Systems Xcellence Awarded Multi-Million Dollar Contract from Blue Cross and Blue Shield of South Carolina

MILTON, Ontario (October 13, 1999) -- Systems Xcellence Inc. (TSE: SXC), a leading provider of electronic transaction processing software for the healthcare information technology industry, announced today that they have signed a multi-million contract with Blue Cross and Blue Shield of South Carolina (BCBS). BCBS located in Columbia, South Carolina currently serves a total 21.5 million people worldwide, and is now the third Blue Cross and Blue Shield organization to have purchased an SX solution. Under terms of the contract, Systems Xcellence will provide a network gateway that connects health care providers -- such as physicians, clinics, hospitals and laboratories -- with BCBS to more efficiently submit claims and eligibility verification requests. Systems Xcellence will deliver a front-end gateway system based on leading-edge client/server computing technology that enhances the mainframe-computing environment. This gateway system will make it easier to link the provider community with BCBS.

"Systems Xcellence is proud to be associated with yet another Blue Cross and Blue Shield organization." states Gordon Glenn, President and CEO of Systems Xcellence. "Our comprehensive solution will provide enhanced electronic connectivity between providers and Blue Cross and Blue Shield of South Carolina. We expect that Blue Cross and Blue Shield of South Carolina will immediately recognize the benefits from implementing the SX solution."

Systems Xcellence, headquartered in Milton, Ontario, is a leading supplier of patient-centric electronic transaction processing software for the healthcare information technology industry. Systems Xcellence combines robust software products, business expertise, and services to deliver superior solutions to the demanding managed care sector. The Company's shares are traded on the Toronto Stock Exchange under the symbol SXC.