SOURCE: Bad Toys Holdings, Inc.

May 21, 2007 10:09 ET

Bad Toys Holdings, Inc. Announces Southland Health Services, Inc. Changes Accounting Method for Revenue

KINGSPORT, TN -- (MARKET WIRE) -- May 21, 2007 -- Bad Toys Holdings, Inc. (OTCBB: BTYH) announced today that its formally wholly owned subsidiary, Southland Health Services, Inc., will change its method of accounting for revenue and uncompensated care, previously referred to as the provision for doubtful accounts or bad debt, in order to align with the preferred industry standard. In addition to its historical presentation of presenting revenue net of contractual discounts, the Company will now present its revenue net of uncompensated care as well.

The Company historically has presented revenue net of contractual discounts. The estimate for uncompensated care, previously defined as the provision for doubtful accounts or bad debt, was presented as an operating expense. The new method will have no impact on operating income, net income, earnings per share, or operating cash flows as reported in the current year or in prior years.

The change will coincide with the Company's filing of its first quarter's 10Q to be filed with the SEC later today. The new method of accounting will be presented in all of the Company's future reports including the restatement of historical numbers within those reports for comparability purposes.

Southland believes that it is uniquely positioned and will continue to be one of the leading providers of ambulance and medical transportation services. Southland plans to continue to grow through acquisitions of independent rural service providers where synergies and economies of scale will provide targeted profit margins, growing its current existing contractual relationship base with various counties, as well as expanding into new markets.

About Bad Toys Holdings, Inc.

Bad Toys Holdings, Inc. (OTCBB: BTYH) participates in two distinct business segments:

Bad Toys, Inc.

This division, Bad Toys, Inc., American Eagle Manufacturing Company and Gambler Motorcycle Company, continues to design, manufacture, distribute, service and sell custom made, Harley-Davidson type, V-twin motorcycles from component parts. We also offer premium accessories, parts, customizing items and apparel related to Harley-Davidson motorcycles on-line and directly from our retail and factory outlets. This division also participates in Sprint Car Racing products and custom car construction and restoration.

Southland Health Services, Inc.

The second business segment, in which the company is a major shareholder (25%) of Southland Health Services, Inc., provides an array of Health Care services including ambulatory emergency and non-emergency patient transport, wheel-chair van, stretcher van and related transport services. Southland operates in over 200 communities within the following seven states: Mississippi, Alabama, Florida, Kansas, Tennessee, Virginia, and Georgia. We operate in excess of 207 ambulances and wheelchair vans and have over 940 full and part-time employees. At our current run rate we will transport more than 130,000 patients in this calendar year.

For further information, contact Bad Toys Holdings, Inc., Larry N. Lunan, President and Chief Executive Officer, (423) 247-9560 or Al Kau, Investor Relations in California at (888) 795-3166. Further information about the Company may be obtained on its website at www.badtoys.net or our future website www.paladincorp.com.

Certain statements in this release and other written or oral statements made by or on behalf of the Company are "forward-looking statements" within the meaning of the federal securities laws. Statements regarding future events and developments and our future performance, as well as management's expectations, beliefs, plans, estimates or projections relating to the future are forward-looking statements within the meaning of these laws. The forward-looking statements are subject to a number of risks and uncertainties including market acceptance of the Company's services and projects and the Company's continued access to capital and other risks and uncertainties outlined in its filings with the Securities and Exchange Commission, its press releases and other communications. The actual results the Company achieves may differ materially from any forward-looking statements due to such risks and uncertainties. These statements are based on our current expectations and speak only as of the date of such statements. The Company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of future events, new information or otherwise.

Contact Information

  • Contact:
    Larry N. Lunan
    President and Chief Executive Officer
    Bad Toys Holdings, Inc.
    (423) 247-9560
    http://www.badtoys.net

    Al Kau
    Investor Relations in California
    (888) 795-3166