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Claimsnet.com Reports Fiscal Year 2008 Results
Date:3/2/2009

operations was $141,000 compared to the loss of $154,000 reported in the fourth quarter of 2007. The net loss for the quarter was $166,000, or $0.01 per share, as compared with a net loss of $182,000, or $0.01 per share, in the same quarter of 2007.

"Our financial results for fiscal year 2008 reflect the focus of the Company on revenue growth. While we are not yet satisfied with the results of those efforts, we remain fully focused on this strategy of revenue and margin growth for the Company with a goal of reaching profitability in fiscal year 2009," commented Don Crosbie, chief executive officer of Claimsnet.

"Some of these efforts, previously announced, included the hiring of two new sales people in 2008. As a result of these hires and our increased focus on expanding our product platform, we have secured new contracts with both payers and providers and we have a good sales pipeline that our sales team continues to cultivate.

Claimsnet has also added services to existing customers associated with transactions other than medical claims. These services relate to, among other areas, ERA (electronic remittance advice) transactions, additional edits of paper claims, full paper claim processing and claim repricing services.

In fiscal year 2008, transaction volume increased by 63% to a total of 10,000,000 transactions, compared to fiscal year 2005, the year in which we completed fund raising activities with many significant investors. This growth is the result of maintaining long term customer relationships, expanding our customer base, offering additional services to all of our customers, and adding new customers associated with the paper conversion and claims repricing services purchased from Acceptius earlier this year. Our total number of direct payer customers now exceeds 65, along with a growing number of direct provider connections.

An added benefit to our customers is the more
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SOURCE Claimsnet.com inc.
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