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Health Systems Solutions Enters into Agreement to Acquire Emageon to Create Healthcare Technology Leader
Date:10/13/2008

t team with some of the industry's most respected leaders. Our ability to bring together innovators in healthcare technology and unleash their entrepreneurial and creative talents will result in cutting-edge solutions that will improve clinical care and significantly improve customer profitability."

A factor in the timing of this combination is the desire to accelerate the delivery of next generation Picture Archiving and Communication Systems (PACS), a category in which Emageon is a recognized leader. Earlier this year the company received the "Best in KLAS" award for Cardiology PACS* from KLAS, an independent research firm focused on healthcare IT.

"Emageon's network of loyal customers, which includes some of the largest hospital networks in North America, will benefit meaningfully as a result of our becoming a part of HSS," said Chuck Jett, Emageon's CEO & President. "HSS will be able to augment Emageon's technological capabilities as the industry moves to the start of the PACS replacement cycle in early 2009. All of us at Emageon believe this strategic combination with HSS will enable faster speed- to-market of next generation systems that will offer an even higher level of stability and performance."

The melding of the organizations will result in a company of approximately 400 employees. Current Emageon management will continue to operate the business as they have, but as a part of the HSS group of companies. Further, sales and support functions of both organizations will be maintained, affording no disruption in the manner that customers work with them.

Financial advisors for this agreement were Stanford Group Company for HSS and Jefferies & Company and Sun Trust Robinson Humphrey for Emageon. Legal counsel was provided to HSS by Olshan, Grundman, Frome, Rosenzweig & Wolosky LLP and to the Strategic Alternatives Committee of Emageon's Board of Directors by Bass, Berry & Sims, PLC.

The transaction is subject to approval of a
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SOURCE Health Systems Solutions, Inc.; Emageon Inc.
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