HealthTrans Reports 5th Year of Record Growth with $92.7 Million in Revenue; Transparent...

GREENWOOD VILLAGE, Colo. -- HealthTrans, the leader in providing transparent pharmacy benefit solutions, reported its fifth consecutive year of record growth during Fiscal 2005 ending May 31 with an increase of 196 percent in gross revenues of $92.7 million, representing a 62 percent growth to

the bottom line. HealthTrans' CEO Jack McClurg attributes the tremendous growth to HealthTrans' reputation as the vendor-of-choice for providing the most transparent pharmacy benefits business model in the industry, empowering its clients with access to, and control of, all aspects of their pharmacy benefits. "The market and legislation is demanding full disclosure, and HealthTrans is proud to be a leader in this movement, as we have operated in a transparent environment since our inception in 2000," said McClurg.

"Our focus is on ensuring that our clients' objectives and our economic incentives are aligned, enabling our clients to reap greater value from their pharmacy benefit program," said McClurg. "We believe visibility into business practices, the right pricing model and proper application of specific strategies, such as drug selection based on a cost-effective value model, are essential to lowering drug expenditures," he added. "For example, when we compared two clients, one using our value-based preferred drug list and one using their standard preferred drug list, we found the client utilizing the value-based preferred drug list paid an average of $57.53 per claim for antidepressants, compared to $75.07 per claim paid using their standard preferred drug list," McClurg said.

In fiscal year '05 HealthTrans signed several significant accounts, including the Medicare Part D program for Kaiser Permanente. "Our flexible offerings have made us an attractive vendor to clients administering the very complex aspects of the Medicare act," said Louis Hutchison, HealthTrans' president.

As a result of its financial success, HealthTrans consolidated the equity interest owned by its joint venture partners, NDCHealth Corporation (NYSE:NDC) and A&A Drug's SavRx. "This added autonomy further positions us for aggressive growth and financial success," said McClurg.

HealthTrans, founded in 2000, provides employers, third party administrators, managed care organizations (MCOs), and other payers with the tools and clinical expertise to more efficiently manage pharmacy benefit programs. HealthTrans' solutions use Web-enabled applications that provide clients with the increased flexibility to manage pharmacy network administration, benefits administration, claims processing, financial reporting, as well as manufacturers' rebate processing and reporting. HealthTrans offers its clients full-disclosure and a value-based formulary model that focuses on the lowest overall net drug spend to help them lower pharmacy costs. HealthTrans' services complement existing medical claims and pharmacy systems, and other legacy systems. For more information about HealthTrans, visit its Web site at http://www.healthtrans.com.