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Zix Corporation Selected by Memorial Hermann Healthcare System With Three-year Contract for Secure e-Messaging Services

Texas' Largest Nonprofit Healthcare Organization Chooses ZixCorp

DALLAS, Oct 12, 2004 (BUSINESS WIRE) -- Zix Corporation (ZixCorp(R)), (Nasdaq:ZIXI), a global provider of secure e-messaging, e-prescribing, and e-transaction applications and services, today announced that Memorial Hermann Healthcare System, the largest nonprofit, community-based healthcare organization in Texas, has selected ZixCorp to meet its secure e-messaging needs. Memorial Hermann signed a three-year contract that includes the purchase of ZixVPM(R) (Virtual Private Messenger), ZixPort(R), and ZixAuditor(R) services to help the organization meet the April 2005 security deadline of the Health Insurance Portability and Accountability Act of 1996 (HIPAA).

Memorial Hermann will deploy ZixVPM to encrypt email messages system-wide for up to 15,000 email users to protect inbound and outbound communications. The service also includes a HIPAA lexicon that recognizes Protected Health Information (PHI) to ensure compliance and patient confidentiality. ZixPort will provide custom branding and encrypted messaging capability to the organization's Web site. Memorial Hermann will also conduct a post-deployment ZixAuditor email assessment to ensure ongoing e-messaging compliance and efficiency.

"We were very impressed with ZixVPM's HIPAA lexicon," said Linda Kulhanek, assistant vice president of ISD Professional Services for Memorial Hermann. "We conducted extensive comparisons and ZixCorp did a superior job in detecting PHI and ensuring our email process is confidential and efficient."

For nearly a century, Memorial Hermann has been a leading healthcare provider for the greater Houston and southeast Texas communities. Memorial Hermann's facilities and programs include nine acute care hospitals, two long-term acute care hospitals, a physician network for primary and specialty care, retirement living and nursing homes, wellness programs, rehabilitation and home health programs, and an air ambulance service.

"The work of the ZixResearch Center(TM) and our extensive knowledge of HIPAA email privacy concerns has resulted in a healthcare industry lexicon that is unsurpassed. This comprehensive product combined with our thorough understanding of healthcare customer needs and unmatched customer satisfaction record has made us a leader in secure e-messaging services for healthcare," said Rick Spurr, president and chief operating officer for ZixCorp. "We are proud to have Memorial Hermann join our long list of valued healthcare customers."

About Memorial Hermann Healthcare System

Memorial Hermann, a nonprofit healthcare system, provides quality, comprehensive programs and services for a person's whole life. Through its 12 hospitals located in the Texas Medical Center and the greater Houston area, Memorial Hermann takes a patient-centric approach to healthcare -- offering the convenience of healthcare in neighborhoods where people live and work as well as easy access to the resources and technology of a university-affiliated teaching hospital. For more information, visit www.memorialhermann.org.

About Zix Corporation

Zix Corporation (ZixCorp(R)) is a global provider of secure e-messaging, e-prescribing, and e-transaction applications and services. ZixCorp offers a range of solutions to protect organizations from viruses, spam, and electronic attack, as well as enabling secure electronic communications, such as email encryption, e-prescribing, on-line doctor visits, and electronic lab results. ZixCorp helps organizations of any size to streamline operations, reduce risks, and leverage the efficiencies of e-messaging. For more information, visit www.zixcorp.com.

SOURCE: Zix Corporation

Zix Corporation, Dallas
Media Relations:
Christa Osswald, 214-370-2175
cosswald@zixcorp.com
or
Investor Relations:
Peter Wilensky, 214-515-7357
invest@zixcorp.com