McKesson's RelayHealth Acquires HTP

McKesson Corporation (NYSE:MCK) today announced that RelayHealth, its connectivity services business, has acquired HTP Inc., a leading provider of revenue cycle management technology. HTP, a privately held company in Columbus, Ohio, provides innovative connectivity solutions that address the growing burden of uncompensated healthcare, estimated to be $31.2 billion in 20061. Designed to connect providers, health plans and financial institutions, HTP’s solutions promote timely reimbursement for patient services, ranging from verification of insurance eligibility to maintaining payment plans that aid in the collection of self-pay balances. With this acquisition, RelayHealth provides the most comprehensive set of services to automate and simplify a healthcare organization’s financial management activities with patients and payors. "The healthcare revenue cycle market model is shifting from collecting payments after the visit to a more retail-oriented approach, beginning before the patient actually arrives to receive care,” said Pamela Pure, president, McKesson Technology Solutions. "We can now provide the tools and financial information needed to support patients and their care providers as they plan, receive and manage the financing of their care. Providers are pleased with HTP’s unique subscription approach that enables them to take full advantage of financial services as often as necessary without fear of exceeding their operational budgets.” HTP’s RevRunner® suite of advanced revenue cycle solutions helps healthcare organizations to find coverage or financial assistance for patients needing assistance and ensure compensation is received for patients with insurance. The acquisition of HTP also positions RelayHealth to support emerging healthcare information exchange networks with HTP’s MedRunner™ technology, which currently provides the platform and infrastructure for the Utah Health Information Network. HTP is also driving transaction processing for Ohio Medicaid. "HTP’s mission has been to deliver efficient and secure automation of financial, clinical and administrative processes,” said Ray Shealy, president and chief executive officer, HTP, Inc. "Joining forces with RelayHealth enables us to leverage our technologies to make a positive impact on healthcare operations.” RelayHealth’s comprehensive portfolio of financial clearance and settlement services for hospitals, health systems and physician practices includes ePREMIS® claims management and the Patient Compass™ online business office. RelayHealth connects to more than 1,800 payors to automate the claims and reimbursement process and reduce payment cycles. 1Source: American Hospital Association, TRENDWATCH April 2008 About HTP, Inc. With its powerful combination of industry expertise and technology development, HTP is transforming the way the healthcare industry does business. HTP's innovative revenue management solutions enable the reliable exchange and utilization of healthcare information for hospitals across the country, improving efficiency, profitability and patient satisfaction. For more information, visit http://www.htp-inc.com. About RelayHealth RelayHealth, McKesson’s connectivity business, operates as a neutral partner in an open network environment, offering connectivity services and integration among all organizations, systems, and solutions. Its intelligent network is designed to streamline clinical, financial and administrative communication between patients, providers, payors, pharmacies, pharmaceutical manufacturers, and financial institutions. RelayHealth works to accelerate the delivery of high-quality care and improve financial performance through solutions such as online consultation of physicians by patients, electronic prescribing, point-of-service pharmacy claims resolution by payors, pre-visit patient financial clearance by providers, and post-visit provider bill settlement by payors and patients. RelayHealth securely processes more than 12 billion financial and clinical transactions annually. For more information, call (800) 778-6711, or visit our Web site at www.RelayHealth.com About McKesson McKesson Corporation, currently ranked 18th on the FORTUNE 500, is a healthcare services and healthcare information technology company dedicated to helping its customers deliver high-quality healthcare by reducing costs, streamlining processes, and improving the quality and safety of patient care. McKesson is the longest-operating company in healthcare today, marking its 175th anniversary this year. Over the course of its history, McKesson has grown by providing pharmaceutical and medical-surgical supply management across the spectrum of care; healthcare information technology for hospitals, physicians, homecare and payors; hospital and retail pharmacy automation; and services for manufacturers and payors designed to improve outcomes for patients. For more information, visit http://www.mckesson.com. Risk Factors Except for historical information contained in this press release, matters discussed may constitute "forward-looking statements”, within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, that involve risks and uncertainties that could cause actual results to differ materially from those projected, anticipated or implied. These statements may be identified by their use of forward-looking terminology such as "believes”, "expects”, "anticipates”, "may”, "should”, "seeks”, "approximates”, "intends”, "plans”, "estimates” or the negative of these words or other comparable terminology. The most significant of these risks and uncertainties are described in the company’s Form 10-K, Form 10-Q and Form 8-K reports filed with the Securities and Exchange Commission and include, but are not limited to: adverse resolution of pending shareholder litigation regarding the 1999 restatement of our historical financial statements; the changing U.S. healthcare environment, including changes in government regulations and the impact of potential future mandated benefits; competition; changes in private and governmental reimbursement or in the delivery systems for healthcare products and services; governmental and manufacturers’ efforts to regulate or control the pharmaceutical supply chain; changes in pharmaceutical and medical-surgical manufacturers’ pricing, selling, inventory, distribution or supply policies or practices; changes in the availability or pricing of generic drugs; changes in customer mix; substantial defaults in payment or a material reduction in purchases by large customers; challenges in integrating and implementing the company’s internally used or externally sold software and software systems, or the slowing or deferral of demand or extension of the sales cycle for external software products; continued access to third-party licenses for software and the patent positions of the company’s proprietary software; the company’s ability to meet performance requirements in its disease management programs; the adequacy of insurance to cover liability or loss claims; new or revised tax legislation; foreign currency fluctuations or disruptions to foreign operations; the company’s ability to successfully identify, consummate and integrate strategic acquisitions; changes in generally accepted accounting principles (GAAP) and general economic conditions. The reader should not place undue reliance on forward-looking statements, which speak only as of the date they are made. The company assumes no obligation to update or revise any such statements, whether as a result of new information or otherwise.