Southwest Behavioral Health Services Selects Medinex Systems' High Tech Solution to `Create Change' in the Way Professional Staff Manages Patient Care.

Business Editors/Technology, Health & Medical Writers

CELEBRATION, Fla.--(BUSINESS WIRE)--Sept. 30, 2002

MxTranscribe, A Feature Of Medinex Office, Proving To Be Cost and

Time Efficient Dictation and Transcription Tool For

Leading Arizona Healthcare Provider

Medinex Systems, Inc. (OTCBB:MDNX), an emerging leader in the delivery of comprehensive, cost-efficient and HIPAA-compliant healthcare technology solutions, today announced that Southwest Behavioral Health Services (SBHS), a leading behavioral health provider serving the greater Southwestern region of the United States, has integrated Medinex Office and its proprietary MxTranscribe dictation and transcription solution into its patient care systems administration.

Originally established in 1969, SBHS has developed a national reputation as an innovative leader in behavioral health. Its services are evidence-based and include treatment of co-occurring disorders, the FAST model (Families And Schools Together), in prevention services, the Arizona Treatment Initiative for children and families, and the Recovery Model for persons with serious mental illness. Committed to the ideal of "Seeking Solutions, Creating Change," SBHS has won numerous awards and national distinction for assuming a leadership role in the development and delivery of services in the areas of housing, residential care, prevention services, outpatient services to children, incarcerated persons and dually diagnosed adults (SMI/SA), (Seriously Mentally Ill/Substance Abusers).

Dr. Jeff Jorde, Chief Executive Officer of SBHS, stated, "Providing behavioral healthcare services to hundreds of children and adult patients per month creates a voluminous amount of medical record documentation for our staff. Since our team began using Medinex' MxTranscribe, we've experienced numerous benefits. Besides realizing a notable increase in efficiency associated with the digital dictation feature when compared to our former handwriting method, our staff physicians are gaining enhanced time efficiencies - time they are now spending with patients instead of behind a desk handwriting notes in medical jackets. We believe that MxTranscribe may also help us to diminish any liability exposure, because our doctors no longer must rely on deciphering poorly written or illegible handwritten notes. Undoubtedly, however, the most popular benefit of the technology is the quick turnaround time from Medinex. Previously, it could take several days to get transcribed documents from other service providers. Uploading the voice files is very simple and has promoted efficiencies even greater than our initial expectations."

Tony Paquin, President and Chief Executive Officer of Medinex, added, "We are delighted to add SBHS to our growing list of satisfied customers who are universally reporting improved work flow, significant cost savings and ease of use with Medinex Office. With literally dozens and dozens of prospective new MxTranscribe users potentially stemming from SBHS' healthcare network, we are very excited that our HIPPA-compliant technology has proven to be such a viable tool for this important healthcare provider."

About Medinex Systems, Inc.

Headquartered in Central Florida, Medinex Systems, Inc. is rapidly emerging as an industry leader in the next generation of healthcare administrative solutions for the physician market. The Company's healthcare technology solutions include Medinex Office, a proprietary suite of products designed to assist physicians, hospitals and other healthcare organizations in complying with new federal legislation - the Health Insurance Portability and Accountability Act (HIPAA). Medinex Office includes patient scheduling, an integrated medical transcription service, medical records management and billing. The Company also produces MxTranscribe, a proprietary, web-enabled digital voice transcription service; MxSecure, a patent-pending, secure document management and message delivery system; and MxSites, an affordable web site design and hosting service dedicated to healthcare providers. All of the Company's products are fully HIPAA-compliant.

The Company believes that the Medinex product strategy is the only totally web-based and fully-integrated web site, secure messaging, record management, patient scheduling and billing system widely available today that targets small to large medical clinics. Currently, Medinex Systems has premier healthcare clients in more than 25 states and processes thousands of medical records, appointments, transactions and/or messages each month. For more information on the Company, please visit http://www.medinex.com.

This announcement contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Actual results may differ significantly from management's expectations. These forward-looking statements involve risks and uncertainties that include, among others, Medinex Systems anticipated losses, competition, strategic alliances, potential fluctuations in operating results and rate of growth, management of potential growth, lack of sufficient capitalization, risks of system interruption, impact from international vendors, uncertainty of product acceptance, limited operating history, and risks of new business areas. More information about factors that potentially could affect Medinex Systems' financial results is included in Medinex Systems' filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the year ended December 31, 2000, and all subsequent filings, including Quarterly Reports on Form 10-Q.