PLEXIS Healthcare Systems Announces Agreement with PacificSource, One of Oregon’s Major Health Plans

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Health Plan Serves Over 122,000 Members and Processes in Excess of $17 Million in Claims Each Month

<b>Ashland, Oregon – February 18, 2003</b> – PLEXIS Healthcare Systems, Inc. has announced that PacificSource, one of Oregon’s major health plans, has selected the PLEXIS Claims Manager for its claims processing software. PLEXIS was chosen after an intense evaluation process that included TriZetto, QCSI, OAO, and Perot Systems. Lisa Zenev, PacificSource’s Vice President of Information Systems, stated that, "After looking at the capabilities of all the major claims processing vendors, we were convinced that our needs would be best met by the PLEXIS system." Ms Zenev went on to emphasize that, "The synergistic development relationship and mutual respect we have established with PLEXIS’ professional staff make us confident that we identified the right partner in PLEXIS to help us facilitate the monumental undertaking of creating and installing a customized claims processing system."

The PLEXIS suite of products will provide PacificSource with the functionality it needs to facilitate accurate and automatic claims adjudication, referral authorizations, benefit administration, and contract management, while meeting all present HIPAA compliance requirements. "PLEXIS has a solid core claims processing system, and its rules-based engine will allow us to readily customize the system to meet our infrastructure needs for the foreseeable future," stated Ms. Zenev. "Additionally, the PLEXIS programming methodology, the expertise of their management team, the employee-owned corporate structure and the similarity of our company cultures provided us with a good comfort level," Ms. Zenev continued.

PacificSource, founded in 1933, is the oldest health care service contractor in the state of Oregon. As a nonprofit health plan, PacificSource contracts with over 7,900 physicians, physician organizations, hospitals, medical facilities, and other healthcare providers to bring quality medical services to its customers. PacificSource currently has 200 employees, serves over 122,000 members, and processes more than $17 million in claims each month. PacificSource serves the entire state of Oregon, providing group insurance clients with a wide range of medical, dental, prescription drug, and vision benefits. They also meet the needs of individuals and families with comprehensive medical plans, portability policies, and Medicare supplement policies.

Jorge Yant, President and CEO of PLEXIS Healthcare Systems, said, "We were very pleased to be selected by one of the largest and most prestigious health plans in the state of Oregon as its claims processing partner. It was also gratifying that we were selected after PacificSource examined every major claims processing vendor in the U.S. We know we have an excellent product, but when you go head to head with your major competitors and the client chooses your system, that’s the kind of validation that really counts," Mr. Yant added.

<b>About PacificSource</b>

PacificSource Health Plans is a nonprofit healthcare service contractor based in Eugene, Oregon with satellite offices in Portland and Bend. The 200-employee organization provides innovative health insurance solutions to Oregon businesses and individuals and has done so since 1933. PacificSource currently provides personalized medical and dental coverage to over 122,000 members. For more information, visit or contact Colleen Baxter, Communications Manager, at (800) 624-6052, ext. 2453; e-mail

About PLEXIS Healthcare Systems, Inc.

PLEXIS Healthcare Systems is a leading payer solutions and claims processing technology company based in Ashland, Oregon. They are one of the fastest growing claims processing companies in the healthcare marketplace and have been developing high-end payer solutions since 1996. PLEXIS Healthcare Systems’ claims processing tools employ the very latest Microsoft technology and are highly rated by independent healthcare consultants. Their payer solutions enable healthcare organizations to reduce costs, streamline and automate their claims payment and medical case management requirements, increase profitability, enhance customer satisfaction and expand market share, while helping them meet all current governmental regulations, including HIPAA. For more information, please call toll free (877) 475-3947 or visit <a href="http://www.plexisweb.com"></a>;

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Barry Bowman