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HealthFitness Announces Third Quarter 2009 Financial Results
Date:11/4/2009

evenue growth in light of a tough economy. The $4.8 million of net potential annualized revenue generated during the quarter surpasses the $3.1 million of net potential annualized revenue we produced during the second quarter of 2009, and represents our best quarter for new potential annualized revenue since the second quarter of 2006. Highlights from the third quarter include a health management commitment from a large insurance plan for $3.0 million of potential annualized revenue, which will begin service implementation in July 2010. We also received a fitness management commitment from an auto manufacturer, representing $1.6 million of potential annualized revenue, which will begin service implementation in January 2010."

"Going into the fourth quarter and 2010, we are optimistic about the potential for continued revenue growth. We are currently a finalist in one fitness management proposal and 12 health management proposals, representing potential annualized revenue of $10.7 million. As stated previously, our future revenue growth will continue to be driven by our ability to help self-insured employers reduce the cost of employee healthcare. In addition to the University of Louisville ROI study we published earlier this year, we are currently completing several new ROI analyses that initially show returns ranging from $2.25 to $3.62 for every $1.00 invested. We are excited about these initial results because they affirm the proposition that health improvement services can reduce the impact of health care costs. We will disclose more details about these successful outcomes in future issue briefs and other communications"

2009 Third Quarter Business Segment Information

Revenue and gross profit information by segment:

    Health Management

                                                  (in thousands)
    REVENUE                               Q3 2009             Q3 2008
                                     
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SOURCE Health Fitness Corporation
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