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Zix Corporation Processes More Than 20 Million Electronic Prescriptions
Date:6/18/2008

e-Prescribing Leader Affirms Industry Dominance

DALLAS, June 18 /PRNewswire-FirstCall/ -- Zix Corporation (ZixCorp(R)), (Nasdaq: ZIXI), the leader in hosted services for email encryption and e-prescribing, today announced the Company has processed a record 20 million prescription transactions through the ZixData Center(TM), a SysTrust(TM) certified and SAS-70 accredited center. Over 3,200 active prescribers across eight payor-sponsored e-prescribing programs in 11 states actively use PocketScript(R) to save lives, save time and save money.

"This milestone is further evidence that electronic prescribing is scalable and ready for broader implementation," said Rick Spurr, chief executive officer for ZixCorp. "The payor-sponsorship model that ZixCorp created provides doctors with an easy transition to e-prescribing. ZixCorp has continued to maintain its focus on primary care, with a particular emphasis on small practices of five physicians or less. This segment represents 75 percent of the total market of high prescribers."

ZixCorp's payor-funded model has seen great success among its programs with Aetna, Blue Cross Blue Shield of Illinois, Blue Cross Blue Shield of Louisiana, Blue Cross Blue Shield of North Carolina, Massachusetts-based eRx Collaborative (Blue Cross Blue Shield of Massachusetts, Tufts and Neighborhood Health Plan), Independence Blue Cross, L.A. Care and UnitedHealthcare. Recent published results from Blue Cross and Blue Shield of Massachusetts documented that providers who used an e-prescribing device were able to choose more cost-effective drugs and saved five percent on their drug costs relative to those prescribers who did not use this technology. Aetna also announced that it had experienced a five to seven percent increase in use of on-formulary and generic drugs, respectively, in its New Jersey e-prescribing pilot with ZixCorp, which also facilitates drug-drug and drug-allergy safety checks to increase patient safety.

e-Prescribing Recent Legislative Events & Commentary:

-- Earlier this month (June 2008), both Senator Max Baucus (D-MT), chairman of the Senate Finance Committee, and Senator Charles Grassley (R-IA), the ranking member on the Finance Committee, both introduced Medicare bills which contain very similar measures with respect to e-prescribing.

-- A Wall Street Journal article, "E-Prescribing Gets Support in Congress," reported June 5 that the apparent bipartisan agreement on e-prescribing seems to signal that those provisions have a good chance of surviving the haggling that will be needed to get a final Medicare bill through the divided Senate(1).

-- A June 13 Wall Street Journal article, "Bill on Medicare Payments To Doctors Stalls in Senate," reported that some common aspects of the Grassley and Baucus bills are likely to survive the Senate's final version, which includes a push for physicians to adopt e-prescribing(2).

Gathering of Industry leaders

In other recent activity, ZixCorp's Chairman and CEO, Rick Spurr co-presented at a symposium where Senator John Kerry (D-MA), former Speaker of the House Newt Gingrich, and Health and Human Services Secretary Michael Leavitt all advocated a mandate for writing Medicare prescriptions electronically. In addition, ZixCorp's Kirk Kirkman, Vice President Physician Recruitment and Utilization, co-presented at last week's Blue Cross Blue Shield Association Spring IT Workshop.

ZixCorp's PocketScript(R) e-prescribing service enables physicians to order prescriptions through a secure wireless mobile PDA or secure Web site and deliver them electronically to the patient's preferred pharmacy. Mobility enables PocketScript to provide clinical decision support at the point-of-care with real-time access to a drug reference guide as well as patient-level eligibility, formulary, and co-pay information to aid the prescriber in selecting the most cost-effective prescription based on the patient's benefits. The application also provides comprehensive drug-to-drug and drug-to-allergy interaction alerts based on patient-specific dispensed drug history. Through partnerships with SureScripts and RxHub, PocketScript delivers end-to-end connectivity within the healthcare system to reduce unnecessary costs, improve patient safety and convenience, and enhance practice efficiency.

About Zix Corporation

ZixCorp is the leading provider of easy-to-use-and-deploy email encryption and e-prescribing services that Connect entities with their customers and partners to Protect and Deliver sensitive information in the healthcare, finance, insurance and government industries. ZixCorp's hosted Email Encryption Service provides an easy and cost-effective way to ensure customer privacy and regulatory compliance for corporate email. Its PocketScript(R) e-prescribing service saves lives and saves money by automating the prescription process between payors, doctors and pharmacies. For more information, visit http://www.zixcorp.com.

(1) Wilde Mathews, A., Radnofsky, L. (2008, June 5). E-Prescribing Gets Support in Congress, The Wall Street Journal, p. D8

(2) Wilde Mathews, A. (2008, June 13). Bill on Medicare Payments to Doctors Stalls in Senate, The Wall Street Journal, p. A12


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