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CardioNet Addresses Analyst Report on Reimbursement Speculation

CONSHOHOCKEN, Pa.--(BUSINESS WIRE)--Apr. 28, 2009-- CardioNet, Inc. (NASDAQ:BEAT) today expressed concerns over a recent analyst report, issued on Friday, April 24, 2009, which suggested that a reimbursement adjustment by Highmark Medicare Services, the regional Medicare carrier, may be imminent.

The analyst purported to have information indicating that Highmark Medicare Services plans to reduce reimbursement for CardioNet technology and that an announcement to such effect could be made shortly. Following the issuance of this report, CardioNet has been in frequent communication, both written and verbal, with officials of Highmark Medicare Services and the Centers for Medicare and Medicaid Services (CMS) regarding the content of the analyst report. CardioNet has not been notified of any proposed adjustment and believes that the reference in the analyst’s report to a pending reimbursement reduction is not based on any indication or suggestion provided by Highmark Medicare Services or CMS.

CardioNet’s CEO, Randy Thurman, issued the following statement: “While it is not our practice to respond publicly to analyst reports, we felt that it was important to address some of the assertions contained in the April 24 report. Since the release of this analyst report, CardioNet has received information from senior officials at both CMS and Highmark Medicare Services. These officials have stated to us that the analyst’s suggestion of an imminent adjustment was not based on guidance from Highmark Medicare Services or CMS and that ‘neither organization provided the analyst with any confidential information or any information specifically about CardioNet.’”

Mr. Thurman went on to say: “CardioNet and Highmark Medicare Services have regularly discussed reimbursement for mobile cardiac telemetry since we began providing that service in 2002. It has been our experience that any significant adjustment by a Medicare contractor of this nature would ordinarily occur after a substantial amount of interaction and dialogue with our organization. To date, Highmark Medicare Services has neither proposed or discussed any payment reductions with us. Furthermore, we have a longstanding and professional relationship with both CMS and Highmark Medicare Services and have no reason to believe either organization would ever disclose confidential information that could have a material effect on CardioNet or any other company.”

About CardioNet, Inc.

CardioNet, Inc. is the leading provider of ambulatory, continuous, real-time outpatient management solutions for monitoring relevant and timely clinical information regarding an individual's health. CardioNet's initial efforts are focused on the diagnosis and monitoring of cardiac arrhythmias, or heart rhythm disorders, with a solution that it markets as Mobile Cardiac Outpatient Telemetry™ (MCOT™). More information can be found at

Forward-Looking Statements

This press release includes certain forward-looking statements regarding CardioNet, Inc. within the meaning of the “Safe Harbor” provisions of the Private Securities Litigation Reform Act of 1995 regarding, among other things, the reimbursement rates for CardioNet, Inc. products and technology, which may change in the future, and the actions of Highmark Medicare Services and the Centers for Medicare and Medicaid Services (CMS), including actions related to reimbursement rates for CardioNet, Inc. products and technology. These statements may be identified by words such as “expect,” “anticipate,” “estimate,” “intend,” “plan,” “believe,” and other words and terms of similar meaning. Such forward-looking statements are based on current expectations and involve inherent risks and uncertainties, including important factors that could delay, divert, or change any of them, and could cause actual outcomes and results to differ materially from current expectations. These factors include, among other things, the ability of Highmark Medicare Services and CMS to change reimbursement rates for CardioNet, Inc. products and technology and the timing of any such change, changes in governmental regulations and legislation, and other changes to reimbursement levels for CardioNet’s products and technology. For further details and a discussion of these and other risks and uncertainties, please see CardioNet’s public filings with the Securities and Exchange Commission, including CardioNet’s latest periodic report on Form 10-K or 10-Q. CardioNet undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events, or otherwise.

Source: CardioNet, Inc.

CardioNet, Inc.
Marty Galvan
Investor Relations