Medical Action to Acquire Medical Products Division of Acme United

Medical Action Industries Inc., a supplier of medical and surgical disposable products, will acquire the medical products division of Acme United Corp. Acme's medical products division has been a leader in the field of disposable medical products for more than 20 years and had net revenues for the year ended December 31, 1998, of approximately $10.1 million.

Paul D. Meringola, CEO and president of Medical Action, said, "This transaction, which is expected to close in approximately 30 days, will be accretive to earnings immediately and will accelerate the company's goal of reaching $100 million in annual revenues by July 1, 2000, and increasing earnings next year by more than 25%. The acquired products will be marketed through our existing channels of distribution. The Division will be absorbed into Medical Action's facilities in New York and North Carolina, further increasing operating efficiencies."