Children’s Hospitals Turning to Eclipsys for Advanced, Integrated Performance Management

Eclipsys Corporation® (NASDAQ:ECLP), The Outcomes Company®, today announced that pediatric hospitals are emerging as a key client base for its Sunrise EPSi™ integrated suite of business performance management solutions. In face of declining reimbursements, both acute and specialty care organizations are seeking the decision support solution as an effective means to become more efficient and improve productivity without sacrificing quality.

"Pediatric hospitals tend to have a large Medicaid payer mix, making them exceptionally vulnerable to today’s declining reimbursement environment,” said Tim Rutledge, Eclipsys’ senior vice president of Enterprise Performance Management. "The single data platform built into our Sunrise EPSi solution delivers to senior executives, clinical and operational managers a quick and effective tool to review operational data in near-real time to identify redundancy and waste, exert better control over costs, and better leverage resources. It’s easy to deploy, with minimal upfront expense. It’s a win-win way to improve margins without compromising the quality of care.”

In the case of The Children’s Hospital (Aurora, CO), ranked for more than a decade as one of the best children’s hospitals in the nation, the organization selected the entire Sunrise EPSi integrated suite of business performance solutions to replace its disparate business intelligence tools and Excel spreadsheets.

"Eclipsys’ integrated decision support and analysis solution gives us an opportunity to build in best practices into managing and analyzing the various cost components of delivering pediatric care,” said Jeff Harrington, The Children’s Hospital’s vice president of Finance. "Our legacy budgeting solution didn’t tie into our costing system. With EPSi, we’ll gain a comprehensive view of organizational data with all our senior managers drinking from a single well of information. We expect to gain the ability to better analyze our costs, reimbursements and staffing performance across our entire enterprise and within product lines. In addition, by pushing that data out to the desktops of department managers, we’re enabling them to enact positive process change and then monitor adherence to that change going forward.”

Continued Success in Healthcare IT Market

Sunrise EPSi is a market leading advanced business decision support solution. Its continued sales momentum is in large part due to increased market demand and Eclipsys’ long history in this industry segment. Significant market expansion stems from both legacy system replacements and net-new clients desiring to broaden their financial management and business planning capabilities with Sunrise EPSi’s advanced product mix.

The following organizations recently selected Sunrise EPSi to replace legacy solutions because of its ability to deliver integrated budgeting, productivity, decision support, enterprise reporting and analysis for enhanced decision making:

• Continuum Health Partners (New York, NY)
• Forrest General Hospital (Hattiesburg, MS)
• Harris County Hospital District (Houston, TX)
• Huntsville Hospital (Huntsville, AL)
• Huntsville Memorial Hospital (Huntsville, TX)
• Johns Hopkins Health System (Baltimore, MD)
• Marquette General (Marquette, MI)
• Ohio Health (Columbus, OH)
• Phoenix Children’s Hospital (Phoenix, AZ)
• Sibley Hospital (Washington, DC)
• St. Elizabeth Healthcare (Edgewood, KY)
• The Children’s Hospital (Aurora, CO)
• TriHealth (Cincinnati, OH)

Sunrise EPSi is a fully integrated, Web-based solution that can load and process data from virtually any healthcare or business software or system. It was named Best in KLAS for Business Decision Support for the third consecutive year in the 2008 "Top 20 Best in KLAS Award: Software and Professional Services” report issued by KLAS Enterprises, Inc. It also led the Budgeting category for the second straight year in the same report. The EPSi Budget Manager module, which supports organizations in assimilating payroll, non-salary and capital budgeting into a single, integrated system, enjoys a 95 percent user adoption rate.

According to Al Newberg, Phoenix Children’s Hospital’s director of Decision Support, his executives consider Sunrise EPSi the best product on the market.

"From the budgeting perspective, we wanted a tool that would simplify the process, reduce the cycle time, as well as accuracy of our budgeting,” said Newberg. "With EPSi’s workflow capabilities, we can empower department heads to make real-time budget changes and approval processes with simple online access via a link off of the home page of the Web site. And with the purchase of the EPSi product line analyst module, we’ll be able to seamlessly combine our hospital billing with our physician billing, which historically had to be combined manually, or wasn’t factored into our calculations. It sets the stage for us to conduct more complete and fine-tuned service line and admissions analyses by diagnosis-related group. We have several centers of excellence that we’ve never fully analyzed by profit, and it’s not always the case that the department with the most medical encounters is the most profitable.”

About KLAS

KLAS is a research firm specializing in monitoring and reporting the performance of healthcare vendors. KLAS' mission is to improve delivery, by independently measuring vendor performance for the benefit of its healthcare provider partners, consultants, investors, and vendors. Working together with executives from over 4500 hospitals and over 2500 clinics, KLAS delivers timely reports, trends, and statistics, which provide a solid overview of vendor performance in the industry. KLAS measures performance of software, professional services, and medical equipment vendors. For more information, go to www.KLASresearch.com, or email marketing@KLASresearch.com, or call 1-800-920-4109 to speak with a KLAS representative.

About the 2008 Top 20 Best in KLAS Awards: Software and Professional Services report

The report reflects the summary of healthcare information technology (HIT) software and professional services performance data as reported by physician offices, clinics, IDNs, inpatient facilities, and applicable healthcare agencies. The HIT software ratings reflect data collected over the past 13 months (October 15, 2007 – November 15, 2008); the professional services ratings reflect data collected over the past 18 months (May 15, 2007 – November 15, 2008). Each product or segment is listed by market segment.

About Eclipsys

Eclipsys is a leading provider of advanced integrated clinical, revenue cycle and performance management software, clinical content and professional services that help healthcare organizations improve clinical, financial and operational outcomes. For more information, see www.eclipsys.com or email info@eclipsys.com.

Statements in this news release concerning the timing of implementation and features and benefits provided by Eclipsys software and implementation services are forward-looking statements and actual results may differ from those projected due to a variety of risks and uncertainties. Implementation and customization of Eclipsys software is complex and time-consuming. Results depend upon a variety of factors and can vary by client. Each client’s circumstances are unique and may include unforeseen issues that make it more difficult than anticipated to implement or derive benefit from Eclipsys software or services. The success and timeliness of the company’s services will depend at least in part upon client involvement, which can be difficult to control. Eclipsys is required to meet specified performance standards, and the contract can be terminated or its scope reduced under certain circumstances. More information about company risks is available in recent Form 10-Q and 10-K filings made by Eclipsys from time to time with the Securities and Exchange Commission. Special attention is directed to the portions of those documents entitled "Risk Factors” and "Management’s Discussion and Analysis of Financial Condition and Results of Operations.” Eclipsys Corporation and The Outcomes Company are registered trademarks of Eclipsys Corporation. Sunrise EPSi is a trademark of Eclipsys Corporation. Other product and company names in this news release are or may be trademarks and/or registered trademarks of their respective companies.