Few drs. knowcareor pay for MT services. It is the suits

Few drs. know/care/or pay for MT services. It is the suits [2008-04-09]
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Finish above: Suits have no clue about MT skills. [2008-04-09]
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Transcend Services records Q1 profit [2006-04-20]
The Atlanta-based medical transcription technology company (NASDAQ: TRCR) had net income of $150,000 on $8 million in revenue, compared with net income of $12,000 on $5.3 million in revenue in the first quarter of 2005. Earnings were 2 cents a share, compared with break-even earnings in the first quarter of 2005. The nearly $3 million increase in revenue is attributable to the acquisition of Medical Dictation Inc. in January 2005. We are pleased to return to profitability after a difficult year in 2005, said Larry Gerdes, president and CEO. I am encouraged by both the improvement in our gross profit as a percentage of revenue and the results of our expense control initiatives. To grow our revenue 51 percent with only a 4 percent increase in other operating expenses shows that we can leverage our relatively fixed overhead costs as we grow.

The bottom line is.... [2008-06-29]
that offshored transcription work sucks. HIPAA does not apply, JCAHO does not apply, etc. There is really no obligation of offshored individual MTs or services to follow U.S. privacy laws. Plus I used to QA these reports, and 9 times out of 10 they have been horrible. The wrong patients were even put on reports!!! This is not to diss the offshored MTs which I am sure are as hardworking as we are, but to me it is a patient care issue.

Time to introduce a bill [2008-06-27]
This is great news but from my experience, the bottom line is all most companies care about. The company I worked for never paid for enough quality control hours-usually only one hour per day and outsourced it's MT work. Records came back with incorrect names, gender, diagnoses, procedures and labs because the outsourced Transcriptionist could not flag the work for the dictating doctor (boss said doctors were too busy to deal with it) and/or entered anything just to get the chart to clear medical records. They only dealt with issues when lawsuits arose and my guess would be that since most cases are arbitrated, the doctors were the winners yet again. All this is to say, even if the suits know they will get better quality, they do not care because they are only concerned with lining their pockets. It is not just MT jobs that suffer because of outsourcing. Will you (or anyone else for that matter)be denied work or insurance in the U.S. because an overseas transcriptionist entered erroneous information in your medical record? U.S. citizens would probably be outraged to discover this is happening to their private information despite HIPPA. I believe it is time to get tough and form a coalition to introduce a bill to end outsourcing of medical transcription. Time to take a stand and fight back.

Outsourcing [2008-04-22]
I worked for an imaging center (I was already gone) that laid off the MT's and outsourced the work back in 2002. It lasted about a month. The doctors got mad and insisted to the suits to bring the MT back. They wasted so much time correcting and filling in blanks. They were spoiled with their MT and even stated that they did not read their reports when they signed them because they had that much confidence in the MT. Good news for the MT, she came back and demanded more money...and got it. Lesson learned.

You're right but ... [2008-04-11]
Yes, absolutely, the suits and middle managers have no clue at all, nada, zip, zilch about medical transcription. However, many doctors actually invest in offshore MT companies .... according to Wall Street Journal. It was, oh, maybe 10 years ago that there was a caption or article about medical transcription being where the money is, as in investments, etc. You're right. Typically the MDs don't know and don't care who transcribes their dictation. Most do care, however, about quality at least to some degree. I'm just glad someone came up with a study as to cost effectiveness for whatever reason. It's like they're thrown us a crumb. Hope we get the whole cookie soon.

You're so right, SusieQ [2008-04-08]
I have a huge, huge problem with our professional organization. Errr, ummm, where is the word transcription in AHDI. We've had the plug pulled on us by the ole gals who've been holding the reins for years. It's like a good ole girl association. Most of them have worked for global services, hauled in the big bucks for helping get those services off the ground, and have done it all with no second thoughts. It makes me sick. Our compensation hasn't increased at all. In fact, it has decreased steadily for the past decade. I do, wholeheartedly, wish we could unionize somehow. We should be paid hourly at a sizable rate like other skilled trades. I hate to say it, but our profession is made up of nearly 100% women. We need to be confident, stand up for ourselves, and not let this get any further out of hand.

Job openings [2008-02-08]
Can anyone please send me emails on services who have been willing to supply the MT with up to date, state of the art, platforms to work on. I am so sick and tired of starting jobs with services only to find out you have to copy and paste your work from A to B, because of crappy platforms, or if you don't copy and paste, the platforms are so prehistoric, you could type faster on a selectric. I want to work, have 35 years exp in all field. I have invested major money into up to date computers, software, hardware, etc so I can perform my job for the service to the best of my ability - what comanpies have done the same for us? I am looking again - someday I might find that one service who is looking out for us, as well as their pocketbooks. I don't expect to make millions, I dont' mid ESL doctors, or doing OPS or even working weekends, all I ask is respect for our profession and provide us with quality tools to perform out jobs. ANY INFORMATION WOULD BE GREATLY APPRECIATED - I hope this posts, I have put many posts on this board, but they are never published ?

WELL if we EVER decide to unite based on [2007-08-18]
what we have in common!!! IF THIS CONCEPT ever gets off the ground, refuse any job that pays VBC - unless of course THAT is how we are allowed to return reports in: thepatientisa35yearoldmalewith... The suits think they'll just train the next batch of scribes to get less for more work. SAY NO TO THIS - by never accepting the new job. Or, don't complain if you DO accept it...

OUTSOURCING TO INDIA [2007-07-22]
OBVIOUSLY IT DOES MATTER HOW MUCH INDIAN MT'S ARE PAID. IF THE TRANSCRIPTION SERVICES PAY MUCH LESS TO THEM, AND STILL CHARGE HOSPITALS, ETC., SAME AMOUNT PER LINE, THEY ARE OBVIOUSLY MAKING A MUCH LARGER PROFIT. IN ADDITION, THEY ARE TAKING WORK AWAY FROM U.S. MT'S, WHO ARE MUCH MORE QUALIFIED TO DO U.S. WORK ALSO, WHY ISN'T THERE BETTER ENFORCEMENT OF THE HIPPA REGULATIONS REQUIRED TO BE MET BY OFFSHORE TRANSCRIPTION REGARDING INFORMATION SECURITY?

DocQment(TM) Ovation - MedQuist Launches Next-Generation [2006-07-07]
MOUNT LAUREL, N.J., June 29 /PRNewswire-FirstCall/ -- Today's healthcare providers face what appear to be several conflicting challenges in the area of dictation. Pressures to decrease costs and improve productivity must be weighed against the need to demonstrate compliance and increase physician choice and satisfaction. To help its customers meet these challenges, Medquist Inc. (Pink Sheets: MEDQ) has introduced DocQment(TM) Ovation, a Web-based, enterprise digital voice capture and transport solution. Studies by the Healthcare Information and Management Systems Society (http://www.himss.org/) have shown that when considering the purchase of a new dictation system, providers value HIPAA compliance most highly, followed by Web-based, centralized administration and automatic document routing. Because Ovation is Web-based, it offers easy-to-use tools to manage documents, users and workflow from any computer with Internet access, creating numerous opportunities for productivity improvement. Physicians can select from a variety of options for capturing their dictation, including telephones, PDAs, and desktop computer-based dictation devices. DocQment Ovation is our newest technology innovation developed in direct response to industry feedback and providers' interest in replacing previous- generation dictation systems, says Scott Bennett, MedQuist senior vice president of Sales and Marketing. An integral component of our growing technology portfolio, Ovation helps to provide an end-to-end solution from dictation to billing, including front-end and back-end speech recognition. Document Ovation was specifically engineered to be compatible with MedQuist's previous-generation dictation stations, thus facilitating the retention and recruitment of transcriptionists, and making it easy for providers to upgrade with little or no physician retraining required. Deployed at the customer's location, Ovation provides an enterprise view that allows transcription supervisors to easily manage users, documents and voice files from a single dashboard instead of using multiple systems. Ovation's sophisticated configuration options enable administrators to easily track work and share resources in order to get the right document to the right Transcriptionist at the right time. According to Emmy Weber, MedQuist vice president of Product Management, Breakthrough capabilities engineered into DocQment Ovation, like the ability to define the date that begins the aging process for documents (including admit date and date of discharge), give users better information at the point of dictation to improve workflow, accuracy and report routing. With MedQuist's help, we configured DocQment Ovation around the way we do business, says Wanda Newton, HIM director at Maury Regional Healthcare System, a three-hospital system located in Tennessee. With Ovation, we are now managing our hospitals and departments more efficiently. We saw a 34 percent increase in productivity in the first two months of use of Ovation, a positive trend that we expect will continue. Ovation is available for immediate installation. For more information, contact a local MedQuist representative or dial 1-877-489-1500 for sales assistance. MedQuist, a member of the Philips Group of Companies, is a leading provider of clinical documentation workflow solutions in support of the electronic health record. MedQuist provides electronic medical transcription, health information and document management products and services, including digital dictation, speech recognition, Web-based transcription, electronic signature, medical coding, mobile dictation devices, and outsourcing services.

CBaySystems Introduces CBayFlo VoiceDirect [2006-07-07]
ANNAPOLIS, Md., July 6 /PRNewswire/ -- CBaySystems Services, Inc., one of the industry's fastest-growing providers of medical transcription solutions, today announced the general availability of CBayFlo VoiceDirect -- its own automated digital dictation and voice capture system. Using CBayFlo VoiceDirect, everyone involved in the medical transcription process -- physicians, HIMs, and transcriptionists -- is able to take advantage of greater speed, quality and security, from capture, to review, to transcription, to approval, to records management and archiving. At its core, CBayFlo VoiceDirect enables physicians to dictate into any digital recording device -- a PDA, tablet PC, desktop or phone -- and have it securely captured for transcription. Highly accurate, and featuring natural language processing, it eliminates the time and cost of manually transcribing recorded dictation. With the introduction of CBayFlo VoiceDirect, hospitals who are dependent on expensive, proprietary dictation systems from Dictaphone, DVI, and Lanier can enjoy new freedom and flexibility. CBayFlo VoiceDirect incorporates the same features and quality at a significantly lower price. At the same time, it is built on an open technology platform that allows it to interface with legacy Dictaphone, DVI, Lanier and home-grown systems. This allows a smooth migration path (with zero training) as well as easy integration with other HIM systems. By developing our own technology, we're able to seamlessly integrate the power of voice into every component of our CBayFlo platform, said Christopher Foley, President of CBaySystems Services. Our commitment to RD means we're no longer reliant on a third party system, and can deliver more of the benefits from this powerful technology -- and significant savings -- directly to our customers. Some of the specific benefits of CBayFlo VoiceDirect include: * High security and voice quality -- resulting in better quality records, and easier workflow * Compliance with the latest HIPAA regulations and technologies * Customized/advanced reporting capabilities, through a secure web portal: making it easy for HIMs to review and manage the entire workflow process Part of a Comprehensive CBayFlo Technology Suite CBayFlo VoiceDirect is just one of the components of the CBayFlo System -- a fully-integrated technology platform that manages medical transcription records at every stage of their lifecycle, from dictation and scheduling, through transcription, editing, web-based management, and long-term archiving. Unlike other systems that force hospitals into a fixed process, CBayFlo is flexible and customizable to work the way you want to work. All processes and workflows can be configured to your exact business and information/reporting requirements. Specific components of this powerful technology platform include: * CBayFlo DocView: advanced document viewing/editing/reporting * CBayFlo VoiceRecord: software for PDAs and digital recorders that allows voice to be uploaded to the web, and offloaded to a dictation server for transcription * CBayFlo eDemographics: an HL7 interface engine to exchange data with other HIM and patient records * CBayFlo Enterprise Document Manager: hospitals can manage and track the transcription process through a web-based portal -- CBayFlo DocuTrack: real-time updates of the status of each record and file -- CBayFlo DocView: document view/edit -- CBayFlo E-signature: document e-sign -- CBayFlo DocXchange: an HL7 compatible interface engine As an ASP application (no additional hardware or software is required for the hospital to purchase), CBayFlo is extremely secure and reliable, with multiple levels of redundancy incorporated into its standard architecture. The CBayFlo platform represents an important component of the WorldClass Advantage we deliver to our customers every day, noted Foley. By providing advanced technology, hospitals and physician practices can significantly reduce costs and save time -- allowing them to devote more resources to improving patient care.

Spheris Completes Acquisition of Vianeta Communications [2006-05-11]
FRANKLIN, Tenn., May 8 /PRNewswire-FirstCall/ -- Spheris, a leadingglobal provider of medical transcription technology and services, todayannounced the completion of its acquisition of Vianeta Communications, aleading developer and supplier of enterprise-wide clinical documentationtechnology for hospitals, health systems and group practices. The acquisition further expands Spheris' ability to deploy technologyand service solutions for healthcare providers of any size and complexity.Virtually all healthcare specialties, including radiology, will be able tobenefit from Spheris' enhanced clinical documentation technology andservice options. Customers are telling us they want an integrated technology andservice solution that is flexible enough to be combined and deployedeffectively across their health information management and radiology ITsystems, said Steven E. Simpson, Spheris president and chief executiveofficer. The acquisition of Vianeta significantly expands Spheris'technological capabilities, including speech recognition and XML datatagging for use with electronic health records, and thereby enhances ourability to meet the evolving and unique needs of all healthcareorganizations. Bringing Spheris and Vianeta together combines what we believe to bethe most advanced technology in the medical transcription industry with themost powerful global network of medical transcriptionists, said Vianetachief executive officer Ralph Aceves. By joining forces, we believe we'vecreated the best possible solution for addressing the growing expectationsof our customers to improve quality, productivity and turnaround time. Working together as a combined entity, Spheris and Vianeta are alreadyin discussions with several major healthcare institutions about theexpanded capabilities made possible by the acquisition. The favorableresponses already given by our existing customers and potential newcustomers have confirmed the value proposition we created by joining thetwo organizations, said Simpson. In addition to continuing to service and enhance the Vianeta solutionscurrently deployed in the marketplace, Spheris will integrate the twoorganizations over the next several months and anticipates the announcementof new product offerings in the near future. Financial terms of theparties' agreement were not disclosed.

MedQuist Announces Unaudited Financial Results, 6 Million in Operating Loss [2006-05-11]
MT. LAUREL, N.J.--(BUSINESS WIRE)--May 11, 2006--MedQuist Inc. (Pink Sheets: MEDQ.PK) announced today certain preliminary, partial and unaudited financial results, and provided updated information regarding previously-announced litigation and governmental investigations and proceedings. Once the Company completes the financial assessment and review of its billing practices disclosed in the Company's previous filings with the SEC, KPMG LLP, the Company's independent registered public accounting firm, will complete the audit the Company's financial statements. The Company is continuing the process of working toward becoming current in its periodic reports pursuant to the Securities Exchange Act of 1934. The Company's review of its current and prior period unaudited financial statements, as well as KPMG LLP's audits for those periods, may identify adjustments or reclassifications which may be reflected in the periods to which they relate. At this time, the Company cannot estimate the total costs of (i) the billing review, (ii) defense of the class action matters, (iii) the SEC investigation, and (iv) compliance with the Department of Justice investigation, all of which have been previously disclosed in either the Company's filings with the SEC or the Company's press releases. Accordingly, the only costs related to the defense of these matters that have been included in the results below are actual costs incurred through March 31, 2006 by the Company. Because the completion of the billing review and resolution of the litigation and governmental investigatory matters are pending, the Company is not certain whether any changes to the accounting treatment of any component of its consolidated financial statements will be required and, if any changes are necessary, whether any such changes would have a material impact on its current or prior period consolidated financial statements. Accordingly, the financial information set forth below is preliminary, unaudited, and subject to change based on the completion of the financial assessment and review of the Company's billing practices, resolution of the class action matters and governmental investigations and proceedings, and the completion of the review and/or audit of its financial statements, as appropriate. The financial information and related narrative discussion set forth below is derived from the Company's internal books and records. The Company cautions investors not to place undue reliance on the financial information presented below. As a result of the developments described above and in the Company's previous SEC filings, the Company's financial statements have not been audited or reviewed by KPMG LLP, its independent registered public accounting firm. The financial information contained in this press release also has not been audited or reviewed by an independent registered public accounting firm. Such information is not a substitute for the information required to be reported in the Company's Forms 10-K and Forms 10-Q that have not yet been filed. There can be no assurance that the results of the billing review, and resolution of the litigation and governmental investigatory matters will not have a material adverse effect on the Company's revenue, results of operations and financial condition. Legal Proceedings Investigations and Proceedings Commenced by the SEC and the Department of Justice As previously announced, the Securities and Exchange Commission (the SEC) is currently conducting a formal investigation of the Company. The Company will continue to fully cooperate with the SEC. As previously announced, the Company received an administrative HIPAA subpoena for documents from the United States Attorney's Office for the District of Massachusetts on December 17, 2004. The subpoena sought information primarily about the Company's provision of medical transcription services to governmental and non-governmental customers. The information was requested in connection with a government investigation into whether Medquist and others violated federal laws in connection with the provision of medical transcription services. MedQuist continues to cooperate fully with the Department of Justice. Shareholder Securities Litigation As previously announced, a shareholder putative class action lawsuit was filed against the Company in the United States District Court District of New Jersey on November 8, 2004. The action, entitled William Steiner v. MedQuist, Inc., et al., Case No. 1:04-cv-05487-FLW (the Shareholder Putative Action), was filed against the Company and certain former Company officials, purportedly on behalf of an alleged class of all persons who purchased MedQuist common stock during the period from April 23, 2002 through November 2, 2004, inclusive (the Class Period). The complaint specifically alleged that defendants violated federal securities laws by purportedly issuing a series of false and misleading statements to the market throughout the Class Period, which statements allegedly had the effect of artificially inflating the market price of the Company's securities. The complaint asserts claims under Section 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5, thereunder. Named as defendants, in addition to the Company, were its former president and chief executive officer and its former executive vice president and chief financial officer. On August 16, 2005, a First Amended Complaint in the Shareholder Putative Class Action was filed against the Company in the United States District Court District of New Jersey. The First Amended Complaint named additional defendants, including certain current and former directors, certain former Company officers, the Company's former and current external auditors and Koninklijke Philips Electronics N.V. (Philips). Like the original complaint, the First Amended Complaint asserted claims under Sections 10b and 20(a) of the Securities and Exchange Act of 1934 (the Act) and Rule 10b5 of the Act. The Class Period of the original complaint was expanded 20 months and now includes the period from March 29, 2000 through June 14, 2004. Pursuant to an October 17, 2005 consent order approved by the Court, Lead Plaintiff Greater Pennsylvania Pension Fund filed a Second Amended Complaint on November 15, 2005. The Second Amended Complaint dropped Philips as a defendant, but alleges the same claims and the same purported class period as the First Amended Complaint. Plaintiffs seek unspecified damages. Pursuant to the provisions of the Private Securities Litigation Reform Act, discovery in the action is stayed pending the filing and resolution of the defendants' motions to dismiss, which were filed on January 17, 2006, and will be fully briefed by May 26, 2006. The Court has not set a hearing date on the motions. The Company believes that the claims asserted in the Second Amended Complaint are without merit, and is vigorously defending the action. Customer Litigation As previously announced, a putative class action was filed in the United States District Court Central District of California. The action, entitled South Broward Hospital District, dba Memorial Regional Hospital, et al. v. MedQuist, Inc. et al., Case No. CV-04-7520-TJH-VBKx, was filed on September 9, 2004 against the Company and certain present and former Company officials, purportedly on behalf of an alleged class of non-Federal governmental hospitals and medical centers that the complaint claims were wrongfully and fraudulently overcharged for transcription services by defendants based primarily on the Company's use of the AAMT line billing unit of measure discussed below. The complaint charges fraud, violation of the California Business and Professions Code, unjust enrichment, conversion, negligent supervision and violation of the Racketeer Influenced and Corrupt Organizations Act. Plaintiffs seek damages in an unspecified amount, plus costs and interest, an injunction against alleged continuing illegal activities, an accounting, punitive damages and attorneys' fees. Named as defendants, in addition to the Company, were a senior vice president, its former executive vice president of marketing and new business development, its former executive vice president and chief legal officer, and its former executive vice president and chief financial officer. On December 20, 2004, the Company and individual defendants filed motions to dismiss for lack of personal jurisdiction and improper venue, or in the alternative, to transfer the putative action to the United States District Court District of New Jersey. On February 2, 2005, plaintiffs filed a Second Amended Complaint both adding and deleting named plaintiffs in an attempt to keep the putative action in the United States District Court Central District of California. On March 30, 2005, the United States District Court Central District of California issued an order transferring the putative action to the United States District Court District of New Jersey. On August 1, 2005, the Company and the individual defendants filed their respective Answers denying the material allegations contained in the Second Amended Complaint. On August 31, 2005, the Company and individual defendants filed motions to dismiss the Second Amended Complaint for failure to state a claim and a motion to dismiss in favor of arbitration, or in the alternative, to stay pending arbitration. On December 12, 2005, the plaintiffs filed an Amendment to the Second Amended Complaint. On December 13, 2005, the Court issued an order requiring plaintiffs to file a Third Amended Complaint. Plaintiffs filed the Third Amended Complaint on January 4, 2006. The Third Amended Complaint expands the claims made beyond issues arising from contracts based on AAMT line billing and beyond customers billed based on an AAMT line, alleging that the Company engaged in a scheme to inflate customers' invoices without regard to the terms of individual contracts and even in the absence of any written contract. The Third Amended Complaint also limits plaintiffs' claim for fraud in the inducement of the agreement to arbitrate to the three named plaintiffs whose contracts contain an arbitration provision and a subclass of similarly situated customers. On January 20, 2006 the Company and individual defendants filed motions to dismiss the Third Amended Complaint for failure to state a claim and a motion to compel arbitration of all claims by the arbitration subclass and to stay the case in its entirety pending arbitration. On March 8, 2006 the Court held a hearing on these motions, and took the matter under submission. The Court has not yet ruled on the motions. The Company believes that the claims asserted have no merit and intends to vigorously defend the putative action. Medical Transcriptionist Litigation Hoffmann Putative Class Action As previously announced, a putative class action lawsuit was filed against the Company in the United States District Court Northern District of Georgia. The action, entitled Brigitte Hoffmann, et al. v. MedQuist, Inc., et al., Case No. 1:04-CV-3452, was filed with the Court on November 29, 2004 against the Company and certain current and former Company officials, purportedly on behalf of an alleged class of current and former employees and statutory workers of MedQuist, who are or were compensated on a per line basis for medical transcription services (the Class Members) from January 1, 1998 to the time of the filing of the complaint (the Class Period). The complaint specifically alleged that defendants systematically and wrongfully underpaid the Class Members during the Class Period. The complaint asserted the following causes of action: fraud, breach of contract, demand for accounting, quantum meruit, unjust enrichment, conversion, negligence, negligent supervision, and Racketeer Influenced and Corrupt Organizations Act violations. Plaintiffs sought unspecified compensatory damages, punitive damages, disgorgement and restitution. On December 1, 2005, the Hoffmann matter was transferred to the United States District Court District of New Jersey. As discussed immediately below under the heading Myers Putative Class Action, the Company believes that the claims presently asserted have no merit and intends to vigorously defend the putative action. Myers Putative Class Action As previously announced, a putative class action entitled, Myers, et al. v. MedQuist Inc. and MedQuist Transcriptions, Ltd., Case No. 05CV 4608 (JBS), was filed against the Company on September 22, 2005 in the United States District Court District of New Jersey. The action was brought on behalf of a putative class of MedQuist's employee and independent contractor transcriptionists who claim that they contracted with the Company to be paid per AAMT line, but were allegedly underpaid due to intentional miscounting of the number of characters and lines transcribed. The named plaintiffs asserted claims for breach of contract, unjust enrichment, and request an accounting. The allegations contained in the Myers case are substantially similar to those contained in the Hoffmann putative class action and the two actions have now been consolidated. A consolidated amended complaint was filed on January 31, 2006. The named plaintiffs assert claims for breach of contract, breach of the covenant of good faith and fair dealing, unjust enrichment and demand an accounting. On March 7, 2006 the Company filed a motion to dismiss all claims in the consolidated amended complaint. The motion has now been fully briefed. The Court has not set a hearing date on the motion. The Company believes that the claims asserted in the consolidated actions have no merit and intends to vigorously defend the suit. Derivative Litigation On October 4, 2005, the Company announced the dismissal with prejudice of a shareholder derivative action filed in United States District Court District of New Jersey. The suit, Rhoda Kanter (Plaintiff) v. Hans M. Barella et al. (Defendants), was filed on November 12, 2004 against Philips and ten current and former members of MedQuist's Board of Directors. MedQuist was named as a nominal defendant. In a ruling dated September 21, 2005, the Court found Plaintiff's allegations that MedQuist's Board members breached their fiduciary duties to the Company to be insufficient. The Plaintiff had alleged that for a period from 2001 through 2004, the Defendants violated their fiduciary duties by permitting artificial inflation of billing figures; failing to adequately ensure accurate and lawful billing practices; and failing to accurately report the Company's true financial condition in its published financial statements. To the contrary, the Court concluded: Far from alleging facts supporting a substantial likelihood of liability, Plaintiff here has painted a picture of a board of directors that acted responsively given the circumstances . . . . On October 3, 2005, plaintiffs filed a motion for reconsideration of the Court's order dismissing the action with prejudice. On November 16, 2005, the Court denied Plaintiffs' motion for reconsideration. On December 13, 2005, Plaintiffs filed a Notice of Appeal with the United States Court of Appeals for the Third Circuit. On March 21, 2006, Plaintiff filed her opening brief on appeal. On April 20, 2006, MedQuist and the other defendants filed their opposition briefs. The appeal will be fully briefed by May 4, 2006. The Court of Appeals has not set a hearing date for the appeal. Customer Accommodations As previously disclosed, the primary allegations in a number of the litigation matters relate to how the Company interpreted the AAMT line billing unit of measure. The AAMT line billing unit of measure was developed in 1993 through a collaboration among several industry organizations with the intent of providing standardization in industry billing practices. However, due to inherent ambiguities in the definition of this unit of measure not fully anticipated at the time of its introduction, AAMT line-based billing was applied inconsistently throughout the medical transcription industry and eventually renounced by the groups initially responsible for its development. Despite these issues, a number of companies in the industry have continued to use AAMT line-based billing, and some customers still request proposals and contracts based on the AAMT line. Like many medical transcription service providers, MedQuist once used the AAMT line unit of measure to calculate invoices for many of its medical transcription clients. It has been widely recognized and well documented throughout the industry, however, that the AAMT definition of a line is inherently ambiguous and subject to a wide variety of interpretations. In fact, no single set of AAMT characters was ever defined for this unit of measure. Accordingly, MedQuist began the process in 2004 of transitioning its AAMT line-based customers off the AAMT line unit of measure and, in April 2005, the Company completely eliminated the use of the AAMT line for billing and called on other industry transcription providers to follow its lead. Due to these AAMT line unit of measure ambiguities, and the disparity in its interpretation, health care providers have raised concerns regarding charges for transcription services by their respective transcription providers, including the Company. In response to those concerns, and to foster ongoing business relationships with its customers, the Company has approached certain customers and offered to resolve any issues related to their prior AAMT line and other billing related issues. As previously disclosed, the Company's Board of Directors has authorized Company management to make accommodation offers, up to an aggregate amount of $65.0 million, to certain customers to resolve any concerns over AAMT and other billing related issues. As of March 31, 2006, (i) the Company has entered into agreements with certain customers who have accepted accommodation offers to resolve concerns over AAMT and other billing related issues, and paid or credited an aggregate amount of $31.3 million as an accommodation to those customers and (ii) additional accommodation offers have been made by the Company to certain other customers in the aggregate amount of $11.9 million. From April 1, 2006 through the date of this release, the Company has entered into agreements with additional customers and paid or credited an aggregate amount of $2.9 million and has extended accommodation offers to additional customers in the aggregate amount of $1.1 million. Company management currently intends to make additional accommodation offers in the future, consistent with the Board's authorization described above, although the timing and amount of such offers have not yet been determined and the Company's plans may change in the future. The accommodation offers do not represent an estimate of potential liability, if any, in any of the previously disclosed litigation or investigatory matters pending against the Company. The Company is unable to predict how many customers, if any, will accept the outstanding accommodation offers on the terms proposed by the Company, nor is the Company able to predict the timing of the acceptance (or rejection) of any of these outstanding accommodation offers. Until such offers are accepted, the Company may withdraw or modify the terms of the accommodation offers at any time. In addition, the Company is unable to predict how many of the future offers, if made, will be accepted on the terms proposed by the Company. The Company believes that its existing cash resources and cash flows from operations are sufficient to fund all of the customer accommodation offers it may make. By accepting the Company's accommodation offers, the customer must agree, among other things, to release the Company from any and all claims and liability regarding prior AAMT and other billing related issues. The accommodation offers made to date, and those offers which may be made in the future, are not an admission of liability by the Company of any wrongdoing or an admission or acknowledgement that its billing practices with respect to such customers were or are incorrect. MedQuist Inc. -- Preliminary and Unaudited Financial Information (in millions) ---------------------------------------------------------------------- Three months ended ---------------------------------------- March 31, 2006 March 31, 2005 ------------------ ------------------ Revenues $ 97 $ 108 Operating loss $ (8) $ (2) ---------------------------------------------------------------------- As of As of March 31, 2006 December 31, 2005 ------------------ ------------------ Cash $ 164 $ 178 Debt $ - $ - Three Months Ended March 31, 2006 Revenues: Preliminary, unaudited results indicate that the Company's revenues decreased $11 million to $97 million for the three months ended March 31, 2006 from approximately $108 million for the comparable 2005 period. This decline in revenues is largely due to decreases in transcription outsourcing services and product sales of $9 million or 10%, and $2 million or 27%, respectively. The decline in transcription outsourcing revenues is largely due to a decrease in the volume of lines transcribed primarily related to clients for whom we no longer provide transcription services. Additionally, pricing pressures continued on the base transcription business during the first quarter 2006, but revenues were impacted far less by pricing pressures than in the comparable 2005 period. Management expects that pricing pressures will continue for the foreseeable future but that the introduction of several new sales initiatives and improved customer service programs should cause transcription volume to stabilize or improve throughout the duration of 2006. Operating Loss: Preliminary, unaudited results indicate that our operating loss increased $6 million to a loss of approximately $8 million for the three months ended March 31, 2006 from an operating loss of $2 million for the comparable 2005 period. The operating loss of $8 million was primarily attributable to $9 million of costs associated with the following: (1) costs related to the ongoing billing review including (i) legal fees incurred in connection with governmental investigations and proceedings and defense of the class action matters and (ii) non-legal professional fees; and (2) increased expenses related to prior years' accounting reviews and audit. Operating loss was also impacted by the $11 million decline in revenues over the same period. Balance Sheet Highlights: As of March 31, 2006, the Company had $164 million in cash and cash equivalents and no debt. The $14 million decrease in cash as of March 31, 2006 compared with December 31, 2005 was primarily attributable to accommodation payments ($10 million) and capital expenditures ($4 million). There were no issuances of capital stock or other securities for the three months ended March 31, 2006. The Company expects to incur significant costs and expenses in the future relating to the ongoing billing review, defense of the class action matters and governmental investigations and proceedings, and accommodation agreements. These costs and expenses include (i) legal fees relating to the SEC and Department of Justice investigations and proceedings, (ii) legal fees relating to defense and resolution of the litigation matters described above, (iii) customer accommodation payments and credits, and (iv) non-legal professional fees. The timing and level of these costs and expenses is, in many cases, not within the Company's control. While the Company is unable to predict the timing and level of these costs and expenses, the Company currently believes that it has sufficient resources, including cash on hand and cash flow from operations to fund these costs and expenses. However, there cannot be any assurance that unanticipated changes in the level of these costs will not exceed the Company's available cash resources, nor can there be any assurance that sufficient financing from external sources will be available to the Company on acceptable terms, if at all. In the event that the Company's cash requirements exceed its available cash resources, or if the timing of such costs and expenses requires the Company to divert cash resources away from operations, the Company may not be able to execute its operating plan, which could have a material adverse effect on the Company's business and results of operations. Other Developments Restructuring: As previously disclosed, in conjunction with the Company's movement to a single national service and support organization, a restructuring plan was developed in 2005 to consolidate approximately forty-eight (48) operating facilities and centralize certain components of the business in order to improve operating efficiencies. The Company is expecting to incur total restructuring costs of up to $8.5 million associated with this plan through the end of the fourth quarter of 2006. The Company incurred $1 million of restructuring costs for the three months ended March 31, 2006. This restructuring is expected to generate annualized savings of approximately $18.5 million. The Company realized approximately $1.9 million in savings during the three months ended March 31, 2006. Specifically, the Company has shifted resources to a single national service delivery and support organization for all of the Company's services and products and is in the process of eliminating local service centers. The plan does not contemplate reductions of, and the Company has no current intentions to reduce, its medical transcription workforce. Rather, the Company will continue in its efforts to hire additional qualified transcriptionists. Further, although the Company is consolidating its local service centers as described above, customer-facing teams, led by account managers, will continue to coordinate customer support on the local level. The customer-facing teams will continue to work with and be supported by the Company's centrally managed customer service organization.

Scribe Healthcare Technologies Exceeds 6,000 Users [2006-04-20]
Scribe Healthcare Technologies, a leading healthcare technology company based in the Chicago area, today announced growth has exceeded 6,000 users. Scribe platform users include physicians, clinicians, administrative personnel, and transcriptionists. Lake Forest, IL (PRWEB) April 20, 2006 -- Scribe Healthcare Technologies, a leading healthcare technology company based in the Chicago area, today announced growth has exceeded 6,000 users. Scribe platform users include physicians, clinicians, administrative personnel, and transcriptionists. �Until recently our growth has been primarily organic, selling to hospitals and profit driven medical practices. In 2005 we started targeting Medical Transcription Service Organizations (MTSOs) using our technology to run their businesses. Now with the launch of a joint venture �in2scribe�, we hope to become the foremost industry resource for MTSOs.� says Vice President of Sales Marketing, John Weiss. �As a result our growth rate continues to ramp.� Scribe technologies are modular and Web-based, leveraging the Internet and standard Microsoft applications. Scribe offers a variety of technologies that help MTSO manage their business, recruit and train transcriptionists. About Scribe Healthcare Technologies, Inc.Scribe Healthcare Technologies is a privately-held healthcare technology company based in the Chicago area. The company has developed a proprietary web-based platform that complements and extends the value for patient registration, Practice/Hospital Management and EMR Solutions. Scribe�s platform includes complete solutions for dictation, transcription, document management, EMR-Lite, Web portal, online prescriptions and reporting with data analytics. Scribe serves more than 6,000 users. Business partners and resellers include consulting firms, transcription companies, and business process outsourcers. Additional information is available at www.scribe.com. About in2scribeIn April 2005, the owners of Scribe Healthcare Technologies, EFD Transcription Services, and PENATCLE Electronic Records and Systems fulfilled their dream to create a network that would pull together resources to help to improve the efficiency, productivity, and profitability of the highly fragmented, mid-sized medical transcription firms. Utilizing the talents and experience of our members, a common technology infrastructure, and a central management point, in2scribe offers a menu of services to our members including new profit centers, benefit plans, level-loading of your work load, and more. More information is available at www.in2scribe.com.

Brown & Meyers, Inc Announces Acquistion of Typewrights, Inc [2006-04-20]
Brown & Meyers, Inc., a leading national provider of medical transcription and court reporting services since 1997, located at 536 Washington Avenue in Portland, is pleased to announce the acquisition of Typewrights, Inc. This transition will be effective April 17, 2006. Typewrights is a legend in the medical and legal transcription marketplace, having been in business for 26 years. Kate Meyers-Coyne, President of Brown Typewrights has an excellent reputation and it is a great honor for us to acquire them. We are very pleased to have these loyal Maine and New Hampshire customers joining our family, and plan to make this transition as quick and easy as possible for everyone. In an effort to make the transition as seamless as possible, Patricia Burrows, the owner of Typewrights, along with Mrs. Meyers-Coyne, are working closely with customers.

Medical Transcription Recognized as an Apprenticeable Occupation [2006-03-14]
CHICAGO--(BUSINESS WIRE)--March 10, 2006--Graduates of selected medical transcription training programs will now have access to registered apprenticeship programs, as the U.S. Department of Labor (DOL) has now declared medical transcription to be an apprenticeable profession - the first step in establishing a national apprenticeship program. The Office of Apprenticeship Training, Employer and Labor Services approved the application for apprenticeability determination submitted by the Medical Transcription Industry Association (MTIA) along with the American Association for Medical Transcription (AAMT). Having a recognized apprenticeable occupation will provide a pipeline of medical transcription professionals entering into a workforce facing a serious labor and skills shortage. stated Keith Flannery, Vice President, MTIA. Workforce development under the standards established by this apprenticeship program will aid in facilitating the transition between student and an employable, productive, and qualified medical transcriptionist. Given the challenge the industry faces in recruiting qualified candidates to meet the ever-increasing demand for real-time, quality healthcare data, a registered apprenticeship program couldn't be developed and launched at a more critical time, stated Peter Preziosi, PhD, CAE, AAMT Executive Director. Workforce development is essential to ensuring that documentation experts are in place to assist the industry in transitioning to an electronic health record and to preserving the quality and integrity of the health record in that future. The Registered Apprenticeship Program, sponsored by the Medical Transcription Industry Association (MTIA), will offer structured on-the-job learning and related technical instruction for qualified medical transcriptionists entering the profession. The two associations, along with the Office of Apprenticeship Training, Employer and Labor Services, are finalizing program details. Medical Transcription is a crucial process in the provision of quality healthcare in our country. This is a hallmark program for the industry, said Sean Carroll, President, MTIA.

Transcend acquires California company's transcription biz [2006-01-31]
Transcend Service Inc. has bought PracticeXpert Inc.'s transcription business. Under the terms of the agreement with Transcend, PracticeXpert will receive up to $500,000, over three years, on an earn-out basis, with an initial $40,000 payment on closing. Atlanta-based Transcend (NASDAQ: TRCR - News) provides medical transcription services to health systems, hospitals, clinics and physician practices. Calabasas, Calif.-based PracticeXpert (OTC BB: PXPT - News) provides medical billing, accounts receivable management, practice management, consulting, seminars, practice management software, electronic medical records software and related services.

CBay Awarded Multi-Year Contract [2006-01-19]
ANNAPOLIS, Md., Jan. 18 /PRNewswire/ -- CBay Systems announced today thatit was awarded a contract by Premier Inc. to provide integrated dictationcapture, transcription and web-based document management solutions to itsmember healthcare facilities. Under the terms of the agreement, CBay is theapproved provider to Premier's alliance of approximately 1,500 hospitals andhealthcare systems across the United States. A leading provider of healthcare technology and business processoutsourcing (BPO) services, CBay addresses various issues in the healthcaresector, primarily focusing on transcription process improvement andreceivables management. By leveraging HIPAA-compliant Internet technologiesand highly credentialed global resources, CBay delivers measurableefficiencies and savings to hundreds of hospitals, clinics and physiciangroups. A selection committee at Premier evaluated numerous medical transcriptionservice organizations from across the country and determined that CBay'ssolutions were the right choice for its members. CBay is very excited about this opportunity to provide medicaltranscription services to Premier's member hospitals, said Michael Kimball,CBay's senior vice president of sales and marketing. We offer the ideal blendof service, experience, technology, and value to ensure that Premier's membersreceive timely and accurate medical documentation to help them provide thebest patient care.

MedQuist Announces Preliminary, Partial and Unaudited [2006-01-19]
MT. LAUREL, N.J. --(Business Wire)-- Jan. 19, 2006 -- Medquist Inc. (Pink Sheets: MEDQ.PK) announced today certain preliminary, partial and unaudited financial results, and provided updated information regarding previously-announced litigation and governmental investigations and proceedings. Once the Company completes the financial assessment and review of its billing practices disclosed in the Company's previous filings with the SEC, the Company expects that KPMG LLP, its independent registered public accounting firm, will review and/or audit the Company's financial statements, as appropriate. The Company is continuing the process of working toward becoming current in its periodic reports pursuant to the Securities Exchange Act of 1934. The Company's review of its current and prior period unaudited financial statements, as well as KPMG LLP's audits for those periods, may identify adjustments or reclassifications which may be reflected in the periods to which they relate. At this time, the Company cannot estimate the total costs of (i) the billing review, (ii) defense of the class action matters, (iii) the SEC investigation, and (iv) compliance with the Department of Justice investigation, all of which have been previously disclosed in either the Company's filings with the SEC or the Company's press releases. Accordingly, the only costs related to the defense of these matters that have been included in the results below are actual costs incurred through December 31, 2005 by the Company. As described in the Customer Accommodations discussion under the heading Legal Proceedings, an accrual has been made in an amount up to which the Company's Board of Directors has authorized the Company to make accommodation offers to certain of its customers. Because the completion of the billing review and resolution of the litigation and governmental investigatory matters are pending, the Company is not certain whether any changes to the accounting treatment of any component of its consolidated financial statements will be required and, if any changes are necessary, whether any such changes would have a material impact on its current or prior period consolidated financial statements. Accordingly, the financial information set forth below is preliminary, unaudited, and subject to change based on the completion of the financial assessment and review of the Company's billing practices, resolution of the class action matters and governmental investigations and proceedings, and the completion of the review and/or audit of its financial statements, as appropriate. The financial information and related narrative discussion set forth below is derived from the Company's internal books and records. The Company cautions investors not to place undue reliance on the financial information presented below. As a result of the developments described above and in the Company's previous SEC filings, the Company's financial statements have not been audited or reviewed by KPMG LLP, its independent registered public accounting firm. The financial information contained in this press release also has not been audited or reviewed by an independent registered public accounting firm. Such information is not a substitute for the information required to be reported in the Company's Forms 10-K and Forms 10-Q that have not yet been filed. There can be no assurance that the results of the billing review, and resolution of the litigation and governmental investigatory matters will not have a material adverse effect on the Company's revenue, results of operations and financial condition. Legal Proceedings Investigations and Proceedings Commenced by the SEC and the Department of Justice As previously announced, the Securities and Exchange Commission (the SEC) is currently conducting a formal investigation of the Company. The Company will continue to fully cooperate with the SEC. As previously announced, the Company received an administrative HIPAA subpoena for documents from the United States Attorney's Office for the District of Massachusetts on December 17, 2004. The subpoena sought information primarily about the Company's provision of medical transcription services to governmental and non-governmental customers. The information was requested in connection with a government investigation into whether MedQuist and others violated federal laws in connection with the provision of medical transcription services. MedQuist continues to cooperate fully with the Department of Justice. Shareholder Securities Litigation As previously announced, a shareholder putative class action lawsuit was filed against the Company in the United States District Court District of New Jersey on November 8, 2004. The action, entitled William Steiner v. MedQuist, Inc., et al., Case No. 1:04-cv-05487-FLW (the Shareholder Putative Action), was filed against the Company and certain former Company officials, purportedly on behalf of an alleged class of all persons who purchased MedQuist common stock during the period from April 23, 2002 through November 2, 2004, inclusive (the Class Period). The complaint specifically alleged that defendants violated federal securities laws by purportedly issuing a series of false and misleading statements to the market throughout the Class Period, which statements allegedly had the effect of artificially inflating the market price of the Company's securities. The complaint asserts claims under Section 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5, thereunder. Named as defendants, in addition to the Company, were its former president and chief executive officer and its former executive vice president and chief financial officer. On August 16, 2005, a First Amended Complaint in the Shareholder Putative Class Action was filed against the Company in the United States District Court District of New Jersey. The First Amended Complaint named additional defendants, including certain current and former directors, certain former Company officers, the Company's former and current external auditors and Koninklijke Philips Electronics N.V. (Philips). Like the original complaint, the First Amended Complaint asserted claims under Sections 10b and 20(a) of the Securities and Exchange Act of 1934 (the Act) and Rule 10b5 of the Act. The Class Period of the original complaint was expanded 20 months and now includes the period from March 29, 2000 through June 14, 2004. Pursuant to an October 17, 2005 consent order approved by the Court, Lead Plaintiff Greater Pennsylvania Pension Fund filed a Second Amended Complaint on November 15, 2005. The Second Amended Complaint dropped Philips as a defendant, but alleges the same claims and the same purported class period as the First Amended Complaint. Plaintiffs seek unspecified damages. Pursuant to the provisions of the Private Securities Litigation Reform Act, discovery in the action is stayed pending the filing and resolution of the defendants' motions to dismiss, which were filed on January 17, 2006, and will be fully briefed by May 1, 2006. The Company believes that the claims asserted in the Second Amended Complaint are without merit, and is vigorously defending the action. Customer Litigation As previously announced, a putative class action was filed in the United States District Court Central District of California. The action, entitled South Broward Hospital District, dba Memorial Regional Hospital, et al. v. MedQuist, Inc. et al., Case No. CV-04-7520-TJH-VBKx, was filed on September 9, 2004 against the Company and certain present and former Company officials, purportedly on behalf of an alleged class of non-Federal governmental hospitals and medical centers that the complaint claims were wrongfully and fraudulently overcharged for transcription services by defendants based primarily on the Company's use of the AAMT line billing unit of measure discussed below. The complaint charges fraud, violation of the California Business and Professions Code, unjust enrichment, conversion, negligent supervision and violation of the Racketeer Influenced and Corrupt Organizations Act. Plaintiffs seek damages in an unspecified amount, plus costs and interest, an injunction against alleged continuing illegal activities, an accounting, punitive damages and attorneys' fees. Named as defendants, in addition to the Company, were a senior vice president, its former executive vice president of marketing and new business development, its former executive vice president and chief legal officer, and its former executive vice president and chief financial officer. On December 20, 2004, the Company and individual defendants filed motions to dismiss for lack of personal jurisdiction and improper venue, or in the alternative, to transfer the putative action to the United States District Court District of New Jersey. On February 2, 2005, plaintiffs filed a Second Amended Complaint both adding and deleting named plaintiffs in an attempt to keep the putative action in the United States District Court Central District of California. On March 30, 2005, the United States District Court Central District of California issued an order transferring the putative action to the United States District Court District of New Jersey. On August 1, 2005, the Company and the individual defendants filed their respective Answers denying the material allegations contained in the Second Amended Complaint. On August 31, 2005, the Company and individual defendants filed motions to dismiss the Second Amended Complaint for failure to state a claim and a motion to dismiss in favor of arbitration, or in the alternative, to stay pending arbitration. On December 12, 2005, the plaintiffs filed an Amendment to the Second Amended Complaint. On December 13, 2005, the Court issued an order requiring plaintiffs to file a Third Amended Complaint and set forth a briefing schedule for the filing of anticipated motions to dismiss the Third Amended Complaint, which have been set for hearing on March 8, 2006. Plaintiffs filed the Third Amended Complaint on January 4, 2006. The Third Amended Complaint expands the claims made beyond issues arising from contracts based on AAMT line billing and beyond customers billed based on an AAMT line, alleging that the Company engaged in a scheme to inflate customers' invoices without regard to the terms of individual contracts and even in the absence of any written contract. The Third Amended Complaint also limits plaintiffs' claim for fraud in the inducement of the agreement to arbitrate to the three named plaintiffs whose contracts contain an arbitration provision and a subclass of similarly situated customers. The Company believes that the claims asserted have no merit and intends to vigorously defend the putative action. Medical Transcriptionist Litigation Hoffmann Putative Class Action As previously announced, a putative class action lawsuit was filed against the Company in the United States District Court Northern District of Georgia. The action, entitled Brigitte Hoffmann, et al. v. MedQuist, Inc., et al., Case No. 1:04-CV-3452, was filed with the Court on November 29, 2004 against the Company and certain current and former Company officials, purportedly on behalf of an alleged class of current and former employees and statutory workers of MedQuist, who are or were compensated on a per line basis for medical transcription services (the Class Members) from January 1, 1998 to the time of the filing of the complaint (the Class Period). The complaint specifically alleged that defendants systematically and wrongfully underpaid the Class Members during the Class Period. The complaint asserted the following causes of action: fraud, breach of contract, demand for accounting, quantum meruit, unjust enrichment, conversion, negligence, negligent supervision, and Racketeer Influenced and Corrupt Organizations Act violations. Plaintiffs seek unspecified compensatory damages, punitive damages, disgorgement and restitution. On December 1, 2005, the Hoffmann matter was transferred to the United States District Court District of New Jersey. The Company believes that the claims presently asserted have no merit and intends to vigorously defend the putative action. Myers Putative Class Action As previously announced, a putative class action entitled, Myers, et al. v. MedQuist Inc. and MedQuist Transcriptions, Ltd., Case No. 05CV 4608 (JBS), was filed against the Company on September 22, 2005 in the United States District Court District of New Jersey. The action was brought on behalf of a putative class of MedQuist's employee and independent contractor transcriptionists who claim that they contracted with the Company to be paid per AAMT line, but were allegedly underpaid due to intentional miscounting of the number of characters and lines transcribed. The named plaintiffs assert claims for breach of contract, unjust enrichment, and request an accounting. The allegations contained in the Myers case are substantially similar to those contained in the Hoffmann putative class action and the two actions have now been consolidated. On January 3, 2006, a consent order was executed pursuant to which the Hoffmann and Myers plaintiffs will file a single, consolidated class action complaint on or before January 31, 2006. As with the Hoffmann putative class action, the Company believes that the claims presently asserted in the Myers action have no merit and intends to vigorously defend the consolidated actions. Derivative Litigation On October 4, 2005, the Company announced the dismissal with prejudice of a shareholder derivative action filed in United States District Court District of New Jersey. The suit, Rhoda Kanter (Plaintiff) v. Hans M. Barella et al. (Defendants), was filed on November 12, 2004 against Philips and ten current and former members of MedQuist's Board of Directors. MedQuist was named as a nominal defendant. In a ruling dated September 21, 2005, the Court found Plaintiff's allegations that MedQuist's Board members breached their fiduciary duties to the Company to be insufficient. The Plaintiff had alleged that for a period from 2001 through 2004, the Defendants violated their fiduciary duties by permitting artificial inflation of billing figures; failing to adequately ensure accurate and lawful billing practices; and failing to accurately report the Company's true financial condition in its published financial statements. To the contrary, the Court concluded: Far from alleging facts supporting a substantial likelihood of liability, Plaintiff here has painted a picture of a board of directors that acted responsively given the circumstances . . . . On October 3, 2005, plaintiffs filed a motion for reconsideration of the Court's order dismissing the action with prejudice. On November 16, 2005, the Court denied Plaintiffs' motion for reconsideration. On December 13, 2005, Plaintiffs filed a Notice of Appeal with the United States Court of Appeals for the Third Circuit. Customer Accommodations The primary allegations in a number of the litigation matters relate to how the Company interpreted the AAMT line billing unit of measure. The AAMT line billing unit of measure was developed in 1993 through a collaboration among several industry organizations with the intent of providing standardization in industry billing practices. However, due to inherent ambiguities in the definition of this unit of measure not fully anticipated at the time of its introduction, AAMT line-based billing was applied inconsistently throughout the medical transcription industry and eventually renounced by the groups initially responsible for its development. Despite these issues, a number of companies in the industry have continued to use AAMT line-based billing, and some customers still request proposals and contracts based on the AAMT line. Like many medical transcription service providers, MedQuist once used the AAMT line unit of measure to calculate invoices for many of its medical transcription clients. It has been widely recognized and well documented throughout the industry, however, that the AAMT definition of a line is inherently ambiguous and subject to a wide variety of interpretations. In fact, no single set of AAMT characters was ever defined for this unit of measure. Accordingly, MedQuist began the process in 2004 of transitioning its AAMT line-based customers off the AAMT line unit of measure and, in April 2005, the Company completely eliminated the use of the AAMT line for billing and called on other industry transcription providers to follow its lead. Due to these AAMT line unit of measure ambiguities, and the disparity in its interpretation, health care providers have raised concerns regarding charges for transcription services by their respective transcription providers, including the Company. In response to those concerns, and to foster ongoing business relationships with its customers, the Company has approached certain customers and offered to resolve any issues related to their prior AAMT line and other billing related issues. The Company's Board of Directors has authorized Company management to make accommodation offers, up to an aggregate amount of $65.0 million, to certain customers to resolve concerns over AAMT and other billing related issues. As of December 31, 2005, (i) the Company has entered into agreements with certain customers who have accepted accommodation offers to resolve concerns over AAMT and other billing related issues, and paid or credited an aggregate amount of $20.5 million as an accommodation to those customers and (ii) additional accommodation offers have been made by the Company to certain other customers in the aggregate amount of $13.8 million. From January 1, 2006 through the date of this release, accommodation offers have been made to additional customers in the aggregate amount of $1.7 million. Subject to the previously mentioned authorization of the Company's Board of Directors, Company management currently intends to make additional accommodation offers in the future, although the timing and amount of such offers have not yet been determined and the Company's plans may change in the future. The accommodation offers do not represent in any way the Company's estimate of potential liability, if any, in any of the previously disclosed litigation or investigatory matters pending against the Company. The Company is unable to predict how many customers, if any, will accept the outstanding accommodation offers on the terms proposed by the Company, nor is the Company able to predict the timing of the acceptance (or rejection) of any of these outstanding accommodation offers. Until such offers are accepted, the Company may withdraw or modify the terms of the accommodation offers at any time. In addition, the Company is unable to predict how many of the future offers, if made, will be accepted on the terms proposed by the Company. The Company believes that its existing cash resources and cash flows from operations are sufficient to fund all of the customer accommodation offers it may make. By accepting the Company's accommodation offers, the customer must agree, among other things, to release the Company from any and all claims and liability regarding prior AAMT and other billing related issues. The accommodation offers made to date, and those offers which may be made in the future, are not an admission of liability by the Company of any wrongdoing or an admission or acknowledgement that its billing practices with respect to such customers were or are incorrect. -0- *T MedQuist Inc. - Preliminary and Unaudited Financial Information (in millions) ---------------------------------------------------------------------- Three months ended ----------------------------------- 12/31/2005 12/31/2004 ---------------- ---------------- Revenues (1) $ 96 $ 112 Operating loss (1) $ (78) $ 0 Cash (2) $ 178 $ 196 Debt (2) - Current $ 0 $ 25 - Long term $ 0 $ 0 Twelve months ended ----------------------------------- 12/31/2005 12/31/2004 ---------------- ---------------- Revenues (3) $ 411 $ 456 Operating (loss)income (3) $ (98) $ 25 Cash (2) $ 178 $ 196 Debt (2) - Current $ 0 $ 25 - Long term $ 0 $ 0 ---------------------------------------------------------------------- Notes: (1) Information presented for the three months ended (2) Information presented as of the date noted above (3) Information presented for the twelve months ended *T Three months ended December 31, 2005 Revenues: Preliminary, unaudited results indicate that the Company's revenues decreased from approximately $112 million for the three months ended December 31, 2004 to approximately $96 million for the comparable 2005 period. The decline in revenues is largely due to a decrease in the volume of lines transcribed primarily related to clients for whom we no longer provide transcription services. Additionally, while pricing pressures continue on the base transcription business, the pricing pressure has not had as great an impact on revenues during the second half of 2005 as it did in the first half. Management expects that pricing pressure will continue for the foreseeable future but that the introduction of several new sales and improved customer service initiatives will cause transcription volume to stabilize or improve in 2006. Operating Income: Preliminary results indicate that operating income declined $78 million from approximately $0 million for the three months ended December 31, 2004 to an operating loss of approximately $78 million for the comparable 2005 period. The operating loss was attributable to the following: restructuring charges ($4 million), audit fees in connection with the Company's 2003, 2004 and 2005 fiscal years ($4 million), asset impairments ($2 million) and $69 million in costs incurred during the three months ended December 31, 2005 related to the ongoing billing review, including: (i) customer accommodation payments and accruals ($60 million), (ii) legal fees incurred in connection with governmental investigations and proceedings and defense of the class action matters, and (iii) non-legal professional fees. Operating income in 2005 was also impacted by the $16 million decline in revenues over the same period. Fiscal 2004 results reflect $6 million in costs related to the ongoing billing review. Twelve Months ended December 31, 2005 Revenues: Preliminary, unaudited results indicate that the Company's revenues decreased from approximately $456 million for the twelve months ended December 31, 2004 to approximately $411 million for the comparable 2005 period. The decline in revenues is due to (i) a decrease in the volume of lines transcribed primarily related to clients for whom we no longer provide transcription services and (ii) reductions in transcription service rates due to pricing pressure in the medical transcription industry. Management expects that pricing pressure will continue for the foreseeable future but that the introduction of several new sales and improved customer service initiatives will cause transcription volume to stabilize or improve in 2006. Operating Income: Preliminary, unaudited results indicate that operating income declined $123 million from an operating income of approximately $25 million for the twelve months ended December 31, 2004 to an operating loss of approximately $98 million for 2005. The operating loss was attributable to the following: restructuring charges ($4 million), audit fees in connection with the Company's 2003, 2004 and 2005 fiscal years ($4 million), asset impairments ($2 million) and $101 million in costs incurred in 2005 related to the ongoing billing review, including: (i) customer accommodation payments and accruals ($65 million), (ii) legal fees incurred in connection with governmental investigations and proceedings and defense of the class action matters, (iii) non-legal professional fees, and (iv) costs associated with separation and replacement of the Company's management team, including members at the executive level. Operating income in 2005 was also impacted by the $44 million decline in revenues over the comparable period, which represents the impact of both the pricing pressures experienced most strongly in the first six months of 2005 and of volume declines throughout the twelve months ended December 31, 2005. Fiscal 2004 results reflect $15 million in costs related to the ongoing billing review. Balance Sheet Highlights: At December 31, 2005, the Company had $178 million in cash and cash equivalents and no debt. There were no additional issuances of capital stock or other securities for the twelve months ended December 31, 2005. The Company expects to incur significant costs and expenses in the future relating to the ongoing billing review, defense of the class action matters and governmental investigations and proceedings, and accommodation agreements. These costs and expenses include (i) legal fees relating to the SEC and Department of Justice investigations and proceedings, (ii) legal fees relating to defense and resolution of the litigation matters described above, (iii) customer accommodation payments and credits, and (iv) non-legal professional fees. The timing and level of these costs and expenses is, in many cases, not within the Company's control. While the Company is unable to predict the timing and level of these costs and expenses, the Company currently believes that it has sufficient resources, including cash on hand and cash flow from operations to fund these costs and expenses. However, there can be no assurance that unanticipated changes in the level of these costs will not exceed the Company's available cash resources, nor can there be any assurance that sufficient financing from external sources will be available to the Company on acceptable terms, if at all. In the event that the Company's cash requirements exceed its available cash resources, or if the timing of such costs and expenses requires the Company to divert cash resources away from operations, the Company may not be able to execute its operating plan, which could have a material adverse effect on the Company's business and results of operations. Other Developments Restructuring: As previously disclosed, in conjunction with the Company's movement to a single national service and support organization, a restructuring plan has been developed which consolidates approximately forty-eight (48) facilities and centralizes certain components of the business. The Company is expecting to incur restructure costs associated with this restructuring plan of up to $8.5 million and the restructuring is expected to generate annualized savings of approximately $18.5 million. Specifically, MedQuist has shifted resources to a single national service delivery and support organization for all of the Company's services and products, eliminating local service centers. This transition has resulted in the consolidation of approximately thirty-eight (38) facilities as of December 31, 2005, with ten (10) more scheduled over the next six months. The plan does not contemplate reductions of, and the Company has no current intentions to reduce, its medical transcription workforce. Rather, the Company will continue in its efforts to hire additional qualified transcriptionists. Further, although the Company is consolidating its local service centers as described above, customer-facing teams, led by account managers, will continue to coordinate customer support on the local level. The customer-facing teams will work with and be supported by the Company's centrally managed customer service organization.

PracticeXpert, Inc. announced the sale of its transcription business unit [2006-01-04]
CALABASAS, Calif., Jan. 3, 2006 (PRIMEZONE) -- PracticeXpert, Inc. (OTCBB:PXPT) today announced the sale of its transcription business unit to Transcend Services, Inc. (Nasdaq:TRCR). Commenting on the sale, Jonathan Doctor, president and CEO of PracticeXpert, stated, Transcend is very much like PracticeXpert. They utilize leading-edge software applications to deliver transcription services, just as PracticeXpert utilizes leading-edge software applications to deliver our physician revenue management services. Allowing Transcend to focus on providing our customers with transcription services will allow us to focus on what we do best -- outsourced billing and collections for medical practitioners. We consider this transaction much more than a sale of our transcription business unit. We see it as the beginning of a long-term partnership with Transcend. We intend to formalize a strategic marketing arrangement with Transcend under which they will be the transcription provider of choice to PracticeXpert customers, and Transcend will be able to offer our revenue management service, practice management systems, and electronic medical record systems to the thousands of physicians who currently use their services. Under the terms of the agreement with Transcend, PracticeXpert will receive up to $500,000, over three years, on an earn-out basis, with an initial payment on closing in the amount of $40,000. About PracticeXpert, Inc. PracticeXpert provides turn-key practice management services and technology solutions to medical practitioners that improve operational efficiencies and enhance cash flow. PracticeXpert offerings include medical billing, accounts receivable management, practice management, consulting, seminars, practice management software, electronic medical records software and related services. PracticeXpert bundles its technology applications with its billing and other practice management services to provide a complete and integrated solution to its physician customers. To find out more about PracticeXpert, Inc. (OTCBB:PXPT), visit our website at www.practicexpert.com.

Spheris to Acquire Vianeta Communications [2005-12-21]
Integrating Vianeta's open and scalable XML-based software into Spheris'existing medical transcription technology will also accelerate a host of otherinitiatives Spheris is currently executing and further developing for both itstechnology and service capabilities. Speaking on behalf of the entire Vianeta team, we are pleased to bejoining such an industry force, said Vianeta Chief Executive Officer RalphAceves. We are looking forward to becoming part of the Spheris mission tolead the medical documentation industry through superior services and best-in-class technology. Following completion of the transaction, Spheris will continue to serviceand enhance the Vianeta solutions currently deployed in the marketplace. The transaction, which is subject to customary closing conditions, isexpected to close in the first quarter of 2006. Financial terms of theparties' agreement were not disclosed.

Dragon NaturallySpeaking from Nuance Strengthens [2005-11-28]
Dragon NaturallySpeaking from Nuance Strengthens Foothold as Standard Speech Recognition Solution for Healthcare Industry Nuance Communications, Inc. (Nasdaq: NUAN), formerly ScanSoft, Inc., the leading provider of speech and imaging solutions for businesses and consumers around the world, today announced that its Dragon(TM) Dictation Solutions family has become the standard in speech recognition technology for the healthcare sector. Already in use at thousands of healthcare facilities worldwide, Dragon NaturallySpeaking(R) Medical, Dragon NaturallySpeaking(R) SDK (software developer kit), and the Dragon(TM) MT Workflow System can save healthcare organizations thousands of dollars per doctor each year in reduced or eliminated manual transcription costs by converting speech into text at up to twice the speed of the spoken word, automating the clinical documentation process and eliminating the high cost and long turnaround time associated with the manual transcription of patient notes. Nuance provides the healthcare industry with an unmatched set of speech recognition solutions, including Dragon NaturallySpeaking Medical, the world's best selling front-end speech recognition solution for electronic medical records systems, the Dragon NaturallySpeaking Server SDK, which enables the server-based processing and workflow of recorded patient information, and the Dragon MT Workflow System, a scalable, HIPAA compliant, web-based platform for end-to-end transcription processing The Dragon NaturallySpeaking family of products includes 14 pre-made medical specialty vocabularies, supports the creation of custom vocabularies, and delivers patent-pending roaming user capabilities to enable use within distributed care provider facilities. A growing number of healthcare vendors and integrators have joined with Nuance to speech-enable their healthcare solutions, including: Allscripts Healthcare Solutions; Cerner CoPath; ChartLogic, Inc; Clinical Content Consultants, LLC; Commissure; Dictaphone; DR Systems, Inc.; ERad; Guardian; IDX Systems Corporation; Instar; Meditech; Misys Healthcare Systems; Mountain Medical Technologies, Inc.; Northbase; NovaRad; Polaris-Danforth; SoftMed Systems; STI Computer Systems, Inc.; Structurad; Swearingen; ThinAir; Virtual Radiological Consultants; and Voicebrook. In addition, ScanSoft(R) Dragon NaturallySpeaking(R) has garnered accolades from respected publications worldwide, including CNet, Computer Reseller News, Forbes, The New York Times, PC Magazine, PC World, and SmartComputing. Nuance's Dragon Dictation Solutions apply highly accurate speech recognition to intelligent workflow processing solutions in order to reduce the costs associated with manually converting medical dictation into text, estimated at $10 billion in North America and $15 billion worldwide each year. Nuance delivers these solutions through its growing number of channel partners, including healthcare information systems vendors, systems integrators, digital dictation systems vendors and MTSOs. Dragon Dictation Solutions are used worldwide by physicians, records management and medical transcription teams within hospitals, clinics and physician practice organizations, as well as MTSOs to enhance their current transcription services businesses. Nuance Speech Solutions Nuance Speech Solutions make the user experience more compelling and expand business potential. Through its dictation, embedded and network speech solutions, Nuance offers the world's preeminent portfolio of speech technologies, expertise and solutions that transform the way people interact with businesses, information and each other. Today, thousands of companies and millions of users around the world depend on Nuance Speech Solutions to deliver vital information, increase productivity and conduct business. To experience the power of the spoken word, please visit nuance.com. About Nuance Communications, Inc. Nuance (Nasdaq: NUAN) is the leading provider of speech and imaging solutions for businesses and consumers around the world. Its technologies, applications and services make the user experience more compelling by transforming the way people interact with information and how they create, share and use documents. Every day, millions of users and thousands of businesses experience Nuance's proven applications and professional services. For more information, please visit nuance.com. Nuance, the Nuance logo, Dragon, and NaturallySpeaking are trademarks or registered trademarks of Nuance Communications, Inc. or its affiliates in the United States and other countries. All other company names or product names may be the trademarks of their respective owners.

MD-IT Expands to East Coast [2005-11-19]
MD-IT, an industry leader in integrating automated tools with medical transcription to assist physicians in documentation of medical care, announced today that Kathleen Humbert has joined the Company as Vice President of Business Development Eastern Region to lead its sales and business development efforts in the mid-Atlantic states. BALTIMORE, November 17, 2005 -- MD-IT, an industry leader in integrating automated tools with medical transcription to assist physicians in documentation of medical care, announced today that Kathleen Humbert has joined the Company as Vice President of Business Development Eastern Region to lead its sales and business development efforts in the mid-Atlantic states.Ms. Humbert comes to MD-IT with an extensive clinical background and 15 years of selling technology and services solutions in the healthcare industry. In addition to her experience as a provider, she spent 3 years selling document management solutions with Smart Corporation, and most recently held a senior sales role with CareMedic Systems, selling Revenue Cycle Management software to Hospitals. �I am very excited by the technology-supported transcription services offering of MD-IT,� said Ms. Humbert. This is the most logical approach to automating clinical visit documentation I have seen in the market.�The addition of Ms. Humbert is an expansion of the company�s plan to market its unique Intelligent Transcription� services. MD-IT�s goal is to make it easy for physicians to use twenty-first century technology in their medical practices without complicating their workload or distracting from physician-patient interactions. �Physicians have enough time demands just keeping up with medical advances in their specialty area, much less having time to research and apply the latest advances in information technology,� noted Thomas Carson, president and CEO of MD-IT. �Our business is to integrate new technology seamlessly into the medical transcription process, so that when an individual physician is ready to try a new tool, such as automated voice recognition, we can switch on that function as part of their existing transcription service. The best part is that the more technology is used, the less expensive documentation becomes, so we can actually help a medical practice decrease operating costs over time while creating an electronic record.About MD-ITMD-IT provides Intelligent Transcription services and products to over 300 physicians in 90 group practices. Intelligent Transcription uses new technology to transform old services by providing a full range of automated tools that enable fast and easy document creation and exchange among physician offices, medical transcriptionists and information systems, while retaining personalized service to support individual physician preferences. Located in Denver, Colorado, the company is financed by equity investments from strategic partners and private investors. Additional information can be found at www.md-it.com.Contact:Thomas Carson, President and CEO 720-932-6262 x411

TRANSCEND: appointment of Lance Cornell as Chief Financial Officer [2005-11-02]
TRANSCEND SERVICES, INC. today announced the appointment of Lance Cornell as Chief Financial Officer. Mr. Cornell replaces Mr. Mark D. Meersman, who has decided to return to the position of partner-in-charge of inProcess Consulting, a management consulting firm that he left six months ago to join Transcend. Mr. Cornell is a Certified Public Accountant with over 18 years of experience in accounting, finance and financial management, including controller and chief financial officer positions with publicly traded companies. Prior to joining Transcend, Mr. Cornell was Chief Financial Officer for nearly five years at Facility Resources, Inc., a private consulting firm specializing in facility-related project management, systems implementation and outsourcing for large corporations. Prior to that experience, Mr. Cornell served in chief financial officer and controller positions in two separate publicly traded companies in the healthcare information systems industry. Mr. Cornell received a B.S. degree in Finance with highest honors from the University of Colorado. Larry Gerdes, the Company's President and Chief Executive Officer, commented on the announcement: We welcome Lance's financial executive experience to our executive management team and thank Mark for his many and varied contributions to our Company. Mark has assisted the company in the automation and analysis of financial data that will prove helpful as we focus on improving our overall profitability. Lance not only understands the challenges facing the Company, but also sees the opportunities for the Company to grow and prosper in the $6 billion market for medical transcription services in the United States. We are particularly excited about his experience in planning and financing growth strategies, including acquisitions. Mr. Cornell commented: I am excited about the potential effects that the Company's BeyondTXT speech recognition functionality and its strategic acquisition initiative should have upon the Company's financial performance. I look forward to helping the Company achieve its growth and profitability objectives. About Transcend Services, Inc. Transcend believes that accurate, reliable and timely transcription creates the foundation for the patient medical record. To this end, the Company has created Internet-based, speech recognition-enabled voice-to-text systems that allow its skilled medical language specialists to securely and quickly produce the highest quality medical documents. The Company's wide range of transcription services encompass everything needed to securely receive, transcribe, edit, format and distribute electronic copies of physician-dictated medical documents, from overflow projects to complete transcription outsourcing. For more information, visit http://www.transcendservices.com.

MedQuist Names Scott Bennett as Senior Vice President [2005-11-01]
MedQuist Inc.(Pink Sheets: MEDQ) today announced the appointment of Scott Bennett as itsnew senior vice president of Sales and Marketing. He will join Medquist onNovember 1. Bennett comes to the company with more than 20 years ofexperience in the healthcare technology sales and marketing field, including aproven track record in developing and leading high performing sales andmarketing organizations. Bennett will lead a newly integrated sales andmarketing function, which MedQuist unveiled earlier this month. Bennett was most recently the senior vice president of Sales and Marketingat Scheduling.com d/b/a SCI Solutions, Inc., where he rebuilt the company'smarketing, sales and sales support infrastructure and processes, as well ashelped lead the company to record revenue and profit growth. Prior to holdingthat position, Bennett was the vice president, Corporate Sales, at SiemensMedical Solutions, USA. During his tenure at Siemens, he led the regionalsales teams to win and close the company's largest transactions, includingnegotiating the company's first Information Technology strategic allianceagreement. Bennett also spent 17 years with Shared Medical Systems in avariety of increasingly responsible sales and marketing leadership positions. I am excited to be joining the MedQuist team, says Bennett. MedQuistis already the world leader of outsourced transcription services, and ispositioned to play an even larger role in assisting health providers as theypopulate, safeguard and digitally transport patients' Electronic HealthRecords where and when they are needed. MedQuist is right at the forefront ofthe future of healthcare technology.

MTBC Announces the First Annual New Jersey Medical Malpractice Forum [2005-10-27]
Oct. 26, 2005--Medical Transcription Billing, Corp. (MTBC), the 4% medical billing and free EMR company, together with Commerce Bank, the region's fastest growing financial services organization, and NJPure, the not-for profit New Jersey medical malpractice insurer, sponsor the First Annual New Jersey Medical Malpractice Forum. This informative session will highlight the specific actions a healthcare provider should take to manage medical malpractice costs and exposure. The forum features a panel comprised of State Senator Diane B. Allen, Assemblyman Upendra J. Chivukula, plaintiffs' attorney Rosemary Pinto, of Feldman Pinto, and medical malpractice insurance expert Eric S. Poe, of NJPure. This forum comes at a time when New Jersey physicians continue to face increasing pressures from insurance carriers as well as rising expenses, most notably rising medical malpractice premiums. David Rosenblum, president of MTBC, addressed the importance of hosting this forum, There are tangible actions physicians can take to address the mounting concerns of malpractice; this forum will give them the opportunity to hear from and discuss these issues with people who are actively addressing them. We invite physicians to hear from political representatives, industry leaders, and experts who are taking the necessary steps to help protect them, their colleagues, and their patients. We are excited to host this forum with Commerce and NJPure, two organizations that share our passion for helping physicians lower their cost of doing business by providing better alternatives and excellent support, said David Rosenblum. The forum features dinner, discussion and a question and answer session with this distinguished panel. It will be held at 6:00 PM on Wednesday, November 16, 2005, at the Ramada Inn Conference Center in North Brunswick, New Jersey. Attendance at the forum is free of charge. Physicians are invited to reserve a seat by visiting www.MTBC.com.