BURLINGTON, Vt., Nov. 22 /PRNewswire-FirstCall/ -- IDX Systems Corporation , a leading provider of healthcare information systems, today announced that it has acquired PointDx, Inc., a developer of structured medical reporting technology based in Winston-Salem, NC. PointDx structured reporting technology will be directly integrated into the IDX Imagecast(TM) RIS/PACS, resulting in a completely new paradigm for diagnostic reporting, procedure coding and outcomes monitoring.
For IDX customers, structured reporting in RIS/PACS is expected to drive improvements to revenue cycle management and the efficiency of clinical staff, reduce medical errors, and concurrently deliver a clear, high-quality diagnostic report to the referring provider base. With structured reporting, Imagecast will enable healthcare providers to create a concise, properly structured report that leverages a common medical vocabulary and incorporates key images, which can be used to launch the full image set electronically. The improved diagnostic report is designed to enable improved outcomes monitoring and better position the referring provider to deliver enhanced patient care. Furthermore, Imagecast with structured reporting is designed to help automate or remove steps in the coding and billing process, yielding shorter turnaround times and an improved revenue cycle.
"The integration of structured reporting follows a long tradition of technology leadership at IDX," said Walt Marti, Vice President and General Manager, IDX Imagecast Operating Unit. "We were among the first to develop an entirely web-based solution for radiology and we were leaders in direct RIS to PACS integration. We were ahead of the curve with a single database enterprise-wide image and information distribution solution. The integration of structured reporting capabilities into Imagecast will tighten the relationship between workflow and the imaging activities of the radiology department and will mark the beginning of a new paradigm in diagnostic reporting," Marti added. "It is one of the many things we're excited about highlighting as we head into the 2004 RSNA."
According to Dr. Yaorong Ge, Chief Technology Officer and a co-founder of PointDx, joining IDX is a logical next step in promoting the company's original vision for a standardized, more efficient radiology workflow. "Becoming part of a trusted and proven leader like IDX gives us the opportunity to have a greater impact in helping clinicians do their important work-better and faster," Dr. Ge said. "All of us at PointDx are eager to contribute to IDX's culture of innovation and excellence." Dr. Ge will assume the role of Director, Software Engineering, IDX Imagecast Operating Unit.
"The seamless and efficient flow of information is essential to achieving clinical excellence," said James H. Crook, Jr., Chief Executive Officer, IDX. "By seeking out and integrating technological advances that will improve the performance and quality of all forms of diagnostic imaging, Imagecast is promoting IDX's vision of improved patient care."
The transaction will be accounted for using the purchase method of accounting and, accordingly, results of operations for PointDx will be included in the IDX consolidated financial statements as of the date of acquisition. The purchase price of PointDx will be allocated based on management's estimates and independent appraisals, which are currently underway. The purchase price is expected to be approximately $8 million. The transaction will be paid out over the course of an earn-out through 2005. IDX anticipates a fourth-quarter cash payout of approximately $3 million.
The integrated Imagecast/PointDx solution is expected to be in pilot at select customer sites within the first half of 2005. IDX will feature this technology at the upcoming RSNA Conference in Chicago, November 28 - December 3, 2004. Visit booth 1936.
About IDX Imagecast(TM)
Imagecast solutions provide healthcare institutions, such as hospitals, academic medical centers, integrated delivery networks and imaging centers, with comprehensive distributed access to significant clinical findings and associated images. Our solutions optimize productivity, enhance business practices and facilitate clinical decision making. Today's leading medical specialists, business managers and executives can depend on IDX because only Imagecast products combine advanced technology with unmatched expertise to deliver visionary workflow integration. For more information, visit http://www.idx.com/imagecast.
About PointDx
Founded in 1999, PointDx is a provider of structured reporting solutions for radiology. Based on the tenet that radiology reporting can -- and should -- be more efficient and more standardized, PointDx's flagship product, REX, offers a unique workflow solution that integrates the processes of analyzing images and creating reports into a single step.
About IDX
Founded in 1969, IDX Systems Corporation provides information technology solutions to maximize value in the delivery of healthcare, improve the quality of patient service, enhance medical outcomes, and reduce the costs of care. IDX supports these objectives with a broad range of complementary and functionally rich products installed at 3,300 customer sites. Customers include 138,000 physicians who utilize practice management systems to improve patient care and other workflow processes. IDX software solutions are installed at:
* 380 integrated delivery networks (IDNs) representing more than 500
hospitals
* 175 large group practices with more than 200 physicians
* 665 mid-size group practices with less than 200 physicians
IDX also provides its enterprise clinical software as a subcontractor to BT and Fujitsu Services, Local Service Providers for the United Kingdom National Health Service's National Programme for Information Technology, an initiative to establish electronic patient records for 50 million patients.
The IDX web strategy includes browser technology, e-commerce and web-based tools -- built using Internet architecture -- that facilitates access for patients, physicians and care providers to vital health information and data managed by the IDX clinical, administrative, financial, and managed care products. IDX has approximately 2,100 full-time employees.
IDX and Imagecast are trademarks or registered trademarks of IDX Investment Corporation.
This press release contains forward-looking statements about IDX Systems Corporation that involve a number of risks and uncertainties. Among the important factors that could cause actual results to differ materially from those indicated by such forward-looking statements are uncertainties or difficulties in developing new services and systems, including structured reporting, difficulties in integrating acquisitions, including PointDx, difficulties in implementing systems, possible deferral, delay or cancellation by customers of computer system or service purchase decisions, possible delay of system installations and service implementations, development by competitors of new or superior technologies, changing economic, political and regulatory influences on the healthcare industry, possible disruptions in the national economy caused by terrorist activities and foreign conflicts, changes in product pricing policies, governmental regulation of IDX's software and operations, the possibility of product-related liabilities, and factors detailed from time to time in IDX's periodic reports and registration statements filed with the Securities and Exchange Commission, which important factors are incorporated herein by reference. IDX undertakes no obligation to update forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events, or changes in future operating results, financial condition or business over time.
Contacts: Margo Happer Vice President, Investor Relations and Corporate Communications IDX Systems Corporation (802) 859-6169 Bob Osmond Osmosis Communications, Inc. For IDX Systems Corporation bob@osmosiscommunications.com (802) 472-3444
IDX Systems CorporationCONTACT: Margo Happer, Vice President, Investor Relations and CorporateCommunications of IDX Systems Corporation, +1-802-859-6169; or Bob Osmond ofOsmosis Communications, Inc. for IDX Systems Corporation, +1-802-472-3444,bob@osmosiscommunications.com
Web site: http://www.idx.com/