Advance Paradigm, Inc.
Ticker: ADVP 545 East John Carpenter Freeway, Suite 1900
Exchange: NASDAQ-National Market Irving, Texas 75062
Industry: Service (214) 830-6199

Type of Shares:Common Shares Filing Date:6/26/96
U.S. Shares:2,647,114 Offer Date:10/8/96
Non-U.S. Shares:0 Filing Price: -
Primary Shares:2,000,000 Offer Price:$9.00
Secondary Shares:647,114 Gross Spread:$0.63
Offering Amount: $34,500,000 Selling:$0.34
Expenses:$500,000 Reallowance:$0.10
Shares Out After:7,403,750

ManagerTierPhone
Hambrecht & Quist IncorporatedLead Manager (415) 576-3423
J.P. Morgan Securities Inc.Co-manager (212) 648-9922
Montgomery SecuritiesCo-manager (415) 627-2220

Auditor: Arthur Andersen
Audited
Income
Latest
Unaudited
Income
Prior
Unaudited
Income
Balance
Sheet
3/31/96 6/30/96 6/30/95 6/30/96
Revenue:$87.72$49.81$25.69Assets:$72.09
Net Income:$1.04$0.67-$0.34Liabilities:$51.03
EPS:$0.25$0.12Equity:$21.07

Note: Dollar amounts are in U.S. millions; Audited figures expressed as full year,
unaudited figures are partial year

Business Description
The company is a leading independent provider of pharmacy benefit management services to health benefit plan sponsors, with over nine million health plan members enrolled in the company's programs. The company's primary focus is on the delivery of cost-effective, high quality, integrated PBM services. In addition, the company has developed and is expanding its clinical expertise and disease management services to meet the specialized recurring therapies. These services are designed to inform and educate health benefit plan sponsors, their members and participating physicians of nationally recognized practice guidelines for various disease states. This encourages physician and member conformance, improves compliance with recognized standards and, in turn, improves member health while reducing cost of care. The company's PBM services include clinical and benefit design consultation, formulary and rebate administration, electronic point-of-sale pharmacy claims processing, mail pharmacy distribution, pharmacy network management, drug utilization review and data information reporting.

Use of Proceeds
The proceeds from the offering will be used for repayment of debt, capital expenditures, possible acquisitions, working capital and other general corporate purposes.

Last updated: 12/8/96

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