to be listed. By getting off the Bulletin Board, an entire new group of potential shareholders will have the ability to invest in Vencor. Various asset management firms and investment banks interested in our new Internet strategy have already contacted Vencor for more information. On May 18, for a short period of time, Vencor will have its stock traded on the Over-The-Counter (OTC) Pink Sheet Market. Vencor is excited that M.H. Meyerson & Company of Jersey City, N.J., will act as a new market maker for our stock. They can be reached at 800/888-8118 or on the Internet at

"Vencor International Inc. assures its shareholders that the management will work diligently to make the company a valuable investment in your portfolio. Though Vencor has no control over the price of the stock, the company assures its shareholders that it will do everything in its power to maximize shareholder value."