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US Oncology Reports Second Quarter Operating Results
Date:8/6/2009

ile positioning the organization for long-term success in its mission of continuously advancing access to cost-effective cancer care in today's changing healthcare landscape.

We have experienced increased productivity through our Lean Six Sigma program aimed at improving the patient experience while enhancing the efficiency of the care delivery process. An example of our productivity success, at our 17 largest practices utilizing our Lean Six Sigma processes, we have experienced a decline in non-drug costs per patient by 2.6 percent, which also reflects economies of scale on the three percent growth in patient volume. In addition, the average time to first appointment at these practices has decreased from 13 days to 8 days over the last 12 months. These improvements demonstrate the effect our Lean Six Sigma program is having on the practice operations. We have also experienced a reduction in our corporate general and administrative costs to $33.5 million in the first half of 2009 from $40.1 million in the same period of 2008.

We believe that sustainable long-term healthcare policies will reward national organizations focused on improving the effectiveness and efficiency of patient care through utilization of advanced information technology and an integrated care management model. Our comprehensive care management program, Innovent Oncology, our proprietary electronic health record system, iKnowMed, which is used by approximately 82 percent of our affiliated physicians that treat over 650,000 patients annually demonstrate that we are well positioned to thrive in this new healthcare reimbursement environment.

Our continuing objectives remain clear: continue to grow our network of affiliated physicians, improve our organization's productivity, and accelerate the expansion of our national businesses, all while maintaining focus on our mission."

Broussard concluded, "Our ability to raise $
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SOURCE US Oncology, Inc.
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