MedAssets Expands Relationship with Valley Medical Center for Cash Flow and Margin Enhancement Initiatives

MedAssets, Inc. (NASDAQ: MDAS: 19.85, -0.10, -0.50%) announced today that Valley Medical Center signed an agreement to expand their relationship to include MedAssets' entire range of supply chain solutions. This expands the current relationship through which Valley Medical Center utilizes certain MedAssets Revenue Management capabilities and supply cost management services to help improve the health system's cash flow and profit margin.

Valley Medical Center is one of the largest non-profit healthcare providers in the Washington region. Valley Medical Center is located in Renton, Washington, and the surrounding area is served by a network of 12 community clinics.

The relationship began with medical device cost management through a successful consulting relationship with Aspen Healthcare Metrics, a MedAssets Spend Management segment company, which reduces costs in key service lines. It has now expanded to include group purchasing services for all categories, comprehensive supply chain technology and analytics. In addition, Valley Medical Center utilizes solutions from MedAssets' Revenue Management segment including compliance, billing and pricing tools and decision support technology. The facility continuously links its supply cost and charge data via CrossWalk(R: 58.73, +1.81, +3.17%), a MedAssets proprietary tool that ensures that hospital charges provide defensible margins when compared with supply acquisition costs.

"With increasing pressure to reduce costs, Valley Medical Center needed a partner who could truly drive cost savings throughout the supply chain. Focusing on the price of commodities is not enough," said Mike Bernstein, chief financial officer, Valley Medical Center. "We recognized the need to ensure proper utilization, defensible prices for physician preference items, and proper management of purchased services. MedAssets is uniquely qualified to serve our needs."

"We are excited to see Valley Medical Center expand their relationship with us," Rand Ballard, chief operating officer and chief customer officer, MedAssets, Inc. "By decreasing costs with our Spend Management solutions and increasing revenue integrity with our Revenue Management tools, they will continue to realize improved cash flow that can be reinvested in their programs and facilities."

About MedAssets

MedAssets (NASDAQ: MDAS: 19.85, -0.10, -0.50%) partners with healthcare providers to improve their financial strength by implementing integrated spend management and revenue cycle solutions that help control cost, improve margins and cash flow, increase regulatory compliance, and optimize operational efficiency. MedAssets serves more than 125 health systems, including 2,500 hospitals and 30,000 non-acute care healthcare providers.

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MedAssets Expands Relationship with Valley Medical Center for Cash Flow and Margin Enhancement Initiatives