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Streamlining Managed Care
Chris Boue, President & CEO, CH Mack
Overview
• Market opportunity
   Commercial and government Managed Care have significant
    annual market opportunity for enterprise software, given
    dynamic growth of the US Healthcare system with critical
    efficiency and quality needs
• Market needs
   Decrease cost via administrative efficiencies and integrated
    systems
   Increase competiveness and compliance via care
    management tools
Overview
• CH Mack Products
   Both a lower price/quick start/rich functionality solution and an
    advanced technology, rich functionality, top tier solution

• CH Mack Leadership
   Fully built-out executive team with Fortune 50 and start-up
    healthcare technology experience
• CH Mack Financials
   140% increase in revenues in ‘08 with 85% of ‘09 revenue
    contracted
HealthCare Costs Must be
             Managed


            US Costs (In Trillions)
4
3
2
1
0
    2003   2006     2007       2010   2011
Effective and Efficient Healthcare
               Incentives



               Resource
               Allocation


                Process &
               Technology


                  EMRs
                  Health
               Information
               Integration
                   Care
              Management
Healthcare Top Payers
 Percentage of Healthcare dollars spent


          12
      7                               Commercial
                   35
                                      Government
                                      Other
                                      Patients
          46
Managed Care Drivers of
Effectiveness and Efficiency
      Latest Platform Technology
         Integration Versatility
            Highly Scalable
        Regulatory Compliance
        Utilization Management
          Case Management
        Standardized Workflow
       Administrative Processes
         Disease Management

        Quick Deployment
       Standard Assessment
       Low Acquisition Cost
Disruptive Market Strategy
    - Latest
      technology
    - Scalable
      platform
    - Built for
      integration
    - Workflow
      change,
      tools



                    - Quick
                      Implementation
                    - Ready
                      assessments
                    - Low costs for
                      full feature sets
Chris Boue, CEO
  Business Growth History
                   Led Sales – Value Multiple of
                   3.2 over 7 years
McKesson
                           Led Operations – Value
                           Multiple of 6.5 over 10
                           years
    SDS
                                       CEO – Projected
                                       Value Multiple of 10.7
                                       over 5 years
CH Mack



           0   2   4       6       8         10       12
Attracting the Best Minds
 Nat. Sales Director                                  VP, Engineering
• 18 yrs. health IT                                • 12 yrs. technology
  sales experience                                   thought leader
                                       Product
                            Sales
• Previous sales of                                • Sold previous
                                     Development
  $11.5 million within                               company to
  2 ½ yrs.                                           McAfee, Inc.




                           Finance   Operations
         CFO                                           VP, Services and
• 14 years experience in                            VP, Product Strategy
                                                   • Service leaders for
  venture capital
                                                     Cerner, top-tier EMR
  financing; advancing
                                                     company, in
  efforts to become
                                                     operations and
  publicly held
                                                     implementation
  companies
CH Mack: a solid foundation with
a growth future…
                             Revenue Growth


                                            5,050,000




                                2,046,285

     1,201,659   1,376,881




     2002        2004           2007        2008
Going Forward,
        CH Mack will Focus on
• Aggressively growing revenues as technology
  demands increase in managed care
• Executing on our current implementations via
  experienced leadership and sector experience
• Further developing our advanced platforms based on
  market-driven demand
• Positioning CH Mack for success

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Health Tech Investment Presentation

  • 1. Streamlining Managed Care Chris Boue, President & CEO, CH Mack
  • 2. Overview • Market opportunity  Commercial and government Managed Care have significant annual market opportunity for enterprise software, given dynamic growth of the US Healthcare system with critical efficiency and quality needs • Market needs  Decrease cost via administrative efficiencies and integrated systems  Increase competiveness and compliance via care management tools
  • 3. Overview • CH Mack Products  Both a lower price/quick start/rich functionality solution and an advanced technology, rich functionality, top tier solution • CH Mack Leadership  Fully built-out executive team with Fortune 50 and start-up healthcare technology experience • CH Mack Financials  140% increase in revenues in ‘08 with 85% of ‘09 revenue contracted
  • 4. HealthCare Costs Must be Managed US Costs (In Trillions) 4 3 2 1 0 2003 2006 2007 2010 2011
  • 5. Effective and Efficient Healthcare Incentives Resource Allocation Process & Technology EMRs Health Information Integration Care Management
  • 6. Healthcare Top Payers Percentage of Healthcare dollars spent 12 7 Commercial 35 Government Other Patients 46
  • 7. Managed Care Drivers of Effectiveness and Efficiency Latest Platform Technology Integration Versatility Highly Scalable Regulatory Compliance Utilization Management Case Management Standardized Workflow Administrative Processes Disease Management Quick Deployment Standard Assessment Low Acquisition Cost
  • 8. Disruptive Market Strategy - Latest technology - Scalable platform - Built for integration - Workflow change, tools - Quick Implementation - Ready assessments - Low costs for full feature sets
  • 9. Chris Boue, CEO Business Growth History Led Sales – Value Multiple of 3.2 over 7 years McKesson Led Operations – Value Multiple of 6.5 over 10 years SDS CEO – Projected Value Multiple of 10.7 over 5 years CH Mack 0 2 4 6 8 10 12
  • 10. Attracting the Best Minds Nat. Sales Director VP, Engineering • 18 yrs. health IT • 12 yrs. technology sales experience thought leader Product Sales • Previous sales of • Sold previous Development $11.5 million within company to 2 ½ yrs. McAfee, Inc. Finance Operations CFO VP, Services and • 14 years experience in VP, Product Strategy • Service leaders for venture capital Cerner, top-tier EMR financing; advancing company, in efforts to become operations and publicly held implementation companies
  • 11. CH Mack: a solid foundation with a growth future… Revenue Growth 5,050,000 2,046,285 1,201,659 1,376,881 2002 2004 2007 2008
  • 12. Going Forward, CH Mack will Focus on • Aggressively growing revenues as technology demands increase in managed care • Executing on our current implementations via experienced leadership and sector experience • Further developing our advanced platforms based on market-driven demand • Positioning CH Mack for success