LifeScan, Inc. Announces Strategic Alliances

    MILPITAS, Calif., June 27 /PRNewswire/ -- LifeScan, Inc., the market
 leader in bedside blood glucose monitoring systems for hospitals and other
 medical institutions,(1) announced today that it has formed two unprecedented
 strategic alliances to help impact the financial health of institutions by
 further enhancing efficiencies and cost savings in point of care testing
 (POCT) and expanding these benefits beyond blood glucose monitoring into other
 areas.  LifeScan is the supplier of DataLink(TM), a labor saving blood glucose
 data management system that can interface completely with the laboratory
 information system and has demonstrated positive financial impact for
 institutions.
     The advanced efficiencies the LifeScan alliances will make possible are
 increasingly important as staffing shortages reach a critical point.  More
 than one in seven hospitals report a severe shortage of nurses (more than 20%
 of RN positions vacant),(2) with more than 126,000 positions vacant across the
 nation.(3)  The resulting increases in salaries, overtime, premium pay and
 recruitment costs are further taxing hospitals' already stretched finances.
     That staff shortages are also having an effect on patient care is well
 documented.  Six out of ten RNs report the shortages in their institutions
 make it harder to provide quality care, while one third of institutions report
 patient satisfaction problems as a result.(2)  In addition to the increased
 availability of the point of care coordinator's (POCC) time made possible
 through the DataLink system, institutions also benefit from the delivery of
 more timely and complete clinical information to inform clinical decision-
 making.
     The independent alliances with Medical Automation Systems, Inc. (MAS),
 integrating DataLink with RALS(R)-Plus, and TELCOR Inc., integrating DataLink
 with QML (Quick Multi-Linc(TM)), now make it possible for LifeScan's customers
 to manage all their POCT data with a single system and choose the tests and
 brands that are most likely to benefit their bottom lines and impact patient
 care.
     "We are very excited about the enhanced capabilities we will be able to
 offer our customers to improve efficiency, provide better patient care and
 improve the overall financial health of their institutions," commented Karen
 McCormick, Vice President, Institutional and Cardiovascular Business Units,
 LifeScan.  "The DataLink system has already demonstrated significant cost and
 revenue benefits for our customers.  LifeScan is first to build dual
 partnerships with TELCOR and MAS, allowing institutions to reap similar
 benefits across their entire POCT programs.  This is a reflection of
 LifeScan's on-going commitment to our customers."
     As a measure of efficiency gains made possible by DataLink, a recent study
 in a 620-bed healthcare system demonstrated savings of more than 60 hours per
 month in POCC hours spent uploading and downloading blood glucose results.(4)
 Significant revenue gains have also been observed through increases in the
 number of captured and billed blood glucose tests.(5)
 
     Quick Multi-Linc(TM) (QML)
     QML is a point-of-care data management software solution, developed and
 licensed by TELCOR, that integrates results from all POCT devices and
 eliminates multiple workstations and software programs.  It provides a single
 display of testing activity, including patient and quality control results,
 overdue devices and samples requiring follow-up.
     "With the addition of QML, LifeScan's customers will be able to
 consolidate results from all point-of-care testing devices with a single
 integrated system," noted Mitch Fry, Senior VP Business Development and
 Marketing, TELCOR Inc.
 
     RALS(R)-Plus
     RALS-Plus is a vendor-independent information management system developed
 and licensed by Medical Automation Systems, Inc. (MAS).  The system provides
 an almost instantaneous electronic link between POC sites and central
 laboratories.  The leadership MAS maintains within the Connectivity Industry
 Consortium (CIC) ensures that RALS-Plus will always reflect the latest
 industry standards.
     "RALS-Plus will allow LifeScan to provide more choices for their
 customers," stated Greg Menke, President and CEO, MAS.  "The integration of
 RALS-Plus and DataLink will provide customers with point-of-care information
 management systems in areas besides blood glucose monitoring, such as
 coagulation, urinalysis, blood gases and electrolytes."
     "Within minutes of the test being performed, I have accurate results that
 can be reviewed the same day by the physician," stated Melody Botterbusch,
 M.T., Point of Care Coordinator, York Hospital, York, Pennsylvania.  "My
 department now has more time to devote to other point-of-care
 responsibilities."
     "The DataLink system has really provided me with the tools to control and
 improve efficiency, and to effectively manage close to 1,000 operators," said
 Ann E. Snyder, B.S., M.T., (A.S.C.P.), Point of Care Testing Coordinator, GBMC
 Healthcare and President of the Maryland Society for Clinical Laboratory
 Science.  "Previously, this level of management would not have been possible.
 I now have more time to devote to other areas of point-of-care testing."
 
      1. As measured by test strip sales, IMS Health DDD Hospital, March 2002.
      2. The Healthcare Workforce Shortage and Its Implications for America's
         Hospitals, First Consulting Group, Fall 2001, commissioned by the
         American Hospital Association.
      3. The State of Hospitals' Financial Health, April 2002, American
         Hospital Association.
      4. Snyder, AE, Improving a point-of-care testing program with
         connectivity, Poster presentation at 53rd Annual AACC Conference,
         2001.
      5. Bauwens, J, Outcomes and benefits of connectivity for point-of-care
         glucose testing, Poster presentation at 53rd Annual AACC Conference,
         2001.
 
     About LifeScan, Inc.
     For over two decades, LifeScan has been committed to improving the quality
 of life for people with diabetes.  Five years after incorporation, LifeScan
 joined the Johnson & Johnson family of companies in November 1986.
 Headquartered in Milpitas, California, LifeScan has manufacturing facilities
 in Milpitas and Puerto Rico, and employs more than 3,500 employees worldwide.
 In addition to blood glucose monitoring, LifeScan has a strong commitment to
 bringing more point-of-care connectivity solutions to institutions with their
 DataLink(TM) Data Management System.  LifeScan's SureStep(R)Flexx and DataLink
 systems can be tailored specifically to an institution's needs.
 
     About TELCOR Inc.
     TELCOR Inc., an employee owned company in operation since 1994, provides
 innovative and practical software products and services to the healthcare
 industry and is a worldwide leader in point-of-care data management and
 interface solutions.  TELCOR also provides consulting and deployment solutions
 that allow both healthcare providers and vendors to maximize the quality and
 efficiency of their services.  TELCOR's unique industry experience positions
 it as a leading provider of connectivity deployments between point-of-care
 testing systems and clinical information systems.
 
     About Medical Automation Systems, Inc.
     Medical Automation Systems, Inc. (http://www.medicalautomation.com) is the
 leading supplier of information management systems for point-of-care testing
 with over 300 installations and 15,000 connected devices throughout the U.S.
 and Canada.  The company's flagship product is RALS(R)-Plus (Remote Automated
 Laboratory Systems), a multi-instrument, vendor-independent information
 management system for POCT.  MAS products include RALS(R)-LIS, a standalone
 connectivity solution that simplifies the LIS/HIS order and result entry
 process, including automatic patient verification via the RALS(R)-ADT
 capability.
 
      CONTACT:  Melissa Hill, Noonan Russo Presence, +1-858-587-5672, or
                melissa.hill@nrp-euro.com
 
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SOURCE  LifeScan, Inc.