|
|
Investor Contact:
Steven M. Oreskovich
Chief Financial Officer
414.977.4000
ir@mergehealthcare.com |
NEWS RELEASE:
FOR IMMEDIATE RELEASE:
|
|
|
OPTIMIZED USE OF RIS/PACS HELPS A MIDWEST IMAGING CENTER ADDRESS REIMBURSEMENT FALLOUT FROM DEFICIT REDUCTION ACT (DRA)
Metro Imaging Relies on Merge Healthcare Solutions to Streamline Operations
and Help Offset 10%-40% Reimbursement Decline
Milwaukee, WI, September 9, 2008 – Merge Healthcare (NASDAQ: MRGE; TSX: MRG), a leading medical imaging solutions provider, today announced that Metro Imaging is among several imaging centers successfully using its radiology information system (RIS) and picture archiving and communication system (PACS) to help streamline operations in response to Medicare reimbursement declines associated with the Deficit Reduction Act of 2005.
From 2006 to 2007, reimbursement dropped 10% across the board, and reimbursement for MRIs and CT scans declined 20% to 40% respectively, according to Christine M. Keefe, CFO of Metro Imaging, a St. Louis-area network of five freestanding centers. In response, Metro Imaging made minor adjustments to its staffing and hours of operation, renegotiated service contracts, and reduced preventive maintenance sessions. However, said Keefe, the organization realized it needed to increase volume, and turned to Merge Healthcare to assist with this.
Keefe added, "With our strong Merge RIS/PACS environment, we’ve identified opportunities to automate previously manual processes, enhance workflow and increase throughput without adding costs. The system is flexible enough to be customized for our needs, without requiring significant time or expense. We rely heavily on Merge RIS/PACS reporting to secure tangible measures that help improve service and work distribution," said Keefe. "We’ve done more monitoring of staff productivity than ever, from each individual transcriptionist to how many patients each person has scheduled and checked in. We know when to add staff and move people around."
To help drive volume, Metro Imaging implemented Onsite Results in June 2007. This program lets patients get preliminary results before leaving the imaging center. Metro believes they are the only center in the US offering this type of program. "Patients love it," said Keefe, "and we can offer this ‘real-time’ service only because our blended PACS, RIS and digital dictation capabilities give us the efficiency to do so."
After the first full year of the Onsite Results program, Metro Imaging’s volume grew by four percent "yet we’ve not hired any additional FTEs—radiologists or technologists," Keefe stated.
Celebrating their 14th anniversary on June 1, Metro Imaging offers MRI, CT, Digital Mammography, Ultrasound, Fluoroscopy and X-ray with 70 employees performing approximately 100,000 exams per year with 2007 revenues of approximately $30 million. Metro Imaging has been a Merge RIS customer since 2003, and in 2005, added PACS, digital dictation, a referring practice portal, and a practice analysis module from Merge. In 2006, they added Merge Mammo, a multi-modality, vendor-neutral mammography viewing workstation.
Added Keefe, "Outpatient imaging is a highly competitive market area. We are constantly evaluating our physician referral base. The information we extract from our RIS/PACS allows us to target marketing efforts and monitor trends closely. We also monitor each site’s workload to evaluate when we need to expand or reduce exam hours, fine-tune staffing, etc. We monitor turn-around time, wait time, and dictation time to trouble-shoot potential bottlenecks. We truly use our Merge RIS/PACS to help manage our business. Our goal is to provide excellent quality and service and our system helps us meet that goal."
Merge offers a white paper titled The Deficit Reduction Act – An Opportunity for Self Analysis, available at www.merge.com.
# # #
Merge Healthcare is a leading medical imaging software and services company. Our innovative software solutions use leading-edge imaging software technologies that accelerate market delivery for our OEM customers, while our end-user solutions improve our customers' productivity and enhance the quality of patient care they provide. For additional information, visit our website at www.merge.com.
Except for the historical information herein, the matters discussed in this news release include forward-looking statements that may involve a number of risks and uncertainties. When used in this press release, the words “will,” “believes,” “intends,” “anticipates,” “expects” and similar expressions are intended to identify forward-looking statements. Actual results could differ materially from those expressed in, or implied by, the forward-looking statements based on a number of factors, including, but not limited to, market acceptance and performance of the Company’s products and services, including the Company’s teleradiology product and services; delay in the offering of the Company’s teleradiology product and services; the Company’s ability to attract and retain qualified radiologist consultants; risks and effects of the past restatement of financial statements of the Company and other actions that may be taken or required as a result of such restatement; the Company’s ability to generate sufficient cash from operations to meet future operating, financing and capital requirements; risks associated with the Company's failing to make timely filings with the SEC or its inability to meet the requirements of The NASDAQ Stock Market for continued listing, including possible delisting; costs, risks and effects of legal proceedings and investigations, including the formal investigation being conducted by the Securities and Exchange Commission and class action and derivative lawsuits; the impact of competitive products and pricing; and other risk factors detailed in the Company’s filings with the Securities and Exchange Commission. Except as expressly required by the federal securities laws, the Company undertakes no obligation to update such factors or to publicly announce the results of any of the forward-looking statements contained herein to reflect future events, developments, or changed circumstances, or for any other reason.
|
Attn: Melanie Gretzon
Merge Healthcare
6737 West Washington St.
Suite 2250
Milwaukee, WI 53214
|
|
 |
|
|
|
|
