New Alliance to Help Over 4,000 Maine Medical Providers Operate More Efficient Medical Offices and Participate in New Federal HITECH Stimulus Act

athenahealth, Inc. (NASDAQ: ATHN), a leading provider of Internet-based business services to physician practices, and Medical Network, Inc. (MedNet), Maine’s largest independent preferred provider organization with over 4,000 medical provider members, today announced a new alliance. As a result of this alliance, MedNet providers practicing in all sixteen state counties can now have preferred access to athenahealth’s integrated electronic health record (EHR) service, athenaClinicals^SM, and revenue cycle management service, athenaCollector^SM. This relationship will enable MedNet providers to more easily participate in the Health Information Technology for Economic and Clinical Health Act (HITECH).

The HITECH Act was enacted by President Obama on February 17, 2009, as part of the larger stimulus package known as the American Recovery and Reinvestment Act (ARRA) of 2009. This Act includes incentives to qualified medical providers demonstrating “meaningful use” of an EHR, starting in 2011.

“We are impressed with athenahealth’s products and services, which have the capacity to significantly improve a physician’s ability to deliver quality care, helping to link rural physician practices and avoid unnecessary and costly duplication of services, while reducing the administrative complexity of practice operations,” said William Maxwell, MD, of Portland, MedNet’s Chairman. “Additionally, athenahealth has demonstrated its investment in Maine by establishing its operations center in Belfast, supporting Maine employment and underlining their commitment to improving healthcare delivery in this state,” continued John Baker, MD, of Newport, and MedNet’s Vice Chairman.

“Given the size of our provider organization and the dispersed geographic nature of our membership, we feel athenahealth’s network-based services will allow our medical providers to instantly become connected on a common statewide and national platform. We also feel it will enable them to achieve better financial outcomes in their medical offices as well as more easily participate in and receive the maximum allowable incentives under the HITECH Act and other emerging pay-for-reporting initiatives from commercial health insurers,” said Robert J. Hillman, Chief Executive Officer of MedNet. “Additionally, athenahealth’s suite of services is wholly web-based, allowing for a more affordable solution for MedNet’s small physician practices.