FOR IMMEDIATE RELEASE

State of West Virginia To Deploy Medsphere OpenVista® Electronic Health Record in Statewide Healthcare Quality Initiative

First Adoption of OpenVista by a State Public Health Agency


ALISO VIEJO, California, Apr. 11, 2006 - Medsphere Systems Corporation, the leading commercial provider of open source-based electronic health record (EHR) systems and services, today announced a contract with the State of West Virginia that will bring the Medsphere OpenVista® EHR platform to seven state-operated acute care hospitals, psychiatric hospitals and long-term care facilities. The contract is part of a broader effort to improve healthcare quality in West Virginia, highlighted by recent legislation to provide greater access to affordable health insurance to uninsured residents.

The Bureau for Behavior Health and Health Facilities of West Virginia's Department of Health and Human Resources selected Medsphere to supply and deploy its OpenVista software suite in order to create a complete electronic repository of patient information. OpenVista is a commercial implementation of the highly acclaimed VistA EHR system developed and used by the U.S. Department of Veteran Affairs in all of its facilities. The VistA system has played a key role in raising the quality of care in VA hospitals, which today regularly outperform their non-VA counterparts according to industry and peer-reviewed studies.

"This effort is an important step toward healthcare reform efforts in West Virginia. By having all records available to a healthcare provider, we should be able to reduce costs," said Martha Walker, secretary of the West Virginia Department of Health and Human Resources. "We firmly believe that having an electronic health record for all our patients in all our facilities will result in higher quality patient care and cost savings."

Under the West Virginia contract, OpenVista will be installed at Welch Community Hospital (Welch), Mildred Mitchell-Bateman Hospital (Huntington), William R. Sharpe Jr. Hospital (Weston), Hopemont Hospital (Hopemont), Lakin Hospital (Lakin), John Machin Sr. Health Care Center (Fairmont), and Pinecrest Hospital (Beckley).

"VistA has been one of the great healthcare success stories in recent years. Our OpenVista platform gives healthcare facilities access to the full functionality of VistA to improve their operations," said Medsphere CEO Kenneth W. Kizer, MD MPH. "I commend West Virginia for the leadership that it is demonstrating in enhancing patient safety, increasing clinical efficiency and improving the quality of healthcare delivery through use of an electronic health record."

Medsphere's integrated suite of OpenVista clinical and administrative modules can be deployed across acute, ambulatory, and long-term care environments, enabling information sharing that helps maximize clinical performance, reduce costs and improve healthcare outcomes. Modules cover the breadth of patient care functions including patient information management, health information management, laboratory, pharmacy, radiology, nutrition and food service, and a robust clinical information system complete with clinical documentation, computerized provider order entry and clinical reminders.


About Medsphere Systems Corporation

As the Open Source source for healthcare, Medsphere is revolutionizing the industry by delivering commercially supported software based on the U.S. Department of Veterans Affairs' proven VistA electronic health record (EHR). Medsphere offers healthcare an economically sustainable and comprehensive solution in OpenVista®, a portfolio of products and professional services for hospitals, clinics, and integrated delivery networks. The company addresses the capital constraints of the healthcare industry through an innovative subscription-based pricing model. Medsphere's experienced team of healthcare technology professionals and unique suite of implementation tools deliver a fluid transition to a comprehensive healthcare information technology solution. Founded in 2002, Medsphere is backed financially by Azure Capital Partners, Thomas Weisel Venture Partners, and the Wasatch Venture Fund. For more information, visit www.medsphere.com.


Contacts


Corporate:
Rick Jung
Chief Operating Officer
Medsphere Systems Corporation
(949) 297-8182 office
rick.jung@medsphere.com
  Media:
Marisa Borgasano
Schwartz Communications
(415) 512-0770 (office)
medsphere@schwartz-pr.com

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