MARIETTA, Ga., Oct. 14 /PRNewswire-FirstCall/ -- Matria Healthcare, Inc. announced today the combined results of eight large employers utilizing Matria’s disease management programs. The results from these Fortune 1000 self-insured employers are presented in an article entitled “The Clinical & Financial Impact of Employer-Sponsored Disease Management Programs” published in the October 2005 edition of the Health & Productivity Management Magazine.
The eight large employers included in the report have utilized Matria’s comprehensive programs for the chronic conditions of diabetes, congestive heart failure (CHF), coronary artery disease (CAD), asthma, chronic obstructive pulmonary disease (COPD), cancer, depression and pain. The overall health status of both employees and dependents showed consistent improvements for all eight employers as measured by condition-specific clinical performance indicators. The financial returns in the first six, twelve and eighteen months of program management by Matria were also very consistent with the clinical improvements and were calculated to range from 194% to 1053%. In the article, it was reported that for the eight employers, the number of employees and dependents ranged from approximately 50,000 to 250,000. Each of these employers had multiple disease states and high cost conditions managed exclusively by Matria.
“Outcomes are the ultimate measure of the effectiveness of disease management and wellness programs. Having operating disciplines and processes that produce consistent results and pristine data informatics are key for long term success. We strive to extract all the knowledge we can from the data and information we develop in providing these services, and, in turn, assist our clients with improving their healthcare programs with our informatics,” said Parker H. “Pete” Petit, Chairman and Chief Executive Officer of Matria Healthcare. When an employer can make a decision that improves the health and productivity of their most valuable asset, their employees, and at the same time produce an immediate return on investment that during the first year can exceed 700%, then I would say that is a compelling opportunity. We are seeing more and more employers in the private as well as public sector make decisions to implement these types of disease management and wellness programs.”
This article reported estimates from other studies that as much as 30% of total healthcare costs are attributable to inefficient care. A major driver of healthcare cost escalation is uncoordinated delivery of services to people with chronic or high-cost conditions. Petit commented, “These people often have different diagnoses from different providers and they frequently receive conflicting information about their condition from the multiple providers tending to their care. They frequently undergo duplicate clinical tests or procedures and encounter adverse drug reactions that could be avoided. These inefficiencies produce added costs to both these individuals and to the healthcare system as a whole. Unnecessary hospitalizations and emergency room visits, inappropriate use of medications, lack of uniform care plans and patient noncompliance with their care plans and prescribed medications, and an overall absence of patient self-management skills are the principal cost drivers brought about by these inefficiencies. Increasing numbers of employers are responding to these inefficiencies by proactivitely contracting with companies like Matria that provide disease management programs for employees and dependents with chronic or high-cost conditions.”
“Over the last several years, Matria has implemented disease management programs for numerous clients; however, these are the first eight employer programs that have completed an operational and claims run-out period and have audited results. For clients that have completed their first operational periods, new results will now be available each quarter,” added Petit.
Providing disease management for an employer is a massive data and care management endeavor requiring longitudinal integration of medical claims and pharmacy, laboratory and participant assessment data across entire populations. “It is extremely important to have an external and independent validation of informatics processes. Milliman, Inc. has validated the data processes and information technology used in Matria’s disease management programs as the result of an extensive review of the Matria TRAX(TM) system,” stated Petit.
ABOUT MATRIA HEALTHCARE
Matria Healthcare is a leading provider of comprehensive health enhancement programs to health plans and employers. Matria manages major chronic diseases and episodic conditions including diabetes, congestive heart failure, coronary artery disease, asthma, chronic obstructive pulmonary disease, high-risk obstetrics, cancer, chronic pain, depression, end-stage renal disease, and obesity. Matria also offers programs that address wellness, healthy living, productivity improvement, and patient advocacy, and additionally, the Company provides case management of acute and catastrophic conditions. Headquartered in Marietta, Georgia, Matria has more than 40 offices in the United States and internationally. More information about Matria can be found on line at http://www.matria.com.
SAFE HARBOR STATEMENT
This press release contains forward-looking statements. Such statements include but are not limited to the success of the Company’s operating disciplines and processes, in producing consistent results and pristine informatics and driving long-term success, the continuing demand for the Company’s disease management programs, and the future results for clients completing their first operational periods. These statements are based on current information and belief, and are not guarantees of future performance. Among the important factors that could cause actual results to differ materially from those indicated by such forward-looking statements include failure of the Company’s operating disciplines and processes to produce consistent results, pristine informatic and long-term success, decreased employer and health plan interest in or demand for the Company’s disease management programs, less than expected future results from clients completing their first operational periods, developments in the healthcare industry, third-party actions over which Matria does not have control, regulatory requirements applicable to Matria’s business and the risk factors detailed from time to time in Matria’s periodic reports and registration statements filed with the Securities and Exchange Commission, including Matria’s Annual Report on Form 10-K for the year ended December 31, 2004. By making these forward-looking statements, Matria does not undertake to update them in any manner except as may be required by Matria’s disclosure obligations in filings it makes with the Securities and Exchange Commission under the federal securities laws.
Contact: Steve Mengert Chief Financial Officer 770/767-4500
Matria Healthcare, Inc.
CONTACT: Steve Mengert, Chief Financial Officer of Matria Healthcare,Inc., +1-770-767-4500
Web site: http://www.matria.com/