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Press Release

American TeleCare, Inc. Provides Progress Report on First Care Medical Services' Two-Year Telehealthcare Plan

EDEN PRAIRIE, MN, Oct. 10, 2003 — American TeleCare, Inc. (ATI) today announced outcomes from First Care Medical Services' telehealthcare implementation plan.

Home care and hospice providers continue to face serious healthcare issues. Rural Minnesota is no exception. Issues such as rising costs, lowered reimbursement rates, limited access to services, an aging population, and forecasted healthcare worker shortages are affecting everyone. First Care Medical Services purchased ATI's telemedicine technology one year ago to address these issues while increasing the quality of care to patients and supporting the elderly population's preference to live independently with healthcare provided in the comfort of their own home.

Now patients using the Telehealthcare system get the benefit of face-to-face voice and picture link so they can talk to and hear their healthcare provider. The equipment easily measures, stores, and transmits patient blood pressure, protime (blood clotting time), pulse oximetry, pulse, blood glucose, weight, and stethoscope readings to enable the healthcare professional to provide care.

According to spokesperson, Lori Sundbom, "First Care is delighted to report significant positive outcomes as we approach the end of year one of the two-year implementation plan. ATI's telehealth units have been placed in 26 homes. Our nurses have made 230 visits and physicians have made 13 visits," she said. Routine visits have resulted in successful monitoring necessary to maintain the health status of patients and several hospital stays were avoided as a direct result of the telehealth monitoring. First Care has documented decreased costs of providing care as well as increased quality of care and customer/patient satisfaction.

"ATI technicians and consultants have impacted the success of First Care's project. ATI has been a valuable resource from the beginning, providing guidance and continued support throughout the project," Sundbom said.

American TeleCare pioneered the concept of home telehealth in 1993. The company markets FDA approved telehealth monitoring systems that incorporate live audio/video with integrated electronic medical peripherals. Clinicians use American TeleCare systems to conduct remote clinical examinations of patients. American TeleCare has installed the majority of home telehealth programs throughout the world and is the recognized industry leader. For more information, visit www.americantelecare.com. American TeleCare.