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ABX Holdings, Inc. (ABXA) and Red Mountain Sign Confidentiality and Standstill Agreement

ABX Holdings, Inc. (ABXA) announced that it has entered into a confidentiality and standstill agreement with Red Mountain Capital Partners LLC, a California investment firm that owns 6.8% of the common share of ABX Holdings. Red Mountain is an investment firm based in Los Angeles that takes long term strategic stakes in micro cap public companies and works with management to increase shareholder value.

Under the agreement, ABX Holdings has agreed to provide Red Mountain with certain non-public information about ABX Holdings on a confidential basis. Red Mountain has agreed that it will protect the confidentiality of that information, and will not without board approval:

• acquire in excess of 14.9% of the issued and outstanding Common Stock;
• solicit proxies with respect to any voting securities of ABX Holdings;
• seek the nomination of any person to the board of ABX;
• submit a proposal for extraordinary transactions involving ABX; or
• seek to control or influence management, the board or policies of ABX.

The agreement will remain in effect through December 31, 2008 unless terminated earlier by either party.

Joe Hete, president and chief executive officer of ABX stated, “Red Mountain shares our goal of enhancing value for shareholders of ABX Holdings, and has long expressed interest in advising us about operations, strategic direction, capital structure and corporate governance matters that may further our shared objective. This agreement provides a means for them to do so on a fully informed basis. We look forward to wide ranging and open discussions with the principals of Red Mountain.”

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