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DAOU Extends Relationship with Saint Barnabas Health Care System with $3.5 Million Contract to Build Wide-Area Network.


SAN DIEGO--(BW HealthWire)--June 17, 1998--DAOU Systems Inc. (NASDAQ NASDAQ
 in full National Association of Securities Dealers Automated Quotations

U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on
:DAOU) has been awarded a $3.5 million contract by Saint Barnabas Health Care System (SBHCS SBHCS Saint Barnabas Health Care System (New Jersey)
SBHCS Socket Button Head Cap Screw
), the largest healthcare provider in the state of New Jersey, and one of the largest in the nation.

The contract calls for DAOU to implement an advanced wide-area network (WAN) that will provide computer connectivity between more than a dozen major facilities and over 40 other sites within the Saint Barnabas system. The fault-tolerant network will feature asynchronous transfer mode See ATM.

(communications) Asynchronous Transfer Mode - (ATM, or "fast packet") A method for the dynamic allocation of bandwidth using a fixed-size packet (called a cell).

See also ATM Forum, Wideband ATM.

ATM acronyms.

Indiana acronyms.
 (ATM) capabilities, combined with select Frame Relay A high-speed packet switching protocol used in wide area networks (WANs). Providing a granular service of up to DS3 speed (45 Mbps), it has become popular for LAN to LAN connections across remote distances, and services are offered by most major carriers.  connections, to enable SBHCS to transmit voice, video, and data across the entire enterprise.

For the past year, DAOU Systems has provided information technology design, implementation, and consulting services Noun 1. consulting service - service provided by a professional advisor (e.g., a lawyer or doctor or CPA etc.)
service - work done by one person or group that benefits another; "budget separately for goods and services"
 for Saint Barnabas Health Care System. DAOU's main focus has been in the areas of remote access, WAN/LAN infrastructure, desktop technologies, network management and voice systems.

Saint Barnabas, a $1.6 billion health care system, is composed of ten acute-care hospitals, ten nursing homes, 40 ambulatory care ambulatory care
n.
Medical care provided to outpatients.


ambulatory care,
n the health services provided on an outpatient basis to those who can visit a health care facility and return home the same day.
 facilities, three geriatric centers, one free-standing inpatient psychiatric facility, comprehensive hospice services and a state-wide behavioral health Behavioral health was first used in the 1980's to name the combination of the fields mental health and substance abuse. As an example, an organization serving both mental health and substance abuse clients might refer to its practice as behavioral health or  network.

"We look forward to deploying the most sophisticated WAN technology at Saint Barnabas," said Georges Daou, chief executive officer of DAOU Systems. "The application of this technology is the direction in which many of our healthcare customers want to go. Saint Barnabas will lead the way. The network was designed by DAOU to facilitate the immediate, cost-effective integration of new health care sites as SBHCS continues their growth."

The network will enable Saint Barnabas Health Care System to improve services to patients and provide the organization with a foundation for achieving significant cost savings by centralizing cen·tral·ize  
v. cen·tral·ized, cen·tral·iz·ing, cen·tral·iz·es

v.tr.
1. To draw into or toward a center; consolidate.

2.
 and standardizing operations throughout the enterprise.

A major impetus for the network is the ability of Saint Barnabas to communicate more effectively. Staff will have access to centralized cen·tral·ize  
v. cen·tral·ized, cen·tral·iz·ing, cen·tral·iz·es

v.tr.
1. To draw into or toward a center; consolidate.

2.
 hospital information applications, as well as enterprise-wide applications (e.g. E-mail). In addition, the network has been designed to support advanced healthcare practices such as telemedicine, teleradiology and Regional Centers of Excellence.

Additionally, Georges Daou stated, "From a business point of view, this project marks DAOU's continued expansion in the state of New Jersey and will leave the company very well positioned within this key healthcare market."

DAOU Systems Inc. provides information technology solutions to the healthcare industry. The company designs, implements, and manages computer networks. In addition, DAOU offers solutions for voice, video and data networking, combining its technological expertise with its knowledge of the healthcare industry's specialized needs. DAOU offers an array of operational and Internet solutions as well.

DAOU's clients comprise more than half of the nation's top 50 integrated healthcare delivery networks and include such organizations as Centura Health, North Shore Health System, Mercy Health Services health services Managed care The benefits covered under a health contract , Harris Methodist Health System, and Catholic Medical Center of Brooklyn and Queens.

DAOU operates five regional offices and six operations centers across the country. The firm has a staff of 500 and has provided services to more than 1,300 healthcare organizations throughout the U.S.

Except for the historical information contained herein, the matters discussed in this press release are forward-looking statements forward-looking statement

A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections.
 that involve numerous risks and uncertainties. The company's actual results could differ materially from those projected in such forward-looking statements and will depend upon a number of factors, including those discussed in the company's filings with the Securities Exchange Commission and other press releases of the company.

CONTACT: DAOU Systems Inc.

Chris Caramanico, 800/578-3268

chris.caramanico@daou.com

www.daou.com
COPYRIGHT 1998 Business Wire
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1998, Gale Group. All rights reserved. Gale Group is a Thomson Corporation Company.

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Date:Jun 17, 1998
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