American CareSource Holdings, Inc. (NASDAQ: ANCI), the nation’s leading ancillary healthcare network, announced today that it has executed an agreement with a national Third Party Administrator (“TPA”) representing over 140,000 covered lives. After completing due diligence and a successful pilot-program, the Chicago-based TPA estimates to have all covered lives participating in the American CareSource network by April 1, 2011. The TPA initially started submitting claims to American CareSource in November 2010. “We are delighted to begin 2011 with this leading TPA. Our commitment to growing direct payor and third party administrator business on a national basis continues to be effective and we are encouraged by the progress we have made with being awarded national contracts. This is the fifteenth TPA we have added in the last two years. This is in addition to the two insurance carriers we have added,” said David S. Boone, Chief Executive Officer of American CareSource. The agreement will allow American CareSource to provide access to its network of over 4,900 nationally-based ancillary care providers at affordable costs. “In light of two decades of ever rising healthcare costs in the public and private sector, our executive team continues its mission of offering innovative cost-containment solutions within the payor community. We are confident that by providing access to our extensive provider network, TPAs and direct payors now gain a significant competitive advantage in the marketplace by effectively reducing medical costs,” Boone further commented. About American CareSource Holdings, Inc. American CareSource Holdings is the first national, publicly traded ancillary care network services company. The Company offers a comprehensive national network of over 4,900 ancillary service providers at more than 36,000 sites through its subsidiary, Ancillary Care Services. Ancillary Care Services provides ancillary health care services through its network that offers cost effective alternatives to physician and hospital-based services. This market is estimated at $574 billion and has grown to 30% of total national healthcare expenditures. These providers offer services in 31 categories including laboratories, dialysis centers, free-standing diagnostic imaging centers, non-hospital surgery centers, as well as durable medical equipment such as orthotics and prosthetics and others. The Company's ancillary network and management provides a complete outsourced solution for a wide variety of health care payors and plan sponsors including self-insured employers, indemnity insurers, PPOs, HMOs, TPAs and both federal and local governments. For additional information, please visit www.anci-care.com. ANCI-GSafe Harbor Statement under the Private Securities Litigation Reform Act of 1995: Any statements that are not historical facts contained in this release, including with respect to future engagements by clients, revenue growth, earnings, and guidance are forward-looking statements. It is possible that the assumptions made by American CareSource Holdings, Inc. for purposes of such statements may prove to be inaccurate or may not materialize. Actual results may differ materially from those projected or implied in any forward-looking statement. Such statements may involve further risks and uncertainties, including but not limited to those relating to demand for our services, pricing, market acceptance, our ability to integrate with our clients, our ability to attract and maintain providers, our ability to manage growth, the effect of economic, political and regulatory conditions, the effect of competition, risks in product development, the ability to complete transactions, and other risks identified in this release, and the Securities and Exchange Commission filings of American CareSource Holdings, Inc.