Cerner to Acquire Resource Systems
May 12, 2011
Cerner to Acquire Resource Systems
Expands Cerner’s presence in the long-term care market
KANSAS CITY, Mo. — May 12, 2011 — Cerner Corporation (Nasdaq: CERN) announced it has reached an agreement to acquire Resource Systems, developer of the CareTracker® point-of-care electronic documentation system currently utilized by more than 3,000 organizations, primarily within skilled nursing and assisted living facilities. Resource Systems’ solutions are complementary to Cerner’s current long-term care offerings, allowing the company to offer enhanced value through improved reimbursement and better resident care to clients in the long-term care marketplace. According to the American Health Care Association, there are currently more than 15,000 long-term care facilities in the United States, and this number is expected to increase significantly as the population ages.
“Long-term care services are performed in a variety of post-acute settings, ranging from skilled nursing facilities to managing a person’s health in their home to end of life hospice services,” said John Landis, Cerner senior vice president. “With this acquisition, Cerner is solidifying its commitment in the post-acute marketplace while immediately aligning with a strong long-term care client base. These organizations often extend their reach across multiple post-acute venues and want to consolidate their resident health information into a single electronic health record. Cerner is now uniquely positioned to deliver that solution.”
Resource Systems’ flagship solution, CareTracker, enables caregivers in long-term care facilities to electronically record resident care activities, including electronic documentation of activities of daily living (ADLs), a component of MDS 3.0 reporting which has historically been challenging to document. By capturing the information electronically, caregivers are able to increase the accuracy of resident assessments, and more easily identify residents experiencing a decline in health or those that are at risk for certain conditions. Resource Systems also provides an MDS optimization system for skilled nursing facilities, MDS Director™, which will be integral to the combined solution.
“Cerner and Resource Systems share a common view of the value of empowering clinicians to provide better, more accurate care,” stated Larry Triplett, president and co-founder of Resource Systems. “Cerner’s resources and dedication to improving health opens the door for us to create additional solutions that enable clinicians to identify and treat resident health issues before they become problems.”
The acquisition is anticipated to close in May of 2011 and is not expected to have a material impact on Cerner’s 2011 financial results. Triplett will join Cerner and help lead its growth in the long-term care market.
About Resource Systems
Resource Systems is a leader in healthcare technology systems. CareTracker, the company’s flagship technology solution, is an innovative documentation system that helps long-term care centers improve quality, reduce risk, ensure compliance, and improve the bottom line. Privately held since its founding in 1980, Resource Systems has more than 3,000 CareTracker clients throughout the nation. www.resourcesystems.net.
Cerner is transforming healthcare by eliminating error, variance and waste for healthcare providers and consumers around the world. Cerner® solutions optimize processes for healthcare organizations ranging in size from single-doctor practices, to health systems, to entire countries, for the pharmaceutical and medical device industries, employer health and wellness services industry and for the healthcare commerce system. These solutions are licensed by approximately 9,000 facilities around the world, including more than 2,600 hospitals; 3,500 physician practices covering more than 30,000 physicians; 500 ambulatory facilities, such as laboratories, ambulatory centers, cardiac facilities, radiology clinics and surgery centers; 800 home health facilities; and 1,600 retail pharmacies. The trademarks, service marks and logos (collectively, the “Marks”) set forth herein are owned by Cerner Corporation and/or its subsidiaries in the United States and certain other countries throughout the world. Nasdaq: CERN. For more information about Cerner, please visit www.cerner.com, Twitter, Facebook, and YouTube .
Cerner Media Contact: Matt Dunn, (816) 446-1292, firstname.lastname@example.org
Cerner Investors Contact: Allan Kells, (816) 201-2445, email@example.com
This release contains forward-looking statements that involve a number of risks and uncertainties. It is important to note that the Company's performance, and actual results, financial condition or business could differ materially from those expressed in such forward-looking statements. The words “expected”, “will” and “anticipate” or the negative of these words, variations thereof or similar expressions are intended to identify such forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: the possibility of product-related liabilities; potential claims for system errors and warranties; the possibility of interruption at our data centers or client support facilities; our proprietary technology may be subject to claims for infringement or misappropriation of intellectual property rights of others, or may be infringed or misappropriated by others; risks associated with our recruitment and retention of key personnel; risks related to our dependence on third party suppliers; risks inherent with business acquisitions; the potential for losses resulting from asset impairment charges; risks associated with the ongoing adverse financial market environment and uncertainty in global economic conditions; changing political, economic and regulatory influences; government regulation; significant competition and market changes; our directors’ authority to issue preferred stock and the anti-takeover provisions in our corporate governance documents; and, failure of the parties to achieve the intended benefits. Additional discussion of these and other factors affecting the Company's business is contained in the Company's periodic filings with the Securities and Exchange Commission. The Company undertakes no obligation to update forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes in future operating results, financial condition or business over time.