Rochelle Park, NJ, February, 2004 . . . HealthCard Systems, LLC and HealthPlan Systems, Inc. announced today the formation of DirectCare Systems, LLC, an Electronic Data Interchange (EDI) healthcare industry service organization. DirectCare Systems offers comprehensive payer software, web-based provider systems, clearinghouse services and a full range of credit/debit card acceptance capabilities for healthcare payers and providers.

Each with an industry reputation for excellence and technological innovation, HealthCard Systems and HealthPlan Systems contribute valuable resources, experienced management teams and unique industry insight poised to set a new paradigm in electronic data interchange for the healthcare industry.

The company's products will streamline and automate the patient visit - from eligibility verification to payment. DirectCare Systems' customized products take the individual administrative, financial and clinical functions naturally associated with a provider's office, and roll them into one multi-function, HIPAA compliant, automated point-of-care software EDI solution.

“DirectCare Systems' embedded or integrated components for practice management software will significantly enhance and facilitate the healthcare industry's method of payer-provider, electronic communication and compliance of federally mandated 'Administrative Simplification' rules (HIPAA),” according to Hassan Mohaideen, MD, Chairman of DirectCare Systems.

Brian Cutler has been appointed Executive Vice President and Product Director for the newly-formed DirectCare Systems. Formerly founder and Executive Vice President of EDIT, Cutler has built a well-earned reputation for providing visionary and cost-effective practice management solutions to the healthcare industry.

“Brian brings a keen understanding and possesses a unique insight into the needs, challenges and objectives of the industry,” explains HealthCard Systems Chief Executive Officer, Richard Spigai. “This valuable experience, coupled with the merged technological resources of two industry-leading companies will result in an unprecedented and multi-functional, automated point-of-care software solutions.”

HealthCard Systems, deemed the “preferred credit card processor for the healthcare industry,” focuses solely on the unique transaction processing needs of the healthcare industry. HealthCard's proprietary processing system has been developed to address growing challenges within the industry by providing cost-effective transaction processing programs that streamline services, eliminate confusion, reduce operating costs, minimize staff involvement, and enhance cash flow.

HealthPlan Systems is a leader in the development of administrative software for the healthcare industry and offers a comprehensive suite of administrative software products that allow insurance companies, TPAs, and IPAs to reach HIPAA compliance, quickly, easily and cost-effectively. Health Plan Systems is one of an elite group of companies to have its software certified by ClarediTM, a national third-party organization that accredits entities that send or receive HIPAA-regulated transactions.