NextGen Healthcare Unveils New Subscription-Based, SaaS Delivery Model

Monthly subscription provides a fast and easy way for small practices to access award-winning EHR, practice management technology

NextGen Healthcare Information Systems, Inc., a wholly owned subsidiary of Quality Systems, Inc. (NASDAQ: QSII) and a leading provider of ambulatory healthcare and connectivity solutions, today announced the availability of its subscription-based, software as a service (SaaS) model. Through this model, which is designed for smaller practices, providers can quickly access the NextGen® EHR (Electronic Health Record) or NextGen EPM (Enterprise Practice Management) products for a monthly subscription starting at $599 per provider for one product or $799 per provider for both products. The standard monthly subscription fee also includes state-of-the-art hosting and maintenance services, as well as access to the NextMD® patient portal and utilization of 3M CPT4/ICD9 coding content.

“Given the current economic state, many smaller practices simply can’t afford the initial capital outlay associated with purchasing servers and software licenses,” said Patrick Cline, president of NextGen Healthcare. “We’re excited to offer this delivery model to help practices quickly and cost-effectively meet their automation needs, while also providing the advanced technology platform needed to address stimulus-related incentive (pay-for-performance) requirements.”

With a NextGen EHR subscription, providers have access to patient education content, drug and allergy data from First Data Bank, and e-prescribing and formulary checking through NextGen Healthcare’s medication management feature. NextGen EHR is currently the only EHR product that has achieved Surescripts® Platinum Solution Provider status. In addition, NextGen EHR is positioned to meet all standards that the government will be endorsing as part of the 2009 American Recovery and Reinvestment Act. A NextGen EPM subscription includes NextGen Real-time Claims Edits functionality that can help providers achieve higher reimbursement.

Nominal set up and implementation/training fees will be applicable in addition to the subscription fee. NextGen Healthcare will also continue to offer its current licensing purchase model.

About NextGen Healthcare

NextGen Healthcare Information Systems, Inc. a wholly owned subsidiary of Quality Systems, Inc. (NASDAQ: QSII), provides integrated electronic health record and practice management systems, connectivity solutions, and billing services for hospitals and ambulatory practices of all sizes and specialties. For more information about NextGen, please visit www.nextgen.com and www.qsii.com.

This news release may contain forward-looking statements within the meaning of the federal securities laws. Statements regarding future events, developments, the Company’s future performance, as well as management’s expectations, beliefs, intentions, plans, estimates or projections relating to the future (including, without limitation, statements concerning revenue and net income), are forward-looking statements within the meaning of these laws and involve a number of risks and uncertainties. Management believes that these forward-looking statements are reasonable and are based on reasonable assumptions and forecasts, however, undue reliance should not be placed on such statements that speak only as of the date hereof. Moreover, these forward-looking statements are subject to a number of risks and uncertainties, some of which are outlined below. As a result, actual results may vary materially from those anticipated by the forward-looking statements. Among the important factors that could cause actual results to differ materially from those indicated by such forward-looking statements are: volume and timing of systems sales and installations; length of sales cycles and installation process; the possibility that the products will not achieve market acceptance; seasonal patterns of sales and customer buying behavior; the development by competitors of new or superior technologies; the timing, cost and success or failure of new product and service introductions, development and product upgrade releases; undetected errors or bugs in software; product liability; changing economic, political or regulatory influences in the health-care industry; changes in product-pricing policies; availability of third-party products and components; competitive pressures including product offerings, pricing and promotional activities; the Company’s ability or inability to attract and retain qualified personnel; possible regulation of the Company’s software by the U.S. Food and Drug Administration; uncertainties concerning threatened, pending and new litigation against the Company including related professional services fees; uncertainties concerning the amount and timing of professional fees incurred by the Company generally; changes of accounting estimates and assumptions used to prepare the prior periods’ financial statements; general economic conditions; and the risk factors detailed from time to time in Quality Systems’ periodic reports and registration statements filed with the Securities and Exchange Commission. A significant portion of the Company’s quarterly sales of software product licenses and computer hardware is concluded in the last month of the fiscal quarter, generally with a concentration of such revenues earned in the final ten business days of that month. Due to these and other factors, the Company’s revenues and operating results are very difficult to forecast. A major portion of the Company’s costs and expenses, such as personnel and facilities, are of a fixed nature and, accordingly, a shortfall or decline in quarterly and/or annual revenues typically results in lower profitability or losses. As a result, comparison of the Company’s period-to-period financial performance is not necessarily meaningful and should not be relied upon as an indicator of future performance. The Company undertakes no obligation to publicly update any forward-looking statements, whether as a result of new information, future events or otherwise.
Contacts

for NextGen Healthcare
Brian Parrish, 770-576-2544
bparrish {at} dodgecommunications(.)com