PR Newswire; 1/20/2004
Transax International Limited (OTC Bulletin Board: TNSX; Frankfurt/Berlin: TX6) is pleased to announce that during December 2003 its wholly owned subsidiary in Brazil passed a significant milestone of undertaking its one millionth "real time" health insurance claim transaction during fiscal 2003 -- the first year of operation using its proprietary "Medlink" solution.
The company is currently proceeding with roll out of two signed contracts in Brazil estimated at six million transactions per annum when fully rolled out. During January 2004 roll out has increased significantly to an annualized rate of around 1,800,000 transactions. Transaction rates and revenues are expected to increase throughout 2004 as roll out of solutions for these two contracts proceeds.
On November 3rd 2003 Transax announced it has signed a two year contract with Bradesco Insurance for health insurance connectivity, eligibility and authorization using its "Medlink" solution. Bradesco Insurance is a wholly owned subsidiary of Bradesco Bank -- Brazil's largest financial institution and Brazil's largest health insurer with approximately 2.5 million lives covered.
Subsequent to this announcement Transax is pleased to advise that it has completed the technical developments to place this major contract into production and is in the process of installing a full back up facility through "Optiglobe" the premier data center in Brazil. Beta testing is shortly to be undertaken. Following a series of presentations to Bradesco Insurance executives demonstrating the benefits of its "Medlink" solution, Bradesco has authorized Transax to commence the installation of its solution in seven medical laboratories including the four largest in Brazil. Transax plans to place the Bradesco contract into production prior to the end of January 2004. Based on the roll out objectives, Transax estimates the first full month of operations of the Bradesco contract should generate approximately 200,000 additional transactions from the four largest medical laboratories in Brazil alone. Transaction volumes are expected to rapidly increase as roll out proceeds during 2004 through the installation of 2200 "real time" connectivity solutions.
Transax's wholly-owned subsidiary in Brazil has three contracts in place covering 3.3 million lives and other contracts in various stages of negotiation. These signed contracts are expected to generate transaction revenues of up to US $10 million per annum when fully rolled out.
About Transax International Limited: Transax is a premier international provider of information network solutions for healthcare providers and health insurance companies, enabling the real-time automation of routine patient eligibility verifications, authorization, claims processing and payment functions that are currently performed manually. The technology has been proven to significantly decrease insurer total expenditure (running cost) by 3%-5%. Transax provides "Total Connectivity" to the health insurance industry. Transax's "MedLink" solution has been specifically designed for the healthcare and health insurance industry to allow insurance companies, Health Maintenance Organizations, and other industry concerns to connect to healthcare providers and electronically undertake eligibility, authorization and processing of health claims in real-time. MedLink has been developed as a "Total Connectivity" solution where Transax is able to provide an insurer with the ability to cost effectively process all of the transactions generated in real time regardless of location or method of generation. Presently operational in Brazil, Transax currently undertakes approximately 150,000 transactions per month, has contracts in place for in excess of 2,500,000 transactions per month, and other contracts in various stages of negotiation.
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