Barcoding Inc. Introduces Healthcare Division; New Department Will Help Hospitals Comply With FDA Regulations.

Business Editors/Health/Medical Writers

BALTIMORE--(BUSINESS WIRE)--March 23, 2004

Barcoding Inc. (www.barcoding.com) today announced the formation of its new Healthcare Division, led by Bill Arban, Director of Healthcare Sales. According to a statement last month by Health and Human Services (HHS) Secretary Tommy G. Thompson, the Food and Drug Administration (FDA) has issued a final rule requiring barcodes on the labels of thousands of human drugs and biological products. This federal regulation has increased demand from hospitals for help in implementing barcoding technology.

"Barcoding Inc. has a long history of successfully implementing large, enterprise automated data collection systems for healthcare institutions and other vertical markets," said Arban. "We have the expertise and relationships with manufacturers to help hospitals develop the right plan to meet the federal regulations on time and in budget."

According to HHS, the barcode rule is designed to support and encourage widespread adoption of advanced information systems that, in some hospitals, have reduced medication error rates by as much as 85 percent. In these institutions, patients are provided with barcoded identification bracelets, which identify the patient. By scanning the patient's barcode and the drug's barcode, healthcare professionals can verify that the right patient is getting the right drug, at the right time, and at the right dose and route of administration. In a study conducted at a Veterans Affairs Medical Center employing such a barcode scanning system, 5.7 million doses of medication were administered to patients with no medication errors.

"Barcodes can help doctors, nurses and hospitals make sure that they give their patients the right drugs at the appropriate dosage," Secretary Thompson said in an HHS statement. "By giving healthcare providers a way to check medications and dosages quickly, we create an opportunity to reduce the risks of medication errors that can seriously harm patients."

The FDA estimates that the barcode rule, when fully implemented, will help prevent nearly 500,000 adverse events and transfusion errors over 20 years. The economic benefit of reducing healthcare costs, reducing patient pain and suffering, and reducing lost work time due to adverse events is estimated to be $93 billion over the same period.

In addition to barcoding technology, Barcoding Inc. also offers hospitals, retail pharmacies, pharmaceutical manufacturers and distributors and other healthcare providers and equipment suppliers comprehensive mobile and wireless data collection solutions. Applications include fixed assets tracking, inventory management, intake and registration, bedside applications, medication dispensation, route accounting, field sales and more.

"Our goal is to be a trusted advisor for our customers on which wireless and mobile data collection solutions will work best in their environment," said Arban. "Because we are vendor-agnostic, we are not committed to one particular brand, but know the pros and cons of each system and can help them select the best combination of hardware and software to meet their goals."

About Barcoding Inc.

Barcoding Inc. is a Baltimore-based technology company that installs and integrates wireless barcode systems utilizing handheld portable computing devises. Barcoding Inc. has provided wireless solutions for many companies within the manufacturing, distribution, and warehousing industries. The company's capabilities range from on-site professional services to business-to-business e-commerce. Barcoding's North American offices are in Maryland, Virginia, Pennsylvania, Georgia, Florida, California, Colorado, Connecticut and Illinois. European sales and customer service are handled through the Barcoding office in the Netherlands. For more information, please contact David Shapiro, Director of Marketing at 1.888.860.7226 x109 or [e-mail] or visit www.barcoding.com.