DAOU wins multimillion-dollar contract to create information network for large New York health-care system.

SAN DIEGO--(BUSINESS WIRE)--June 27, 1996--DAOU Systems Inc. has been awarded a multimillion-dollar contract to design, implement and manage an enterprisewide network for Catholic Medical Center of Brooklyn and Queens (CMC).

The contract is one of the largest in DAOU's history and calls for the development of a state-of-the-art health-care information system that links the entire CMC organization.

CMC is one of the largest health-care systems in the state of New York, with four major hospitals in Brooklyn and Queens, as well as more than two dozen other sites that include corporate offices, nursing homes, rehabilitation clinics and managed-care facilities.

The network, with its fiber-optic wiring, places CMC at the forefront of cutting-edge technology. DAOU will enable the organization to upgrade and standardize its information systems, to achieve uniformity throughout the organization and to share software applications throughout the network. This system will provide CMC staff with such capabilities as e-mail, remote computing and uniform access to medical software.

In addition, the network will enable CMC to take advantage of asynchronous transfer mode technologies and applications. CMC will be able to transmit voice, video and data across the network for such uses as telemedicine, medical imaging, teleradiology and teleconferencing.

"This project is important for both DAOU and Catholic Medical Center," said DAOU Systems President Daniel Daou. "As one of the largest health-care organizations in New York, CMC is taking steps to maintain its leadership position. This network will enable CMC to boost the quality and lower the costs of delivering world-class health care to its communities.

"For DAOU, this once again shows that we're an emerging major player in the health-care information technology market. We've gone head to head with the IBMs, SMSs and HBOs of the world. We've proven that we can beat them in winning significant contracts, and we've proven that we can outperform them in delivering complex, high-quality health-care information systems."

According to CMC, DAOU was selected because the firm offered a total solution for CMC's information systems needs. CMC has entered into a long-term agreement that will leave the majority of the technical expertise with DAOU, as well as the responsibility for managing the CMC network on an ongoing basis, 365 days a year.

Founded in 1987, DAOU Systems has established itself as a leader in the design, implementation, support and management of computer networks for the health-care industry. The company also offers Internet solutions for its clients.

DAOU is among the fastest-growing companies in the health-care information systems industry. The firm provides service to more than 350 hospitals and health-care facilities nationwide. With headquarters in San Diego, DAOU has 10 regional offices and 130 employees.

In addition to Catholic Medical Center, its clients include such large and prestigious organizations as ScrippsHealth, Mercy Health Services, Palomar-Pomerado Health System and Meriter Health System.

CONTACT: DAOU Systems Inc., San Diego

Craig K. Collins, 619/646-2857

[e-mail] (e-mail)

www.daou.com (Web site)