MIAMI, FL and DURHAM, NC , February 9, 2004 - Stephen J. Dresnick, MD, FACEP and Resurgence Asset Management, LLC today announced the completion of the purchase of the assets of PhyAmerica Physician Group. Dr. Dresnick and Resurgence won the right to buy the PhyAmerica on November 25, 2003, when federal bankruptcy court Judge E. Stephen Derby recognized their offer of $90 million in total consideration as the highest and best bid.

"We have already taken significant steps to assure the financial stability of the company, and to provide a swift and smooth transition for the hospitals, physicians and employees who are so critical to our success," said Dr. Dresnick, who will serve as the company's President and Chief Executive Officer. "The new company will be driven by a dedication to quality care and a desire to partner with our clients and physicians."

Through the sale process, the company retained most of its key operational employees and physicians. "We are committed to maintaining these important relationships, and are pleased to have provided $10 million in financing to allow PhyAmerica to meet its obligations during December and January," said Dr. Dresnick.

In addition to financing from Dr. Dresnick and Resurgence, the new venture is backed by a $54 million credit facility provided by GE Healthcare Financial Services. to finance the ongoing operations of the company.

In a simultaneous transaction, the Dresnick-Resurgence venture also acquired the Jacksonville operations of Healthcare Business Resources, Inc. "Owning these facilities enhances our ability to provide quality physician services in a timely manner," said Dr. Dresnick. "Our strong financial sponsors give us an added ability to maintain state-of-the-art information systems, and invest in new technology as needed."

"With a new management team and strong financial backing, the company is stabilized and ready for growth," said Dr. Dresnick. "By retaining most of our key clients and focusing on our strengths, we are preparing for a bright future."

PhyAmerica provides emergency physician and allied health professional staffing and management to emergency departments at over 200 hospitals in 28 states. Founded as Coastal Healthcare Group, the company bought Sterling Healthcare Group in 1999 from FPA Medical Management Inc. of Miami, which had purchased Sterling from Dr. Dresnick in 1996.

About Resurgence Asset Management, LLC

Resurgence Asset Management, LLC is an investment manager with $1.1 billion in capital under management. Resurgence specializes in investing in distressed companies and other special situations, and has been a leader in this field since 1989. Resurgence has a history of successful investments in the Healthcare Industry including physician practice management, ambulatory surgery centers and hospitals. In other industries, Resurgence is currently the majority shareholder of Levitz Home Furnishings, Inc. and Sterling Chemicals, Inc. both purchased out of Chapter 11 proceedings.

About Stephen J. Dresnick, MD, FACEP

Dr. Stephen Dresnick has extensive experience in the physician practice management industry. From 1987 through 1998, Dr. Dresnick served as President and Chief Executive Officer of Sterling Healthcare Group, Inc., a physician contract management company he founded in 1987. Sterling Healthcare Group, Inc. was acquired by FPA Medical Management, Inc. of San Diego, California in October of 1996. From 1996 to 1998 Dr. Dresnick continued to serve as President of Sterling and also served as Vice Chairman of the Board of Directors of FPA. In March 1998, Dr. Dresnick became the President and Chief Executive Officer of FPA, and led its successful restructuring including its ultimate sale to Coastal Physicians' Group and Humana Health Plan. Since 1999 Dr. Dresnick has been involved in numerous healthcare related investments.

About GE Healthcare Financial Services

GE Healthcare Financial Services, a unit of GE Commercial Finance, is a provider of capital, financial solutions, and related services for the global healthcare market. With over $10 billion of capital committed to the healthcare industry, GE Healthcare Financial Services offers a full range of capabilities from equipment financing and real estate financing to working capital lending, vendor programs, and practice acquisition financing. With its knowledge of all aspects of healthcare from hospitals and long-term care facilities to physicians' practices and life sciences, GE Healthcare Financial Services works with customers to create tailored financial solutions that help them improve their productivity and profitability. For more information, visit GE Healthcare Financial Services' Web site at .