KCSA
PUBLIC RELATIONS
WORLDWIDE NEWS
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Public & Investor Relations, Corporate & Marketing Communications
FOR: MEDIX RESOURCES, INC.
CONTACT: John R. Prufeta, President and CEO
(212) 697-2509
(212) 681-9817 (fax)
[email protected]
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KCSA INVESTOR Sarah Shepard / Elena Bonaiuto
CONTACTS: (212) 896-1236 / (212) 896-1233
(212) 697-0910 (fax)
[email protected] / [email protected]
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KCSA MEDIA Jessica Gates / Kevin Rini
CONTACTS: (212) 896-1229 / (212) 896-1292
[email protected] / [email protected]
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FOR IMMEDIATE RELEASE
MEDIX RESOURCES, INC. REPORTS THIRD QUARTER RESULTS
NEW YORK, November 16, 2000 -- Medix Resources, Inc. (AMEX: MXR) today announced
the Company's financial results for the third quarter ended September 30, 2000.
Revenues from continuing operations for the third quarter of 2000
totaled $104,000. The Company reported no revenues from continuing operations in
1999. Net loss for the third quarter was $1,380,000, or $(0.03) per common
share, compared with a net loss of $(1,169,000), or $(0.06) per common share,
for the 1999 third quarter.
The Company's wholly-owned subsidiary, Cymedix Lynx Corporation,
currently provides all of Medix's revenues. Selling, general, and administrative
expenses increased approximately $548,000, from $480,000 for the three months
ended September 30, 1999, to $1,028,000 for the three months ended September 30,
2000, due primarily to increased marketing activities for the Cymedix.com(R)
software products. Interest expense totaled $3,000 for the three months ended
September 30, 2000 compared to $29,000 for the three months ended September 26,
1999, due to the pay-down of a credit line in connection with the sale of the
Company's staffing business during the first quarter of this year.
The Company had $2,273,000 in cash as of September 30, 2000, with net
working capital of $1,917,000. During the first nine months of 2000, net cash
used in operating activities was $3,337,000 and additional paid in capital of
$5,884,000 was raised from the exercise of options
800 Second Avenue Tel 212 682 6300 E-mail [email protected]
New York, NY 10017 Fax 212 697 0910 www.kcsa.com
<PAGE>
MEDIX REPORTS/2
and warrants. As of November 15, 2000, the Company had $1,252,367 in cash. Medix
may be able to access up to approximately $2.5 million through the exercise of
outstanding callable warrants.
John R. Prufeta, President and Chief Executive Officer of Medix,
commented, "During the third quarter, Medix made significant progress in
developing and refining our technologies, expanding our distribution channels,
and growing our sales pipeline. Furthermore, we believe that we are making
significant progress in our strategy to attract long-term strategic capital,
although timing, as is typically the case with strategic financings, is
uncertain until the transaction closes. We believe that we are building momentum
on these fronts that we look forward to sharing with investors as we reach
tangible and significant milestones. "
About Medix Resources, Inc.
Medix Resources, Inc., through it wholly-owned subsidiary, Cymedix Lynx
Corporation, is a developer and provider of a suite of fully secure, patented
Internet based software products, that allow instantaneous communication of high
value added healthcare information among doctor offices, hospitals, health
management organizations and insurance companies. Additional information about
Medix Resources and its products and services can be found by visiting its Web
sites, www.medixresources.com and www.cymedix.com, or by calling (800) 326-8773.
# # #
Information in this press release contains forward-looking statements that
involve risks and uncertainties that might adversely affect the Company's
operating results in the future to a material degree. Such risks and
uncertainties include, without limitation, the ability of the Company to raise
capital to finance the development of its software products, the effectiveness
and the marketability of those products, the ability of the Company to protect
its proprietary information, and the establishment of an efficient corporate
operating structure as the Company grows. These and other risks and
uncertainties are presented in detail in the Company's Form 10-KSB for 1999,and
form 10QSB for the current third quarter, which were filed with the Securities
and Exchange Commission on March 30, 2000 and November 14th 2000, respectively.
This information is available from the SEC or the Company.
This press release is available on the
KCSA Public Relations Worldwide Web site at www.kcsa.com.
