CareScience Expands Relationships with Leading Healthcare Organizations for Use of Quality Manager Solution; QUOVADX Division Helps Hospitals and Health Systems Improve Clinical Outcomes, Reduce Costs and Meet Healthcare Reporting Requirements.

PHILADELPHIA -- CareScience, a division of Quovadx, Inc. (Nasdaq:QVDX) providing care management, clinical analysis and clinical quality improvement solutions, today announced the signing of several expanded and renewed relationships with existing customers in the third quarter. These agreements deliver a range of software and services, including its flagship quality management product the CareScience Quality Manager, a key component of the CareScience Care Management Suite, and associated consulting solutions and services.

During the quarter, CareScience completed multi-year renewal agreements with Rush University Medical Center Hospital in Chicago and Adena Health System of Chillicothe, Ohio, for the use of the CareScience Quality Manager. Rush System for Health, a multi-facility delivery network which includes the Rush University Medical Center Hospital, signed a three-year extension to its existing contract to continue its use of the CareScience Quality Manager, as well as to add the use of the CareScience Core Measures reporting module. Rush University Medical Center Hospital has been a CareScience customer since 1998.

"In today's healthcare arena, providing visibility into the quality of care a hospital delivers is paramount -- as evidenced by the growing emphasis on public reporting guidelines and quality control oversight. CareScience Quality Manager not only helps to identify and measure a healthcare provider's treatment protocols and process quality, but it does so in a way that provides actionable data which can be used to dramatically improve quality of care and operational efficiencies to reduce costs," said Thomas H. Zajac, president, CareScience and executive vice president of Quovadx. "Our growing relationships with our customers illustrate how proven care management technology and services can help hospitals meet and exceed stringent quality standards as they grow and change in today's healthcare environment."

Additional customers renewing and expanding their use of CareScience products and services during the quarter include:

--Cooper University Health System, NJ

--Memorial Health, CO

--Sisters of Mercy Health system, MO

--Borgess Health, MI

--Temple University Health System, PA

--Maury Regional Health System, NC

--Omnicare Clinical Research, PA

CareScience Quality Manager, a key component of the CareScience Care Management Suite, is used by hospitals and health systems across the country to isolate, prioritize and quantify clinical process improvement opportunities, and to implement strategies for adopting best-practices that will have a real-world impact on patient care.

The Core Measures reporting module enables timely and accurate HIPAA-compliant electronic data submissions for Joint Commission on Accreditation of Healthcare Organizations (JCAHO) and the Centers for Medicare and Medicaid (CMS). A certified Core Measures vendor for all five of Joint Commission's core measure sets, the CareScience Core Measures reporting solution offers data abstraction, processing and reporting that allows hospitals to fully meet their JCAHO and CMS requirements.

The CareScience Care Management Suite is an ASP-based software and services solution for hospitals and healthcare organizations helping physicians, managers and clinicians identify optimum treatment protocols, improve clinical quality and efficiency, streamline reporting and data aggregation and reduce complications and medical errors. From improving clinical outcomes performance and uncovering care process efficiencies, CareScience solutions support its client efforts to deliver the "business case for quality," a model that asserts that healthcare providers, payers, as well as healthcare consumers, prefer to deliver and receive quality care and that health systems delivering quality care will benefit from both higher revenue and lower costs.

The products in the Care Management Suite leverage CareScience's copyrighted, statistical methodologies for risk adjustment. Coupled with CareScience expert consulting and mentoring services, the solution allows for significant financial, operational, and clinical improvements through care management and care process improvement.

About CareScience

CareScience, a division of Quovadx, Inc. (Nasdaq:QVDX), is one of the nation's leading providers of care management services and analytical solutions to hospitals and health systems and pioneered community-wide clinical data exchange. CareScience supplies the people and technology to help its customers ensure that high-quality care is delivered, throughout the healthcare system, through clinical data access and clinical process transformation. For more information, please visit www.carescience.com.

QUOVADX is a trademark of Quovadx, Inc. All other company and product names mentioned may be trademarks of the companies with which they are associated.