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23.08.2010 09:00:00

NextGen Healthcare Clients Secure Pay-for-Quality Incentives Through a NYC Health Department Project

NextGen Healthcare Information Systems, Inc., a wholly owned subsidiary of Quality Systems, Inc. (NASDAQ: QSII) and a leading provider of healthcare information systems and connectivity solutions, today announced its successful collaboration with clients that received assistance through the Primary Care Information Project (PCIP), a bureau of the NYC Health Department. In January 2009, PCIP launched Health eHearts, a pilot pay-for-quality program administered by the Fund for Public Health in New York that incentivizes practices using an electronic health record to help patients improve heart health.

Five NextGen Healthcare clients were selected to participate in the program, which provides incentives for achieving core quality health measures. Participating practices are eligible for greater incentives when achieving targets with patients that are more difficult to treat based on insurance status or an existing co-morbidity diagnosis. The potential quality incentive reward to each participating practice is capped at $100,000.

NextGen Healthcare clients Preferred Health Partners (PHP) and Staten Island Physician Practice both received the maximum incentive, with each practice demonstrating a 7X improvement over the capped performance measures and reward amount. The organizations implemented NextGen Ambulatory EHR in 2004 and 2006, respectively, and utilized the solution’s fully integrated NextGen® Health Quality Measures Reporting Module to capture discrete data elements and review progress against the identified measures. Data capture was completely transparent and done without interfering in patient care, as the necessary discrete data points were documented during the course of the provider’s existing workflow. Further, the module automatically calculated outcomes and generated clinical reports that offered feedback for the practices’ ongoing performance tracking. NextGen Ambulatory EHR also provided the electronic submission capabilities needed to seamlessly submit data to the health department.

"In order to participate in this groundbreaking pay-for-quality (P4Q) program, we had to compile and report on data from across our enterprise of 10 locations and more than 165 physicians,” said Carmen Soto, project and business intelligence manager for Preferred Health Partners. "NextGen provided us the platform needed to quickly and accurately complete this massive task, as well as participate in other emerging projects such as health information exchange and Patient-Centered Medical Home. Our physicians were excited to see how they were performing according to these established quality measures, and our patients are benefiting from consistent preventive care.”

"Through our use of NextGen® technology, we were able to realize significant improvements in patient cholesterol and blood pressure levels,” said Lisa Martinez, applications manager for Staten Island Physician Practice. "We are also able to leverage the same NextGen® technology to participate in Physician Quality Reporting Initiative and Bridges to Excellence efforts. The solution is so easy to use that it has enabled us to move very quickly into these additional programs without customization, extra work for our physicians or impact on patient care.”

"We’re excited to launch a program focusing on the gaps in clinical preventive services that can greatly reduce mortality in New York City. Health eHearts is a great example of how we can use health information technology to improve health and track our progress in a measurable way,” said Sarah Shih from the Primary Care Information Project.

"We have a strong track record of collaborating with clients to meet the requirements for national and state level P4Q programs like eHearts, Physician Quality Reporting Initiative and Bridges to Excellence,” said Charlie Jarvis, Vice President of Healthcare Services and Government Relations at NextGen Healthcare. "As efforts to achieve Meaningful Use also pick up steam, the use of technology to impact overall patient health through discrete clinical data capture and better performance tracking will give practices like Preferred Health Partners and Staten Island Physician Practice a significant head start on meeting the finalized criteria.”

About NextGen Healthcare

NextGen Healthcare Information Systems, Inc., a wholly owned subsidiary of Quality Systems, Inc. (NASDAQ: QSII), provides integrated clinical, financial and connectivity solutions for ambulatory, inpatient and dental provider organizations. For more information, please visit www.nextgen.com and www.qsii.com. Follow NextGen Healthcare on Twitter at www.twitter.com/nextgen or Facebook at http://www.facebook.com/NextGenHealthcare.

This news release may contain forward-looking statements within the meaning of the federal securities laws. Statements regarding future events, developments, the Company's future performance, as well as management's expectations, beliefs, intentions, plans, estimates or projections relating to the future (including, without limitation, statements concerning revenue and net income), are forward-looking statements within the meaning of these laws and involve a number of risks and uncertainties. Management believes that these forward-looking statements are reasonable and are based on reasonable assumptions and forecasts; however, undue reliance should not be placed on such statements that speak only as of the date hereof. Moreover, these forward-looking statements are subject to a number of risks and uncertainties, some of which are outlined below. As a result, actual results may vary materially from those anticipated by the forward-looking statements. Among the important factors that could cause actual results to differ materially from those indicated by such forward-looking statements are: volume and timing of systems sales and installations; length of sales cycles and installation process; the possibility that the products will not achieve market acceptance; seasonal patterns of sales and customer buying behavior; the development by competitors of new or superior technologies; the timing, cost and success or failure of new product and service introductions, development and product upgrade releases; undetected errors or bugs in software; product liability; changing economic, political or regulatory influences in the health-care industry; changes in product-pricing policies; availability of third-party products and components; competitive pressures including product offerings, pricing and promotional activities; the Company's ability or inability to attract and retain qualified personnel; possible regulation of the Company's software by the U.S. Food and Drug Administration; uncertainties concerning threatened, pending and new litigation against the Company including related professional services fees; uncertainties concerning the amount and timing of professional fees incurred by the Company generally; changes of accounting estimates and assumptions used to prepare the prior periods' financial statements; general economic conditions; and the risk factors detailed from time to time in Quality Systems' periodic reports and registration statements filed with the Securities and Exchange Commission. A significant portion of the Company's quarterly sales of software product licenses and computer hardware is concluded in the last month of the fiscal quarter, generally with a concentration of such revenues earned in the final ten business days of that month. Due to these and other factors, the Company's revenues and operating results are very difficult to forecast. A major portion of the Company's costs and expenses, such as personnel and facilities, are of a fixed nature and, accordingly, a shortfall or decline in quarterly and/or annual revenues typically results in lower profitability or losses. As a result, comparison of the Company's period-to-period financial performance is not necessarily meaningful and should not be relied upon as an indicator of future performance. The Company undertakes no obligation to publicly update any forward-looking statements, whether as a result of new information, future events or otherwise.

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