29.09.2005 12:06:00
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GE Healthcare to Acquire IDX Systems Corporation; Significantly Expands GE Presence in Healthcare Information Technologies
The combination of IDX with GE Healthcare will create a leadinghealthcare IT vendor, offering one of the most comprehensive suites ofclinical, imaging and administrative information systems on themarket.
"GE and IDX have a shared vision on how to accelerate the adoptionof electronic health records across the globe," said Joe Hogan,president and CEO of GE Healthcare. "We are extremely excited aboutjoining with IDX and believe that our combined offerings are in linewith where healthcare is headed and match the needs of our customers."
"IDX has grown substantially in recent years and we believe ouropportunities for continued growth and expansion will be best realizedthrough the additional scale and resources that a company like GE canprovide," said Jim Crook, Chief Executive Officer of IDX. "As part ofGE Healthcare, we believe we will be able to capitalize more fully onthe rapidly expanding opportunities in the healthcare IT industryworldwide to fulfill our mission to make a difference in healthcare."
According to Vishal Wanchoo, president and CEO of GE HealthcareInformation Technologies, "IDX's administrative, clinical and imaginginformation systems complement GE's rich clinically-focusedCentricity(R) information technology offerings. Together, we will beable to offer a comprehensive set of solutions meeting almost everyneed a hospital, clinic or doctor's office has, allowing them todeliver the best quality of healthcare possible to their patients, andto manage their businesses optimally. GE Healthcare will helpaccelerate IDX's current solution development and deployment projects,which will benefit IDX customers and provide enhanced opportunitiesfor IDX employees."
"Today brings together two leading healthcare IT companies. GE andIDX today form the core of our IT systems. We're excited about theincreased value they will bring as one company," said Jack Wolf, CIOof Montefiore Medical Center.
The transaction, which is subject to IDX shareholder andregulatory approvals, and other customary conditions, is expected toclose by early 2006. In connection with the transaction, certainshareholders representing approximately 20 percent of the IDX sharesoutstanding have agreed, among other things, to vote their shares infavor of the proposed transaction. The Boards of Directors of GE andIDX have approved the transaction.
Conference Call Broadcast
IDX senior executives will discuss today's announcement during aninvestor community conference call at 10:00 a.m. eastern time today,September 29, 2005. The call can be accessed by dialing 866-425-6192in the U.S. and 973-935-2981 internationally or via live webcast. Thewebcast will be available at http://www.idx.com, Investor Relations,Multimedia.
Conference Call Replay
A replay of the conference call will also be available shortlyafter the call ends through September 30, 2005 at 5:00 p.m. easterntime. To access the replay, dial 877-519-4471 in the U.S. and973-341-3080 internationally and enter 6548286 as the conference IDnumber. The archived webcast will also be available athttp://www.idx.com, Investor Relations, Multimedia.
About GE Healthcare
GE Healthcare provides transformational medical technologies thatare shaping a new age of patient care. GE Healthcare's expertise inmedical imaging and information technologies, medical diagnostics,patient monitoring and life support systems, disease research, drugdiscovery, and biopharmaceutical manufacturing technologies is helpingphysicians detect disease earlier and to tailor personalizedtreatments for patients. GE Healthcare offers a broad range ofproducts and services that are improving productivity in healthcareand enhancing patient care by enabling healthcare providers to betterdiagnose and treat cancer, heart disease, neurological diseases, andother conditions.
Globally headquartered in the United Kingdom, GE Healthcare is a$15 billion unit of General Electric Company (NYSE:GE). Worldwide, GEHealthcare employs more than 43,000 people committed to servinghealthcare professionals and their patients in more than 100countries. For more information about GE Healthcare, visit our websiteat www.gehealthcare.com.
About IDX Systems Corporation
Founded in 1969, IDX Systems Corporation provides informationtechnology solutions to maximize value in the delivery of healthcare,improve the quality of patient service, enhance medical outcomes, andreduce the costs of care. IDX systems are deployed to serveapproximately 150,000 physicians and are installed at over 3,400customer sites, including more than 850 group practices andapproximately 370 integrated delivery networks servicing more than 500hospitals. IDX has approximately 2,400 full-time employees.
IDX is a registered trademark of IDX Investment Corporation.
In connection with the proposed transaction, IDX intends to file aproxy statement and other relevant materials with the Securities andExchange Commission (SEC). BEFORE MAKING ANY VOTING DECISION WITHRESPECT TO THE PROPOSED MERGER, INVESTORS AND SHAREHOLDERS OF IDX ARESTRONGLY ADVISED TO READ THE PROXY STATEMENT AND OTHER RELEVANTMATERIALS, INCLUDING ANY OTHER RELEVANT DOCUMENTS FILED WITH THE SEC,BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT THE PROPOSEDMERGER. The proxy statement and other relevant materials, and anyother documents filed by IDX with the SEC, may be obtained free ofcharge at the SEC's web site at www.sec.gov. In addition, investorsand shareholders of IDX may obtain free copies of the documents filedwith the SEC by contacting IDX Investor Relations at (802) 862-1022 orIDX, 40 IDX Drive, P.O. Box 1070, Burlington, VT 05402-1070, attentionIDX Investor Relations. You may also read and copy any reports,statements and other information filed by IDX with the SEC at the SECpublic reference room at 100 F Street, N.E., Room 1580, Washington, DC20549. Please call the SEC at 1-800-SEC-0330 or visit the SEC's website for further information on its public reference room.
IDX and its executive officers and directors may be deemed to beparticipants in the solicitation of proxies from the IDX shareholdersin favor of the proposed Merger. Information regarding IDX's directorsand executive officers is contained in IDX's Form 10-K for the yearended December 31, 2004 and its proxy statement dated April 21, 2005,which are filed with the SEC. As of September 28, 2005, IDX'sdirectors and executive officers beneficially owned approximately7,422,447 shares, or 22.5%, of IDX's common stock. Certain executiveofficers and directors of IDX have interests in the merger that maydiffer from the interests of shareholders generally, includingacceleration of vesting of stock options and continuation of directorand officer insurance and indemnification. A more complete descriptionwill be available in the Proxy Statement.
This press release contains forward-looking statements about IDXSystems Corporation that involve a number of risks and uncertainties.Among the important factors that could cause actual results to differmaterially from those indicated by such forward-looking statements areuncertainties or difficulties in developing new services and systems,difficulties in completing and integrating acquisitions, difficultiesin implementing systems, possible deferral, delay or cancellation bycustomers of computer system or service purchase decisions, possibledelay of system installations and service implementations, developmentby competitors of new or superior technologies, changing economic,political and regulatory influences on the healthcare industry,possible disruptions in the national economy caused by terroristactivities and foreign conflicts, changes in product pricing policies,governmental regulation of IDX's software and operations, thepossibility of product-related liabilities, changes in ourrelationships with our partners, and factors detailed from time totime in IDX's periodic reports and registration statements filed withthe Securities and Exchange Commission, which important factors areincorporated herein by reference. IDX undertakes no obligation toupdate forward-looking statements to reflect changed assumptions, theoccurrence of unanticipated events, or changes in future operatingresults, financial condition or business over time.
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