CTG Announces Four Major Healthcare IT Contracts
BUFFALO, N.Y., June 29, 2012 /PRNewswire/ -- CTG (NASDAQ: CTGX), an IT solutions and services company, announced today the award of four contracts totaling $16 million in revenue over a two-year period. The new projects include:
- A two-year application management outsourcing engagement for a major university-affiliated children's hospital.
- Business process re-engineering and application implementation services for a regional health insurer for HealthEdge, a leading enterprise-class software vendor for healthcare payers
- A two-year project to expand CTG's IT medical management model for a healthcare provider organization
- A one-year consulting engagement to provide implementation support for a statewide health information exchange (HIE)
"While anticipated, we are pleased to see these four major projects move from our pipeline to billable work," said James R. Boldt, CTG chairman and chief executive officer. "These new engagements also reflect that growth in our healthcare business is coming from multiple, diverse sources. This latest HIE project brings us into a new state and builds on the work we have already done for state and regional HIEs. The medical management tool is part of our comprehensive suite of analytics solutions for healthcare providers and payers that support better and lower cost healthcare. The new payer project expands our HealthEdge vendor practice to three large health insurers. CTG is a HealthEdge partner and based on the growing popularity of HealthEdge's HealthRules suite as an enterprise-class software platform for healthcare payers, we see significant additional growth opportunity for new health payer business."
Mr. Boldt added, "The new outsourcing engagement supports the maintenance of multiple outgoing and ongoing provider applications. Application management outsourcing is already a significant part of CTG's healthcare business and we see further growth in this area as more healthcare organizations move toward permanently outsourcing some of their application portfolio."
CTG is a recognized healthcare industry leader in IT outsourcing. Most recently, CTG Health Solutions, the company's healthcare divisions was ranked first place, Category Leader in the Partial IT Outsourcing segment in the "2011 Best in KLAS Awards: Software & Services," December 2011. Over the last 25 years, CTG Health Solutions has provided healthcare IT, and operational and strategic consulting support to more than 600 healthcare organizations including application management services to approximately 60 hospitals including 16 children's hospitals.
CTG develops innovative IT solutions to address the business needs and challenges of companies in several higher-growth industries including healthcare, energy, and technology services. As a leading provider of IT and business consulting solutions to the healthcare market, CTG offers hospitals, physician groups, and regional health information exchanges a full range of electronic medical record services. Additionally, CTG has developed for the healthcare provider and payer markets unique, proprietary software solutions that support better and lower cost healthcare. CTG also provides managed services IT staffing for major technology companies and large corporations. Backed by over 45 years' experience, proprietary methodologies, and an ISO 9001-certified management system, CTG has a proven track record of delivering high-value, industry-specific solutions. CTG operates in North America and Western Europe. CTG posts news and other important information on the Web at www.ctg.com.
Safe Harbor Statement
This document contains certain forward-looking statements concerning the Company's current expectations as to future growth. These statements are based upon a review of industry reports, current business conditions in the areas where the Company does business, the availability of qualified professional staff, the demand for the Company's services, and other factors that involve risk and uncertainty. As such, actual results may differ materially in response to a change in such factors. Such forward-looking statements should be read in conjunction with the Company's disclosures set forth in the Company's 2011 Form 10-K, which is incorporated by reference. The Company assumes no obligation to update the forward-looking information contained in this release.
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