LMS Medical unveils new obstetrics safety program with leading malpractice insurer

    MONTREAL, July 31 /CNW Telbec/ - LMS Medical Systems (TSX:LMZ), a
healthcare technology company and developer of the CALM(R) patient safety
software suite for obstetrics, today announced that the Company in conjunction
with Princeton Insurance has launched a "best practices for obstetrics"
initiative. The program is facilitated by a team of LMS specialists with a
deep understanding of the labor and delivery environment and related
malpractice concerns. Princeton Insurance protects the majority of New
Jersey's physicians, dentists and chiropractors, along with thousands of
allied health professionals and many of the state's hospitals and health
systems. Princeton is commencing initial implementation of the LMS program at
a hospital within its insured base.
    The LMS offering, known as OB PEP(TM) - Obstetrical Performance
Excellence Program - focuses on patient safety imperatives to support
continuous performance improvement in labor and delivery. Obstetrics
represents one of the highest risk specialties in healthcare and OB PEP
provides assistance in mitigating that risk. The program is designed to assist
clinical teams in the optimization of their assessments of clinical risk and
their action plans in the pursuit of excellence for safe, quality care.
    "Princeton Insurance has partnered with New Jersey hospitals for more
than three decades and this new alliance with LMS will further our mission to
protect New Jersey healthcare providers and partner with them to provide
outstanding patient care," said Charlie Lefevre, Princeton Insurance President
and CEO.
    "The OB/PEP offering is a natural extension of our services," said
Diane Côté, CEO and President of LMS. "As with Princeton Insurance, we have a
long standing tradition and commitment to providing safer care for all

    About Princeton Insurance

    Princeton Insurance, headquartered in Princeton NJ, is the leading
medical malpractice insurer in New Jersey, serving the state's hospitals and
individual healthcare professionals since 1976.

    About LMS

    LMS is a leader in the application of advanced mathematical modeling and
neural networks for medical use. The LMS CALM Clinical Situational
Awareness(R) Suite provides physicians, nursing staff, risk managers and
hospital administrators with clinical information systems and risk management
tools designed to improve outcomes and patient care for mothers and their
infants during childbirth.

    Except for historical information contained herein, the matters discussed
in this news release are forward-looking statements. Because these
forward-looking statements involve risks and uncertainties, there are
important factors that could cause actual results to differ materially from
those expressed implied by the forward-looking statements including, but
without limitation, economic conditions in general and in the healthcare
market, the demand for and market for our products in domestic and
international markets, our current dependence on the CALM product suite, the
challenges associated with developing new products and obtaining regulatory
approvals if necessary, research and development activities, the uncertainty
of acceptance of our products by the medical community, the lengthy sales
cycle for our products, third party reimbursement, competition in our markets,
including the potential introduction of competitive products by others, our
dependence on our distributors, physician training, enforceability and the
costs of enforcement of our patents, potential infringements of our patents
and the other factors set forth from time to time in the Company's filings
with the United States Securities and Exchange Commission and with the
Canadian Securities Commissions. The Company has no intention of or obligation
to update or revise any forward-looking statements, whether as a result of new
information, future events or otherwise.

For further information:

For further information: about Princeton Insurance: Tom Snyder, Vice
President, Healthcare Risk Services, Princeton Insurance, (800) 334 0588,
www.princetoninsurance.com; about LMS Medical Systems: Andrea Miller,
Communications, LMS Medical Systems Inc., (514) 488-3461 Ext. 222, Fax: (514)
488-1880, investor@lmsmedical.com, www.lmsmedical.com; David Burwell/Grant
Howard, The Howard Group Inc., Toll Free: 1-888-221-0915,
Info@howardgroupinc.com, www.howardgroupinc.com

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