Evolution Health Fact Sheet

(see press release, placement)

The Company

Evolution Health, LLC was founded to develop products and services designed to support the evolution toward consumer-directed health care funding. The company's founders recognize that employers and employees are seeking better ways to finance health care services. And while they don't want to abandon current systems entirely, administrators, employers and employees are eager to integrate choice, flexibility, personal control and convenience into their benefit plans - all elements built into the company's first product marketed by its Evolution Benefits (EB) division: the Benny Card.

The Product

The Benny Card has applied the technology of stored-value MasterCard® cards first to flexible spending accounts (FSAs), making it easier for employees to access the pre-tax dollars they've set aside. Through its unique features, the Benny Card offers employers, employees and administrators enhanced convenience and savings (in time, money and paperwork), while paving the way toward new levels of individual responsibility. The company sees application of Benny beyond FSAs and is working with several national health plan companies on the potential use of the Benny Card to power their new product designs. For more information about Evolution Benefits and the Benny Card, visit www.EvolutionBenefits.com.

Overall Facts About Evolution Health

Founded: Summer of 2000
By: Robert E. Patricelli, former founder and CEO of Value Health, along with senior managers from Value Health and other health care companies
Funded: Privately, principally by Robert Patricelli and his affiliated companies
Organization: limited liability company
Headquarters: Avon, Connecticut
Employees as of January 2002: 22
Nationwide Benny Card Product Launch: January 1, 2002
Target markets: Large employers (2,000+ employees), third party administrators, insurers, and pharmacy benefit management companies
Initial Customers: 4, including Connecticut-based Northeast Utilities, a Fortune 500 company and one of the nation's top 20 utilities with 8,000 employees
Benny Cards in circulation as of 1/1/02: 2,500+
Total FSA contributions for cards in circulation: $1.2 million

Our Leadership Team

Robert E. Patricelli, Evolution Health Chairman and CEO
Andrew W. Dahl, Evolution Benefits Division President and CEO
Denise J. Steele, Chief Operating Officer
Patrick J. Murphy, Senior Vice President and Chief Financial Officer
Christopher M. Byrd, Senior Vice President of Strategy and Development
Donna E. Porritt, Senior Vice President of Sales and Marketing
Paul L. Chabot, Vice President and Chief Information Officer

Benny Card Partners and Affiliates

MasterCard International, Purchase, NY
The Benny Card is a special purpose stored-value MasterCard® card, and can be used at any health care provider that accepts MasterCard.

Wildcard Systems, Sunrise, FL
EB's payment processor and the company that developed the payment application for the Benny Card is the nation's leading provider of stored-value cards. WCS also maintains the EB database, accepts and transmits data to our clients, and provides reporting.

BANKFIRST, Sioux Falls, S.D.
The Benny Card is sponsored by BANKFIRST, one of the nation's leading card-issuing banks. BANKFIRST allows EB to use one of its "program slots," or bank identification numbers, and provides the banking infrastructure necessary to run the Benny Card program with MasterCard.

Leading Pharmacy Benefit Managers (PBMs).
The nation's leading PBMs, including Advance PCS, Merck-Medco, and Express Scripts among others, participate in processing for substantiation of pharmacy transactions and in marketing efforts.

Benny Card Facts

  • At one company, enrollment in FSAs more than doubled as a result of the Benny Card, which heightened awareness of the FSA's value and increased total contributions by nearly 50%.
  • Within 10 days of the Benny Card launch, more than 55% of cards had been activated; the number of activations grows daily.
  • Of the total Benny Card activations to date 75% were via phone/ IVR, 25% via Benny Card web site.
  • 99% of web activators supplied email addresses to receive future Benny Card communications.
  • Where transactions have occurred most frequently to date:
    - Drug Store / Pharmacy 51%
    - Physician 32%
    - Dental / Ortho 9%
    - Vision 8%
  • Average transaction amount to date: $100

Contact: Elayne Cree
Cree Communications
909-590-3262 (10 am to 8 pm Eastern Time)
elayne@creecommunications.com

Donna Porritt
Evolution Health, LLC
860-678-3471 (9 am to 6 pm Eastern Time)
dporritt@evhinc.com