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Zix Corporation to Provide HealthEast Care System with Organization-wide, HIPAA-compliant Email Protection Services

DALLAS, Mar 27, 2003 (BUSINESS WIRE) --

Minnesota healthcare network to meet April 14 HIPAA deadline with ZixVPM(TM), ensuring control over e-messaging security and interoperability with the healthcare community

Zix Corporation (ZixCorp(TM)), (Nasdaq:ZIXI), a global provider of secure e-messaging management and protection services, today announced that HealthEast Care System, a nonprofit healthcare system based in St. Paul, Minn., has selected ZixCorp to provide email protection services for 2,500 users to comply with the mandates of the Health Insurance Portability and Accountability Act of 1996 (HIPAA) concerning Protected Health Information (PHI) by the April 14 deadline.

HealthEast will deploy ZixCorp's policy-based content management and encryption gateway solution, ZixVPM(TM) (Zix Virtual Private Messenger(TM)), to manage and protect its email communications while ensuring interoperability with the broader healthcare community. ZixVPM, which is equipped with the sophisticated content filtering engine needed to perform the complex pattern matching and analysis required for processing information in accordance with federal and state regulations and company-specific policies, will filter HealthEast's email to determine which messages need encryption to address HIPAA compliance. HealthEast has also purchased ZixPort(TM), a custom-branded, secure e-messaging portal that enables secure communications with patients, partners, and others. To help analyze its email requirements, HealthEast conducted an initial ZixAuditor(TM) assessment last year and will use the unique analysis service again in a post-implementation phase to refine its policies and monitor compliance of ongoing communications.

"We're extremely pleased with the ability of ZixCorp to give us the comprehensive control we need over our e-messaging, while helping us cut down on our overhead," said Paul Johnson, information security director for HealthEast. "ZixVPM automatically filters all our outgoing email with ZixCorp's built-in HIPAA lexicons and protects us system-wide from accidental PHI leaks. ZixCorp's update service keeps the filtering lexicons current, and a post-implementation audit with ZixAuditor will help us monitor the effectiveness of our solution and refine company-specific policies, as needed. We looked at proposals from other vendors, but found that ZixCorp's full suite of interoperable, fully integrated services is the best value in the marketplace."

HealthEast also plans to direct its affiliated doctors to the HealthyEmail(TM) program, leveraging the free two-year licenses of ZixMail(TM), ZixCorp's award winning desktop encryption program available through the program for physicians nationwide. The goal of HealthyEmail, a nonprofit organization created to maximize and accelerate the adoption of email usage in the healthcare industry, is to develop and disseminate guidelines, educational materials, and tools relating to email communications for the healthcare community. Upon joining the HealthyEmail program, physicians will be able to seamlessly exchange secure email messages to HealthEast and other ZixCorp customers, as well as use ZixMail's send-to-anyone capabilities to communicate securely with their patients and others.

"We are honored to have earned the business of HealthEast, who understands the benefits to the industry of widespread interoperability of secure e-messaging," said Daniel S. Nutkis, vice president of strategy and products for ZixCorp. "As with all our customers, we want to ensure that HealthEast has a solution for secure e-messaging protection that enables it to continue to communicate efficiently and cost effectively with its wide range of partners and patients without impacting end users. The continuous rapid adoption of ZixCorp services by national and regional leaders in healthcare, such as HealthEast and support of national initiatives such as the HeatlhyEmail program, enhances the effectiveness and efficiency of secure e-messaging in the healthcare industry and benefits the entire industry."

About HealthEast Care System

HealthEast Care System is a community-focused, nonprofit healthcare system that provides a full spectrum of family health services. Hospitals include St. Joseph's Hospital, St. John's Hospital, Woodwinds Health Campus and Bethesda Rehabilitation Hospital. Other services include hospitals, physician clinics, senior care centers, rehabilitation facilities, hospice, home care, outpatient surgery centers, and a variety of other health facilities and programs. HealthEast has approximately 7,500 employees and has more than 1,300 physicians on staff. Locally owned and operated, HealthEast is the largest health care provider in the Twin Cities' East Metro area. For more information, visit www.healtheast.org.

About Zix Corporation

Zix Corporation (ZixCorp(TM)) is a global provider of e-messaging management and protection services. ZixCorp offers a portfolio of managed on-site and hosted e-messaging solutions to protect organizations from viruses, spam, and electronic attack, while delivering the ability to enforce corporate policies and securely send to anyone. ZixCorp's advisory services and secure e-messaging solutions enable organizations of any size to streamline operations, avoid obsolescence, mitigate risks, and leverage the cost and time efficiencies of e-messaging. For more information, visit www.zixcorp.com.

CONTACT:          ZixCorp, Dallas
                  Media Contact:
                  Whitney Gilliam, 214/515-7338
                  wgilliam@zixcorp.com
                  or
                  Investor Contact:
                  Beverly V. Fuortes, 214/515-7357
                  invest@zixcorp.com
                  www.zixcorp.com