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HealthMedia Revolution Explodes in Second Quarter
Date:9/12/2007

Strengthened Partnerships, Strategic Accounts and New Products Provide

Momentum and Sustained Growth

ANN ARBOR, Mich., Sept. 12 /PRNewswire/ -- HealthMedia, Inc., the global leader in scalable behavior change interventions with outcomes for health and wellness, disease management, medication compliance, and behavioral health announces the second quarter in a row with a 97 percent growth in healthcare license revenue compared to the same period last year. With the revenue increase for the first half of 2007, the company is on track to more than double its overall license growth rate goal by year-end.

"This has been a banner quarter for HealthMedia," said CEO Ted Dacko. "Companies in all areas of health care are really beginning to understand the power of web-based interventions to efficiently and economically bring proven and sustained behavior change to millions of people."

New Clients, Partners, and Alliances

HealthMedia's revolutionary products were purchased by several new clients in the second quarter. Each company will provide their members and/or employees with a range of HealthMedia products, including health risk assessment (HRA) and the full suite of Lifestyle Management, Disease Management, and Behavioral Health Interventions. New clients include:

-- Advocate Health Care, a leading integrated health care delivery network

in the U.S., will offer HealthMedia interventions to 18,000 adult

participants in their medical benefits plan throughout the greater

Chicago area. They also will begin offering the interventions to

employer clients throughout Chicago as part of their corporate health

initiatives.

-- Texas-based Group & Pension Administrators, Inc. will offer the

HealthMedia online HRA, lifestyle management interventions, and

incentive management programs to its self-insured employer groups,

including The Container Store-the nation's leading retailer of storage

and organization products.

-- Health New England, Inc., a health maintenance organization licensed in

Massachusetts and ranked among the top health insurance plans in the

U.S. by independent surveys, signed on to offer its members the

HealthMedia online HRA.

-- MedCost Benefit Services, a North Carolina-based Third Party

Administrator, will offer HealthMedia's HRA and web-based lifestyle

management interventions to approximately 15,000 people. The initial

launch will include programs for weight management and physical

activity, nutrition improvement, stress management, and smoking

cessation.

HealthMedia's strategic relationship with Corphealth, a wholly owned subsidiary of Humana, Inc., has resulted in a contract to provide HealthMedia programs to 1.3 million Humana Medicare recipients beginning in January 2008.

In addition, HealthMedia has expanded its relationships with APS Healthcare, Highmark, Hazelden, Aetna Behavioral Health, AstraZeneca, HMSA, and Kaiser Permanente

HealthMedia has also added several new partners and alliances, including:

-- HealthDay, whose award-winning daily, consumer health news reports will

be incorporated into HealthMedia interventions to enhance user

engagement and experience.

-- Relationship Marketing Inc., an agency that uses data-driven,

individualized marketing campaigns to create more meaningful and

profitable customers.

-- IncentOne, which provides integrated health and productivity incentive

solutions to clients ranging from small businesses to the FORTUNE 500

(including half of the FORTUNE 50), has signed a partnership with

HealthMedia to marry web-based interventions with health and disease

management incentive programs.

New Products and Campaigns

HealthMedia introduced two new products and a new educational campaign in the second quarter.

HealthMedia(R) Care(TM) for Pain is designed for individuals suffering from chronic pain conditions including rheumatoid arthritis, osteoarthritis, joint pain, disc pain, back pain, fibromyalgia, neuropathy, temporomandibular joint and muscle disorder (TMJ), and headache including migraine. Kaiser Permanente, Physicians Plus Insurance Corporation, Advocate Health Care, and Highmark will be the first four companies to implement the program, which has initial outcome data that shows an increase in productivity and reduction in perception of pain symptoms.

The company also issued the first release of HealthMedia(R) Connect(TM), a family of integrated products and services designed to significantly improve participation and outcomes for its online interventions. HealthMedia Connect is an expanding collection of capabilities developed by HealthMedia and its strategic partners that have expertise in connecting with end users. It incorporates a range of software, services, and consulting for incentive management, intelligent recruitment, and campaign management.

HealthMedia launched an innovative national health advocacy campaign around the doctor/patient relationship. The campaign is built on the success of "The Appointment," a brief yet entertaining film exploring the doctor- patient relationship and offering patients tips to make the most of their time interacting with their physician. To date, several organizations, including Planned Parenthood, University of Michigan Pain Center, Alachua County Health Department, and GoodHealth TV are utilizing the video as an educational tool. "The Appointment" can be viewed at http://www.healthmedia.com/theappointment.html.

Awards and Recognition

HealthMedia was awarded the prestigious Inc. 5000 Award and added to the list of the nation's fastest-growing private companies. According to John Koten, the CEO and editor-in-chief of Mansueto Ventures, which publishes Inc. and Fast Company magazines, the Inc. 5000 list was created to draw attention to companies that are taking off right now.

In addition, HealthMedia's innovative interventions were praised by former Arkansas Governor Mike Huckabee on June 28 in Chicago, before an audience of health and wellness leaders at a workplace weight management conference. Huckabee acknowledged CEO Ted Dacko and the role HealthMedia has played in the "Healthy Arkansas" initiative. In one year, nearly 60 percent of State of Arkansas employees participating in the program lost weight, 95 percent improved their nutrition and 12 percent reduced their BMI by at least one unit. Productivity impairment has improved, resulting in an estimated productivity savings of $2,445 per employee.

"HealthMedia's interventions have played an important role in 'Healthy Arkansas' and our nation's CEOs need to start looking at these type of programs to help improve the health and wellbeing of their employees, while improving their own bottom lines," Huckabee said.

About HealthMedia, Inc.

HealthMedia, Inc. is the global leader in scalable behavior change interventions with outcomes. HealthMedia's proven outcomes increase compliance, reduce medical utilization, and increase productivity- boosting profitability for health plans, employers, pharmaceutical companies, and behavioral health organizations. A fusion of their own unique technology and proven behavioral science, HealthMedia delivers individually tailored behavior change interventions for health and wellness, disease management, behavioral health, and medication compliance. Clients include Kaiser Permanente, UPS, Cleveland Clinic, Johnson & Johnson, GSK, and eight Blue Cross Blue Shield organizations across the United States. HealthMedia partners include APS Healthcare, Corphealth, Health Dialog, Wellsource, and SHPS. For more information visit http://www.healthmedia.com.


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SOURCE HealthMedia, Inc.
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