- 2-year extension with Serve You Prescription Management Inc. valued at $900,000 - Toronto Stock Exchange Symbol: SXC
MILTON, ON, June 10 /PRNewswire-FirstCall/ - Systems Xcellence, Inc. ("SXC" or "the Company") (TSX: SXC) a leading provider of healthcare information technology solutions throughout the pharmaceutical benefits supply chain, today announced that it has renewed its Application Service Provider (ASP) contract with Serve You Custom Prescription Management ("Serve You") of Milwaukee, WI, USA.
SXC will provide Serve You with ASP-versions of RxCLAIM(R) (for pharmacy benefit management) and RxTRACK(TM) (a data warehouse and information analysis tool), for approximately $450,000 per year over a two-year period.
"We have built our business around RxTRACK(TM) and the custom reports this unique software has allowed us to develop for our clients," said Sharon Murillo, President of Serve You. "The flexibility of SXC's applications gives us a competitive edge in this industry by allowing our company to customize and innovate quickly to satisfy our customers' needs."
"SXC welcomes this repeat business with Serve You, a growing Pharmacy Benefit Manager (PBM) that has been a client of ours since 1991," said Gordon S. Glenn, President & CEO of SXC. "This renewal not only supports our strategy of increasing the availability of our ASP services, it further underscores our ability to address the needs of long-standing customers like Serve You.
SXC is a key player in the U.S. pharmaceutical benefit IT market, which is valued at approximately US$2.1 billion annually. Factors driving growth in this industry include:
- a rising percentage of Americans who take prescription drugs on a daily basis; - the rise in direct-to-consumer advertising; - the Bush Administration's pledge to provide drug benefits to senior citizens; and - the fact that U.S. healthcare providers and payers must generally be compliant with the regulatory requirements of the Health Insurance Portability and Accountability Act (HIPAA) by October 2003.
These forces have combined to fuel demand from healthcare payers as they look to control the escalating costs of delivering healthcare benefits.
About Serve You Custom Prescription Management
Serve You - Custom Prescription Management was created in 1987 by a group of provider pharmacies, joined together to form an integrated system for the delivery of comprehensive pharmacy benefit services. Still pharmacy-owned, and headquartered in Milwaukee, WI, they believe that effectively managing these services is an essential component of any health care program.
Serve You provides pharmaceutical care and cost management services to self-insured employers, third party administrators, insurance carriers, HMO's and other payer groups. Services include prescription claims processing and payment, benefit design and management, consultative services and state-of-the-art reporting capabilities. Serve You maintains a national pharmacy network of over 50,000 participating pharmacies. They also operate their own mail service pharmacy that is seamlessly integrated with this pharmacy network.
About Systems Xcellence Inc
Systems Xcellence (SXC) is headquartered in Milton, Ontario with offices and processing centres in Lombard, Illinois, Scottsdale, Arizona and Victoria, British Columbia. SXC is a leading provider of healthcare information technology solutions and services to the pharmacy benefits management industry. The Company's product offerings and solutions combine a wide range of software applications, ASP processing services and professional services, designed for many of the largest organizations in the pharmaceutical supply chain, such as pharmacy benefit managers, managed care organizations, retail pharmacy chains and other healthcare intermediaries.
The Company's products offer its customers comprehensive pharmacy benefits management, claims switching and processing, drug dispensing, data warehousing and analysis, and rebate contract management systems. SXC delivers these solutions to its customers as software products bundled with systems implementation and consulting services, or on an ASP basis from its data centres in Scottsdale, Arizona and Lombard, Illinois. The Company's shares are traded on the Toronto Stock Exchange under the symbol SXC. SXC can be found on the Internet at http://www.sxc.com/.
This press release contains forward-looking statements based on current expectations. These forward-looking statements entail various risks and uncertainties that could cause actual results to differ materially from those reflected in these forward-looking statements. Risks and uncertainties about the Company's business are more fully discussed in the Management Discussion and Analysis published in the Company's annual report.
Contact: Dave Mason, Investor Relations, The Equicom Group Inc., (416) 815-0700 ext. 237, (416) 815-0080 Fax, Dmason@equicomgroup.com; Irwin Studen, Chief Financial Officer, Systems Xcellence Inc., Tel: (905) 876-4741, Fax: (905) 876-4447, Investors@sx.com
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