25.08.2008 22:11:00
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Glass Lewis Recommends Shareholders Vote the White Proxy Card in Support of All Quality Systems Board Nominees
Quality Systems, Inc. (Nasdaq: QSII) announced today that Glass Lewis, a
leading proxy advisory service, has recommended that shareholders vote
for all of the company’s Board of Directors
nominees at Quality Systems’ annual meeting of
shareholders on September 4, 2008. Glass Lewis also advised shareholders
to vote against a proposal offered by dissident shareholder Ahmed
Hussein, which would require the company to amend the definition of "independent
director” in its corporate bylaws.
In recommending that shareholders vote with management for the director
nominees George Bristol, Patrick Cline, Philip N. Kaplan, Vincent J.
Love, Russell Pflueger, Steven T. Plochocki, Sheldon Razin and Robert L.
Smith, the report cited the company’s
positive, long-term financial performance accomplished primarily under
the leadership of the company’s Board nominees
and current management team. The report also cited Mr. Hussein’s
lack of a strategic plan and decision not to attend certain committee
meetings during his tenure as a Board member as a reasons not to support
his director nominee slate. Glass Lewis also dismissed Mr. Hussein’s
criticism of the company’s compensation
practices by awarding Quality Systems an "A”
grade for its "excellent pay-for-performance
practices.”
In its analysis, Glass Lewis noted: "…considering
the recent transition of leadership at the Company, as well as the
absence of an alternative operating plan from the Dissident,
shareholders should allow the executive team the opportunity to create
positive change.”
The Glass Lewis report also analyzed the proposal offered by Mr. Hussein
relating to the company’s definition of "independent
director.” The report stated: "Prohibiting
any director who previously served as CEO of the Company may prevent the
Company from benefiting from the knowledge and expertise of a director
with substantial knowledge of the Company”
and advised shareholders to vote against this proposal.
Steven Plochocki, Chief Executive Officer of Quality Systems, said, "We
are pleased that a well-respected, independent third party such as Glass
Lewis has carefully reviewed the voting alternatives and recommends that
shareholders vote for the company’s director
nominees and against the dissident’s proposed
bylaw change. Glass Lewis’ support for our
Board nominees is a strong endorsement of the company’s
financial and operational performance and the pro-shareholder policies
that have guided our efforts. We believe this is the right Board to
partner with management to continue to build value for our shareholders.”
The Company urges all shareholders to vote the WHITE proxy card
today. For more information and voting instructions, Quality Systems
shareholders should visit: www.qsi2008proxy.com/ About Quality Systems, Inc.
Quality Systems, Inc. and its NextGen Healthcare Information Systems
subsidiary develop and market computer-based practice management,
patient records, and connectivity and other applications and services
for medical and dental group practices. Visit www.qsii.com
and www.nextgen.com for additional
information.
SAFE HARBOR PROVISIONS FOR FORWARD-LOOKING STATEMENTS:
Statements made in this release, the proxy statements filed with the
Securities and Exchange Commission ("Commission”),
communications to shareholders, press releases and oral statements made
by our representatives that are not historical in nature, or that state
our or management’s intentions, hopes,
beliefs, expectations or predictions of the future, may constitute "forward-looking
statements” within the meaning of Section 21E
of the Securities and Exchange Act of 1934, as amended. Forward-looking
statements can often be identified by the use of forward-looking
terminology, such as "could,” "should,” "will,” "will be,” "will
lead,” "will
assist,” "intended,” "continue,” "believe,” "may,” "expect,” "hope,” "anticipate,” "goal,” "forecast,” "plan,” or "estimate”
or variations thereof or similar expressions. Forward-looking statements
are not guarantees of future performance.
Forward-looking statements involve risks, uncertainties and assumptions.
It is important to note that any such performance and actual results,
financial condition or business, could differ materially from those
expressed in such forward-looking statements. Factors that could cause
or contribute to such differences include, but are not limited to, the
risk factors discussed under "Risk Factors”
in our Annual Report on Form 10-K for fiscal year ended March 31, 2008,
as well as factors discussed elsewhere in this and other reports and
documents we file with the Commission. Other unforeseen factors not
identified herein could also have such an effect. We undertake no
obligation to update or revise forward-looking statements to reflect
changed assumptions, the occurrence of unanticipated events or changes
in future operating results, financial condition or business over time
unless required by law. Interested persons are urged to review the risks
described under "Risk Factors”
and in "Management’s
Discussion and Analysis of Financial Condition and Results of Operations”
in our Annual Report on Form 10-K for fiscal year ended March 31, 2008,
as well as in our other public disclosures and filings with the
Commission.
On August 4, 2008, Quality Systems filed its definitive proxy statement
and began the process of mailing its definitive proxy statement,
together with a WHITE proxy card. Shareholders are strongly
advised to read Quality System’s proxy
statement as it contains important information. Shareholders may obtain
an additional copy of Quality System’s
definitive proxy statement and any other documents filed by Quality
Systems with the Commission for free at the Internet website maintained
by the Commission at www.sec.gov.
Copies of Quality Systems proxy materials may be requested by
contacting our proxy solicitor, MacKenzie Partners, Inc. at (800)
322-2885 toll-free or by email at qualitysystems@mackenziepartners.com.
Detailed information regarding the names, affiliations and interests
of individuals who are participants in the solicitation of proxies of
Quality System's shareholders is available in Quality System's
definitive proxy statement filed with the Commission on August 4, 2008.
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