Press Releases

TIGroup Signs Key Strategic Agreements

LOS ANGELES - April 1, 2008 -- Tri-Isthmus Group, Inc. (TIGroup) (Pink Sheets: TISG), a provider of financial solutions to the healthcare industry, today announced that it has signed strategic agreements with two leading healthcare infrastructure and operational support companies.

After a lengthy evaluation process, TIGroup has chosen PHNS Inc. (PHNS) and Financial Resource Group, LLC (FRG) as strategic partners due to their outstanding reputations, best of class solutions and demonstrated abilities to significantly improve the bottom-line performance of their clients on an accelerated basis. These new relationships will facilitate TIGroup's growth by enabling the company to concentrate its resources on expanding its geographic footprint, increasing its network of physician partners, and expanding the depth and breadth of its offerings.

PHNS is a Dallas-based company that provides a suite of strategic solutions including information technology, health information management and patient accounting/business office services to hospitals and multi-facility healthcare systems. PHNS employs more than 1,500 professionals and has realized more than $60 million in cost savings for PHNS' hospital partners since 1999.

FRG, also located in Dallas, is a healthcare consulting company that offers cost-effective, innovative management and finance solutions, including finance, accounting, and supply chain services, to complex problems all targeted at increasing financial viability of its hospital, health system and physician clients. FRG's partners bring over 150 years of healthcare experience to its consulting engagements.

TIGroup Chairman and CEO David Hirschhorn said, "By partnering with PHNS and FRG, we are pioneering an innovative approach to bring the advanced and centralized managerial, IT and financial solutions of large, urban market healthcare providers to rural hospitals and clinics. We are committed to achieving operational excellence across each of our portfolio companies. Working with PHNS and FRG will enable us to optimize all aspects of our operations, from administration and receivables collection to supply chain management. We also believe we can gain considerable efficiencies from information technology, particularly in the areas of electronic medical records and patient admittance. Through TIGroup and these strategic relationships, our physician partners will have full access to previously cost-prohibitive solutions available only to much larger healthcare providers."

Dennis Smith, CFO of TIGroup, said, "The ability to statistically track all aspects of our business, financial performance and productivity of our rural hospitals and clinics, while delivering timely and reliable managerial accounting data, is a core focus for TIGroup. We’re especially pleased to be able to accomplish these goals in partnership with industry-leading companies like PHNS and FRG. We envision these relationships will continue to evolve over time as we meet mutually agreed upon operational milestones."

Rick Kneipper, Chief Administrative Officer and Co-Founder of PHNS, said, "We see tremendous potential at TIGroup - both in their business model as well as the operational efficiencies we can help their facilities achieve. Combining PHNS' capabilities with the opportunities TIGroup is pursuing will significantly expand the footprint of both companies. The critical back-end support that PHNS and FRG will provide to TIGroup under this new relationship will dramatically improve the quality of patient care in rural areas. We’re honored to be working with TIGroup."

Matt Nelson, Partner of FRG, said, "We are excited about the opportunity to become a key contributor to the growth of a company we hold in high regard. We look forward to leveraging TIGroup's innovative business model, managerial expertise and fundraising abilities to better serve physicians and patients in rural markets. Our portfolio of services, combined with that of PHNS, fits well with TIGroup's vision, and we look forward to jointly serving these historically neglected areas."

About PHNS: PHNS provides information technology (IT) services for hospitals, other healthcare providers and businesses. PHNS' IT services include application hosting, co-location and managed services; electronic off-site data back-up and data vaulting; business continuity solutions; disaster recovery services; and systems integration services. PHNS also provides comprehensive business process solutions for hospitals including health information management (including medical record management and storage, transcription, coding, release of information and electronic medical record services), advisory and receivables management services. PHNS creates business-healthy hospitals by improving operations, enhancing technology and increasing cash on hand, which allows hospitals to focus on their core competency--patient care. PHNS has approximately 900 customers, including approximately 400 hospital IT and business process customers and approximately 500 IT customers. PHNS is headquartered in Dallas, Texas. See www.phns.com for additional information about PHNS.

About Financial Resource Group, LLC: FRG is a healthcare consulting company dedicated to putting the client in control of its financial future by providing services that meet the client's unique needs. The company offers cost-effective, innovative management and finance solutions through its various service offerings including operational financial performance improvement services, financial advisory services, transitional management services and supply chain services. We provide health system, hospital and physician clients with expertise that positively impacts profitability and performance. FRG's partners bring over 150 years of healthcare experience to the company's consulting and outsourcing engagements. Their experience includes work with all types of healthcare institutions including for-profit, governmental, not-for-profit and faith-based hospitals, systems and physicians. FRG is headquartered in Dallas, Texas. For more information, visit www.frgroup.net.

About Tri-Isthmus Group, Inc.: TIGroup is a financial solutions provider focused on healthcare services operations designed to deliver quality healthcare outside of traditional urban hospital settings. The company is building a portfolio of interests in rural hospitals, surgical hospitals, clinics and ambulatory surgery centers and other centers operating in partnership with physicians. For more information, visit www.tig3.com.

A profile for investors can be accessed at www.hawkassociates.com/profile/tisg.cfm. For investor relations information, contact Cale Smith or Julie Marshall, Hawk Associates, at 305-451-1888, e-mail: info@hawkassociates.com. An online investor kit including press releases, current price quotes, stock charts and other valuable information for investors may be found at www.hawkassociates.com and www.americanmicrocaps.com. To receive free e-mail notification of future releases for TIGroup, sign up at www.hawkassociates.com/about/alert/.