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Cleveland Clinic Health System Physician Organization and Anthem Sign Pilot Project Agreement with Sage HMS

Project to enroll 100 physicians to participate in pilot program

June 17, 2002

Minneapolis, MN. – The Cleveland Clinic Health System Physician Organization (CCHSPO) together with Anthem Blue Cross and Blue Shield have signed an agreement with Sage Health Management Solutions, Inc. (Sage HMS) to launch a pilot program using RadWise®, a comprehensive radiology management program.

The yearlong pilot program will use the RadWise Internet technology with 100 Anthem plan referring physicians to schedule, determine and manage appropriate radiology tests at no cost to participating physicians. The anticipated outcome of the study is a noticeable reduction in unnecessary, inappropriate and redundant testing.

RadWise allows physician users to enter patient information, including the presenting problems and symptoms, from an online patient interview questionnaire and/or patient exam directly into the RadWise system. Through a unique direct questioning format, the system identifies probable diagnoses and identifies the most appropriate imaging choice. In addition, the RadWise system is in compliance with the new Federal regulations ensuring privacy and security for patients.

"We are always seeking ways to make the diagnostic process less cumbersome for patients," said Gregory W. Baran, M.D., chairman of the Department of Regional Radiology at The Cleveland Clinic. "This pilot program is one way to determine if we can streamline the diagnostic process by using the Internet to manage radiology tests." CCHSPO has more than 2,000 physicians with privileges at 10 Cleveland Clinic Health System hospitals.

"Putting real-time information in the hands of physicians is exciting — an experience that Anthem anticipates will enhance the delivery of quality healthcare to its members," said John Jesser, Anthem Vice President of Health Care Management, Northern and Central Ohio. "We are pleased to collaborate with The Cleveland Clinic Health System Physician Organization on this pilot, engaging the use of Internet technology in ways which are appropriate and effective for physicians and Anthem customers."

"Health care providers are increasingly under pressure to make appropriate clinical decisions, document those decisions, and do so efficiently," said V. Katherine Gray, Ph.D., president, CEO and founder of Sage Health Management Solutions. "We are excited to be a part of this pilot program and collaboration between providers and payers that will create a combined e-health and medical management solution to help manage costs, reduce the variability of health care delivery and improve quality of care."

Created in 1999, the Cleveland Clinic Health System Physician Organization is the largest physician group in Northeast Ohio. The Cleveland Clinic Foundation, founded in 1921, integrates clinical and hospital care with research and education in a private, not-for-profit group practice. The Cleveland Clinic website address is www.clevelandclinic.org.

Anthem Blue Cross and Blue Shield provides health care benefits and services to more than 8 million people. The Anthem Blue Cross and Blue Shield companies are subsidiaries of Anthem, Inc. (NYSE: ATH), an Indiana-domiciled publicly traded company. Anthem is the Blue Cross and Blue Shield licensee for Indiana, Kentucky, Ohio, Connecticut, New Hampshire, Colorado, Nevada and Maine. Anthem, Inc. and Anthem Blue Cross and Blue Shield in Ohio are independent licensees of the Blue Cross and Blue Shield Association. More information about Anthem is available at www.anthem.com.

SAGE Health Management Solutions, Inc., headquartered in Minneapolis, was founded in 1997. An Internet-based healthcare services company initially focused on the growing market demand for radiology management, Sage HMS provides services that support quality improvement and increased productivity for healthcare providers and managed care payers.