Safescript Pharmacies Announces Change of Auditors, Engagement of Financial Advisory Services and Engagement of Legal Assistance With SEC Investigation LONGVIEW, Texas, Feb. 11 /PRNewswire-FirstCall/ -- Safescript Pharmacies, Inc. (BULLETIN BOARD: SAFS) announced that its Board of Directors, in a meeting on February 5, 2004, authorized the replacement of Heard, McElroy & Vestal, L.L.P. as the Company's independent auditors. The Board of Directors also confirmed that it received a letter from Heard, McElroy & Vestal -- also dated February 5, 2004 -- advising the Company of its resignation as independent auditors for Safescript Pharmacies and withdrawing its opinion regarding the Company's financial statements for the years ended December 31, 2001 and December 31, 2002. A new auditor has not yet been named by the Company. The Company also announced that a Special Committee of its Board of Directors has retained Alvarez & Marsal, Inc., a highly regarded management consulting firm specializing in complex business issues, to provide financial advisory services. In a separate engagement, the Special Committee of the Board of Directors responsible for coordinating the Company's response to the possible enforcement action has retained the Houston law firm of Fulbright & Jaworski L.L.P. as special counsel. Fulbright & Jaworski L.L.P.'s role will be to assist the Special Committee in analyzing various legal matters related to the Company's business and to assist the Special Committee in discussions with the Securities and Exchange Commission. The possible enforcement action by the Securities and Exchange Commission was disclosed on February 3, 2004. In a press release dated February 3, 2004 the Company indicated that a Special Committee of independent directors had been formed to investigate the allegations by the Securities and Exchange Commission. After further review the Special Committee has determined that its members may not satisfy all necessary requirements for independence. The Special Committee has also determined that at this time it will not conduct an internal investigation of the matters raised by the SEC, as previously announced, but rather will concentrate on the Company's response to the SEC. About Safescript Pharmacies, Inc. Safescript Pharmacies, Inc. is a public holding company with four operating subsidiaries, Safe Med Systems, Inc., Safescript Holdings, Inc., Pegasus Pharmacies, Inc. and Advanced Pharmacy Solutions, Inc. Safe Med Systems, Inc. is a medicalcommunications/technology company that provides state-of-the-art, prescription units loaded with patent-pending software and secure, broadband wireless technology. Safescript Holdings, Inc. and Pegasus Pharmacies, Inc. operate the preferred retail pharmacy providers that specialize in filling prescriptions generated by the Safe Med Systems technology. Advanced Pharmacy Solutions, Inc. is closed specialty pharmacy system that delivers psychotropic drugs to community and mental health centers. For additional information please visit our websites at http://www.safescriptinc.com/ . Certain statements in this news release may constitute "forward-looking" statements within the meaning of section 21E of the Securities and Exchange Act of 1934. The Company believes that its expectations, as expressed in these statements are based on reasonable assumptions regarding the risks and uncertainties inherent in achieving those expectations. These statements are not, however, guarantees of future performance and actual results may differ materially. Some of the factors that may affect the forward looking statements in this news release are the rate of acceptance of new versions of proprietary software, the availability of personnel to present new software to users and the availability and functionality of competitive systems. Other risk factors are listed in the most recent Annual Report on Form 10-KSB and Quarterly Report on Form 10-QSB filed with the Securities and Exchange Commission. Such forward-looking statements involve risks, uncertainties, which may cause the actual results, performance, or achievement expressed or implied to differ. Contact: Ed Dmytryk Chief Executive Officer Safescript Pharmacies, Inc. 903-295-6800 Or Yvonne L. Zappulla Managing Director Wall Street Investor Relations Corp. 212-681-4108 DATASOURCE: Safescript Pharmacies, Inc. CONTACT: Ed Dmytryk, Chief Executive Officer of Safescript Pharmacies, Inc., +1-903-295-6800, or ; or Yvonne L. Zappulla, Managing Director of Wall Street Investor Relations Corp., +1-212-681-4108, or , for Safescript Pharmacies, Inc. Web site:http://www.safescriptinc.com/

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