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MedCom USA Signs Southwood Medical Marketing to Distribute MedCom System
Date:2/26/2008

SCOTTSDALE, Ariz., Feb. 26 /PRNewswire-FirstCall/ -- MedCom USA, Inc. (OTC Bulletin Board: EMED), a leading provider of HIPAA compliant healthcare and financial transaction solutions for the healthcare industry, has signed a distribution agreement with Southwood Medical to distribute, through their national sales force, the product line of MedCom USA. MedCom's products offer real-time Patient Eligibility and a suite of payment options which include Credit/Debit, Easy Pay and Check Guarantee/EFT all delivered through its online Web Portal, http://www.medcomconnect.com.

Mr. Bob Schwartz, COO of Southwood, stated, "We have been looking for products and services which would compliment our core business and give our thousands of current Physician Practices, as well as our new practices, viable products to help them check their patients' eligibility and then ensure that they will be paid for their services. MedCom provides these products on its fast user-friendly Web Portal. Southwood's comprehensive services are designed to enhance in-office dispensing, which allows for added revenue for the practice and convenience for the patient as they can get their prescriptions filled at the office at time of visit."

Mr. Bill Williams, President and CEO, MedCom USA, stated, "We are very excited to work with Southwood who will be offering our services through their existing nationwide distribution channels. The calendar year 2007 has been a year of change for MedCom; by transitioning primarily over to the Web Portal platform from a Point of Service Terminal, we have been able to cut our cost of sales and reduce our overhead dramatically. Cost of deliverables for the quarter ended September 30, 2007 decreased 60% as compared to 2006. This transition has also allowed us to reduce our operation staff by two thirds."

The completion of the Check Guarantee/EFT program on the Web Portal now gives MedCom a
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SOURCE MedCom USA, Inc.
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