Netsmart Technologies Signs $2,900,000 Upgrade Contract With the State of Tennessee Netsmart to Implement Its Avatar Suite of Products and Third Party Solutions GREAT RIVER, N.Y., July 20 /PRNewswire-FirstCall/ -- Netsmart Technologies, Inc. (NASDAQ:NTST), a leading supplier of enterprise-wide software for health and human services providers through its wholly owned subsidiary, Creative Socio-Medics (Creative), today announced that Creative has been awarded a $2,900,000 five-year contract by the Tennessee Department of Mental Health and Developmental Disabilities (MHDD). The contract includes software license, professional services, and maintenance agreements to install the Avatar suite of human services software, specifically the Avatar practice management, computerized physician order entry (CPOE), and electronic medical records. Also included in this contract is the purchase of a pharmacy information system that will be interfaced to Avatar. James Gargiulo, Senior Vice President of Creative said, "This upgrade contract shows the strength of our Avatar suite of products for statewide and county human services information systems. Creative's technology, product strategy and commitment to a long-term partnership were the strongest factors that convinced the State of Tennessee to upgrade with us." The Department of Mental Health and Developmental Disabilities (DMHS) provides and/or contracts for treatment and support services, particularly those services that complement mental health services provided by TennCare, for adults with a mental illness and children with a serious emotional disturbance, and for developmental disabilities clients. The department is responsible for: * Regulatory oversight to ensure that state planning and policies reflect current business practices and treatment options. * Competency to stand trial and insanity defense evaluation and treatment services for individuals involved in the criminal justice system; mental health evaluation for children involved in the justice system. * Activities that support the development of housing options for adults with a mental illness. * Activities that promote interagency collaboration in planning and implementing services for children with serious emotional disturbance. * Support of consumer and family run programs that provide mental health education, support and advocacy. * Pre-Admission Screening and Annual Resident Review (PASARR) for persons seeking admission to a nursing home. * Interstate and inter-facility transfers. * Administration and oversight of state and federal funds allocated for mental health/mental retardation services. * Facilitation of the Statewide and Regional Mental Health Planning Councils' activities. DMHS oversees and monitors the five regional mental health centers (RMHIs) which provide in-patient psychiatric services to persons with serious mental illness. DMHS monitors the RMHIs for quality, based on the standards and requirements of the Joint Commission on Accreditation of Healthcare Organizations (JCAHO), Medicaid/Medicare, the U.S. Department of Justice and Tennessee law and regulations. All RMHIs have been fully accredited by the JCAHO since 1978. "We continue to execute our plan to achieve success in the health and human services marketplace. This contract demonstrates our ability to participate in substantial engagements that separate our company from our competitors in the MHDD marketplace. We fully expect to satisfy client demand by providing the best solutions and services available in this sector" said James Conway, CEO of Netsmart Technologies, Inc. About Netsmart Technologies, Inc. Netsmart Technologies, Inc. of Great River, NY, through Creative Socio-Medics, is an established, leading supplier of enterprise-wide software solutions for health and human services providers with over 600 clients, including 26 systems with state agencies. Creative's clients include health and human services organizations: public health agencies, mental health and substance abuse clinics, psychiatric hospitals, and managed care organizations. Avatar Practice Management and the Avatar Clinician Work Station, Creative's core products, are full-featured information systems that operate on a variety of operating systems, hardware platforms, and mobile devices and offer unlimited scalability. Statement on Behalf of Netsmart Technologies, Inc. Statements in this press release may be "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as "anticipate," "believe," "estimate," "expect," "intend" and similar expressions, as they relate to the company or its management, identify forward-looking statements. These statements are based on current expectations, estimates and projections about the company's business based, in part, on assumptions made by management. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Therefore, actual outcomes and results may, and probably will, differ materially from what is expressed or forecasted in such forward-looking statements due to numerous factors, including those described above and those risks discussed from time to time in Netsmart's filings with the Securities and Exchange Commission. In addition, such statements could be affected by risks and uncertainties related to product demand, market and customer acceptance, competition, pricing and development difficulties, as well as general industry and market conditions and growth rates, and general economic conditions. Any forward-looking statements speak only as of the date on which they are made, and the company does not undertake any obligation to update any forward-looking statement to reflect events or circumstances after the date of this release. Information on Netsmart's or Creative's website do not constitute a part of this release. DATASOURCE: Netsmart Technologies, Inc. CONTACT: Ron Marge of Netsmart Technologies, +1-800-421-7503, ext. 2026, ; or Stuart Fine of Carpe DM, Inc., +1-908-490-0075, Web site: http://www.netsmartech.com/

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