ALARIS Medical Announces Single Source Contract With BJC Health System; Five-Year Agreement Includes Infusion Pumps and SmartSite Needle-Free Products.

Business Editors & Health/Medical Writers

SAN DIEGO--(BW HealthWire)--Nov. 29, 2000

ALARIS Medical Inc. (AMEX:AMI) announced today that its ALARIS Medical Systems Inc. subsidiary has signed a contract with BJC Health Care (formerly BJC Health System) to be the single-source provider of infusion pumps and SmartSite(R) needlefree products for its entire health care system.

The five-year term of the contract is from June 1, 2000 until May 31, 2005. The volume is anticipated to exceed $15 million over the life of the agreement.

"Eliminating unnecessary risks to workers and patients demonstrates BJC's commitment to enhancing the quality of care it provides," stated John McCurdy, ALARIS Medical's area manager located in St. Louis.

Jim Gleich, R.N., director of Supply Chain Management at BJC Health Care, concurred. He said, "Over the past several years, we have been selecting safer products to manage IV therapy. ALARIS Medical, as a key business partner, is helping us reduce patient and employee risks, and meet financial objectives. The ALARIS Medical standardization has provided a single equipment solution and a needleless, latex-free IV delivery system at an affordable cost."

"ALARIS Medical and BJC see this contract as a foundation for continuing partnering opportunities that will assist both BJC and ALARIS Medical in meeting the challenges and ever-changing needs of patient and employee safety. Innovative, cost-effective solutions to health care issues are a founding principle throughout ALARIS Medical, from R&D through customer care, sales and marketing," said Jake St. Philip, North America general manager. "We are excited and very pleased to have this opportunity to strengthen and expand our relationship with BJC."

BJC Health Care is one of the largest integrated health care delivery systems in the United States. Established in June 1993, the system serves residents in Missouri and southern Illinois through a network of more than 100 ambulatory care delivery sites, as well as 13 hospitals and five nursing homes. BJC was the first health system in the country to combine urban, suburban and rural health care facilities with an academic medical center, the renowned Washington University School of Medicine. Two of BJC's hospitals -- Barnes-Jewish Hospital and St. Louis Children's Hospital -- serve as teaching hospitals for Washington University School of Medicine and are ranked among the best hospitals in the nation. In recognition for its efforts to enhance the quality of care provided to patients, BJC received the 1999 Quality Award from the National Committee for Quality Health Care.

ALARIS Medical Inc., through its operating subsidiary ALARIS Medical Systems Inc., is known for its IMED(R) and IVAC(R) brand names of intravenous infusion therapy systems. The company's principal line of business is the design, manufacture and marketing of intravenous infusion therapy products, patient monitoring instruments and related disposables. In addition to its San Diego world headquarters and manufacturing facility, the company also operates manufacturing facilities in Creedmoor, N.C.; Basingstoke, Hampshire, U.K.; and Tijuana, Mexico. Additional information on ALARIS Medical can be found at www.alarismed.com.

This news release contains forward-looking statements as defined in the Safe Harbor Provisions of the Private Securities Litigation Reform Act of 1995. Persons reading this release are cautioned that such forward-looking statements involve risks and uncertainties, including the effect of legislative and regulatory changes affecting the health care industry, the potential of increased levels of competition, technological changes, the dependence of ALARIS Medical upon the success of new products and ongoing research and development efforts including obtaining regulatory approvals, restrictions contained in the instruments governing ALARIS Medical's indebtedness, and the significant leverage to which it is subject. Such risk factors are detailed in the Securities and Exchange Commission filings of ALARIS Medical Inc., including Form 10-K for the year ended Dec. 31, 1999. ALARIS Medical assumes no obligation to update any forward-looking statements as a result of new information or future events or developments.