RESTON, Va.--(BUSINESS WIRE)--May 1, 2006--QuadraMed® Corporation (Amex:QD - News) and MedCath Incorporated today jointly announced that the companies have reached an out of court agreement regarding the lawsuit pending between them. As a part of the settlement, QuadraMed has agreed to pay MedCath $2 million. Further, both parties will exchange mutual releases and dismiss their claims against each other. QuadraMed will fund the settlement amount from available operating cash. In addition to amounts already recorded as of December 31, 2005 and amounts covered by insurance, QuadraMed will record a charge of approximately $1 million related to this settlement in its three month period ended March 31, 2006.
