Exhibit 99.1
KCSA
PUBLIC RELATIONS
WORLDWIDE News
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Public & Investor Relations, Corporate & Marketing Communications
FOR IMMEDIATE RELEASE
MEDIX SIGNS LICENSE AGREEMENT FOR SOURCE CODE WITH ZIRMED.COM;
WEB-BASED CLAIMS SUBMISSION TECHNOLOGY
REPRESENTS A KEY BUILDING BLOCK
New Technology to Accelerate Deployment of Web-Based Claims Services
NEW YORK - June 27, 2000 - Medix Resources, Inc. (AMEX:MXR), a provider
of Internet-based healthcare connectivity services, today announced
that it signed a perpetual License Agreement with ZirMed.com for its
source code for Web-based claims submission. The perpetual license of
ZirMed.com's intellectual property replaces the previously announced
option to acquire ZirMed.com, which is no longer in effect. In
conducting its due diligence for the acquisition option, it was
determined that the best interests of both companies would best be
served by a perpetual licensing agreement. Medix will pay a licensing
fee of $750,000 over the next four months, and will pay nominal annual
royalties for this software license.
John Prufeta, Medix's CEO states, "We believe that ZirMed's technology
accelerates our deployment of Web-based claims services, while expanding our
market opportunity substantially. We plan to use the technology both as an
immediately deployable standalone service, as well as a key building block for
our next generation of healthcare connectivity services. We are dedicated
to providing technology-based services that alleviate the very real
administrative nightmare and historical source of friction between
payors and providers, enabling them to increasingly focus on delivering
optimal care to their patients. In the claims processing arena, we aim to
compress payment cycles for providers, as well as to reduce the overhead
associated with claims processing at the payor level. These basic inefficiencies
consume tens of billions of dollars annually within the healthcare industry, and
represent a tremendous market opportunity for our company."
About ZirMed.com(TM)
Located in Louisville, KY, ZirMed.com(TM) is one of the first in the
nation to offer real-time, Web-based technology for healthcare providers to
enter and file medical and dental claims directly over the Internet.
800 Second Avenue Tel 212 682 6300 E-mail [email protected]
New York, NY 10017 Fax 212 697 0910 www.kcsa.com
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About Medix Resources, Inc.
Medix Resources, Inc. is the developer and provider of the
Cymedix.com(R) 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,
which was filed with the Securities and Exchange Commission on March 30, 2000.
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
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FOR: MEDIX RESOURCES, INC.
CONTACT: John Prufeta, CEO
212-697-2236
[email protected]
KCSA
CONTACTS: Paul Holm / Joseph A. Mansi
212-896-1201 / 896-1205
[email protected] / [email protected]
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