SX Signs Million Dollar Contract Extension with PCS 

MILTON, Ontario (February 2, 1999) - Systems Xcellence (TSE: SXC), a leading provider of patient-centric electronic transaction processing solutions for the managed care sector of the healthcare industry, has announced a multi-million dollar contract extension with PCS Health Systems Inc. This reinforces Systems Xcellence's expertise in providing world class managed care applications.

PCS processes more than 300 million prescription claims representing almost $10 billion in drug expenditures, making it the largest pharmaceutical benefits management company in America.

The Healthcare Xcellence suite of products is built on a patient-centric approach, placing the patient database at the core of its architecture. The applications have the capability to process information for a variety of healthcare services. Taking a managed care approach, the system enables the effective processing of patient, clinical and claim data focusing on both wellness and financial management. Each component draws information from and adds to the patient database. Financial and clinical data tables are physically distinct and access is restricted. This segregation of information ensures maximum security and confidentially while providing critical information to providers and payers.