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FOR IMMEDIATE RELEASE
Contact: Carolyn Hickey
Phone: 703-243-9262

Key Biscayne, FL (August 19, 2002) - Senior group purchasing executives announced today at the Health Industry Group Purchasing Association's (HIGPA) 2002 Medical Technologies and Health Policy Forum how their individual companies are working to improve the health care supply chain and ensure market access to all potential vendors by implementing or expanding upon HIGPA's GPO Code of Conduct Principles.

HIGPA and five of the largest group purchasing organizations (GPO) highlighted specific operating guidelines, which would foster a fair and competitive health care marketplace. Representatives from the GPOs included: Mark Moyer, vice president of marketing for AmeriNet, Inc., John Strong, president and CEO of Consorta Catholic Resource Partners, Jonathan Glenn, executive vice president and chief legal officer of MedAssets Inc., Mark McKenna, president of Novation and Howard Sanders, senior vice president of group purchasing for Premier, Inc.

Many of the GPO leaders identified their company's timeline for implementation of specific principles for the industry-wide Code and for their own enhanced business models. Specifically, the appointment of a GPO Code of Conduct Compliance Officer is in progress by all of the GPOs represented on the panel, with the intent to designate an officer by HIGPA's 2002 International EXPO, scheduled for October 16-18. HIGPA will be hosting a GPO Code of Conduct Compliance Officer Workshop at EXPO to help guide individual GPOs and their compliance officers in this transformation process. HIGPA President and CEO, Robert Betz, Ph.D., announced this workshop during his presentation on the "Developments in Health Policy and HIGPA's Advocacy Efforts."

Dr. Betz's presentation focused on updating the membership on important federal health care policies and details surrounding the HIGPA GPO Code of Conduct. Additionally during this session, the HIGPA chief announced several other initiatives being undertaken by the Association. These activities include:

• Research Studies: The Lewin Group, and Muse & Associates are currently conducting studies to quantify the value of group purchasing, expected to be published by January 2003 and the end of fall 2002, respectively;
• Committee of Counsel: HIGPA will be holding its second annual Committee of Counsel Meeting in December. The group, comprised of attorneys from HIGPA's member organizations, will discuss the current legal and regulatory environments surrounding the health care industry with particular emphasis on group purchasing; and,
• FTC Workshop: HIGPA will be participating at the Federal Trade Commission's workshop from September 9-10, 2002 on Health Care and Competition Law and Policy as a panelist on their "Hospital Group Purchasing Organizations" session.

"The 2002 Medical Technologies and Health Policy Forum was the most comprehensive Forum to date, featuring programs on the latest industry topics, including two sessions focusing exclusively on the Code of Conduct. I was delighted in how much progress has been made by individual companies in implementing the provisions of the GPO Code of Conduct and am confident that by January 2003 every HIGPA member will be in compliance with the new industry standard," said Betz. "I hope those that attended have a better understanding of how the group purchasing industry is working to improve the delivery of health care by providing the best products at the best prices for the patients they ultimately serve."

Attendees at the Forum were offered the opportunity to educate themselves on the most current issues affecting the medical technologies world. In addition to learning about federal health care policies, HIGPA's GPO Code of Conduct and principles being implemented beyond the industry standard by individual GPOs, Forum participants became more knowledgeable in contracting issues affecting Historically Underutilized Businesses (HUB); the prognosis for e-commerce technology in the world and specifically in health care; leadership strategies for health care executives; challenges impacting hospital purchasing decisions; curtailing costs through activity based costing; how to establish national accounts; and broadening applications for Picture Archiving Communication Systems (PACS).

HIGPA's annual Medical Technologies and Health Policy Forum was held this year in Key Biscayne, Florida from August 19-21. Roche Diagnostics was a Bronze Sponsor.

Roche Diagnostics, a Bronze Sponsor, is the world's leading provider of diagnostic systems and decision-oriented health information. Roche Diagnostics is dedicated to research, development, marketing and servicing of products and solutions not only for medical laboratories, doctors' offices and patients, but also for research and industry.

HIGPA is a chartered trade association of approximately 160 health care purchasing and supply chain organizations. HIGPA's Industry Members include purchasing groups, associations, and health care provider alliances. HIGPA's Trading Partner members include many of the world's leading health care product manufacturers, distributors, wholesalers and related suppliers. According to a recent study conducted by a former principal analyst at the Congressional Budget Office, hospitals save patients approximately $20 billion each year by purchasing products through group contracts.

To learn more about HIGPA or the group purchasing industry, visit www.higpa.org or call 703-243-9262.

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