INTERCARE &lt;CARE> DROPS OFFERING, BUYOUT PLANS

  InterCare Inc said it 
  terminated plans to acquire Universal Care, a California health
  mainenance organization, following First Jersey Securities'
  decision to withdraw as underwriter for InterCare's proposed
  public debt and equity securities offering.
      The acquisition was contingent on its ability to obtain
  financing to fund the 1.9 mln dlr cash portion of the purchase
  price, InterCare said.
      It also said the offering was aimed at raising 7.5 mln dlrs
  for working capital and 1.7 mln to repay debt incurred in
  connection with its recent acquisition of U.S. Medical
  Enterprises Inc.
      The company further stated that it has a 1.7 mln dlr
  working capital deficit and it will therefore reduce operating
  expenses by decreasing operating hours, workforce reductions
  and the sale of certain assets.
  

