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Carestream Health Celebrates First Anniversary As Independent Company

 May 1, 2008 

ROCHESTER, N.Y., May 1 — In its first full year as an independent global corporation, Carestream Health, Inc., introduced more than 25 new digital products and services, won several significant industry awards, and generated a range of important accomplishments across the world.

“Our employees and customers helped make this a year of significant achievement for Carestream Health, and we are working hard to drive innovation for our customers and faster growth for our business,” said Kevin J. Hobert, Chief Executive Officer, Carestream Health. “We launched many new digital solutions in our medical and dental businesses—as well as in our molecular imaging systems and non-destructive testing groups—and we are focused on exceeding the expectations of customers in the markets we serve.”

Carestream Health had a continuous stream of new products in its R&D pipeline when it separated from Eastman Kodak Company on May 1, 2007, after a long and successful history. As a result, Carestream Health is rapidly growing its digital solutions portfolio, enabling customers to realize the benefits of transitioning to an all-digital workflow.

“Our goal is to transform the landscape of healthcare by enabling customers to improve the quality and cost of the care they provide,” Hobert said. ”When you combine this commitment with our broad global sales and outstanding service capabilities, I am confident we will continue to grow our business and build a successful future.”

Customer Satisfaction Continues To Grow

Carestream Health has earned the trust of thousands of organizations around the world. That confidence is evident in many successful initiatives and accomplishments in recent months, including:

Implementing a massive contract with National Services Scotland, highlighted by a centralized medical information management solution and RIS-PACS capabilities at 39 hospitals, with additional linkage to 67 satellite x-ray centers.

Establishing 20 “Center of Excellence” sites featuring leading hospitals around the world that are collaborating with the company to develop the next generation of digital imaging and healthcare IT solutions.

Providing computed radiography systems, laser printers and professional services for a project between Italy and Albania for the development of breast and uterus cancer screening programs for women.

Working with China’s Ministry of Health to establish a digital network for sharing medical images and information from rural clinics with specialists in urban centers. Carestream Health’s IT systems and services will help improve the speed, quality and cost of rural healthcare in China—and will serve as a working model for other countries to adopt.

Selling more than 50,000 digital laser printers that enable customers to print diagnostic images from various modalities, including MRI, CT and digital and computed radiography systems, onto radiographic film with an efficient dry process.

Signing contracts with mammography providers across the globe for RIS/PACS mammography solutions, CR-based mammography systems and the latest computer-aided detection systems.

Widening its lead in the dental market in a successful year that included shipping the affordable new KODAK 9000 3D Extraoral Imaging System.

Core Businesses Offer Customers Many Choices

Carestream Health is building momentum in each of its businesses. Its Digital Medical Solutions business provides complete workflow solutions—from general radiography to specialty applications like mammography, oncology, and orthopedics—to meet the needs of all healthcare providers. Its solutions facilitate the transition to digital by improving exam workflow, delivering high-resolution x-ray image quality, consolidating patient information, and enhancing communication among care providers, thereby answering the challenges of rising medical costs while improving patient care.    

Carestream Health’s customized, scalable solutions—including CARESTREAM RIS/PACS, Information Management Solutions, computed radiography, digital radiography and services—seamlessly integrate images and patient information for processing, diagnosis, sharing and storage.

Carestream Health also holds the No. 1 global market position for medical films. The company’s Medical Films & Printing Solutions business provides market-leading x-ray and mammography film and laser imagers for printing patient medical images.

The Dental Systems group continues expanding its global leadership as a premier provider of advanced dental digital imaging systems and practice management solutions. Another key business—the Molecular Imaging Systems group—develops digital imaging systems, imaging agents, film and accessories for the life science research and drug discovery markets.

The company’s business portfolio is rounded out by its highly successful Non-Destructive Testing (NDT) group, which provides unique film and digital imaging systems to a broad range of industrial radiography customers around the world.

Customer Satisfaction and Technology Awards 

Carestream Health was recognized with several awards for its accomplishments and high-level of customer satisfaction in the last 12 months including:  The 2008 Global Radiology Information Systems Market Penetration Leadership Award and the 2007 North American Award for Best Customer Value in the medical informatics market—both from Frost & Sullivan, a world leader in growth consulting, market research and competitive intelligence.

The highest ranking for its comprehensive line of innovative DR systems in a user satisfaction study conducted by MD Buyline, an independent market research firm.

The 2007 “Best New Radiology Device” award for its high-resolution computed radiography system for mammography from AuntMinnie.com, a comprehensive Internet resource for radiologists and medical imaging professionals.

Two out of the top three honors in the Shingo Prize for manufacturing excellence for the company’s operations in Colorado and Guadalajara, a prestigious honor dubbed “The Nobel Prize of manufacturing” by Business Week magazine.

“This recognition could not have been achieved without talented employees who put our customers first,” Hobert noted. “Thanks to their outstanding efforts, we are helping more customers realize the benefits of digital workflow every day and, in turn, we are aggressively growing our business.” He added: “We have digital technology and services that few companies can match, and in our second year of business and beyond, we remain committed to growing the company. We are selling more complete digital medical imaging and IT solutions than ever before. We have the resources to solidify our No. 1 position in the worldwide dental imaging and IT market, and our molecular imaging and NDT teams are increasing our market presence, enhancing our product offerings, and expanding our customer base.”

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About Carestream Health, Inc.

Carestream Health, Inc., is a leading provider of dental and medical imaging systems and healthcare IT solutions; molecular imaging systems for the life science research and drug discovery/development market segments; and x-ray film and digital x-ray products for the non-destructive testing market. The company was formed in 2007 when Onex Corporation (TSX: OCX.TO) purchased Eastman Kodak Company’s Health Group. For more information about Carestream Health, contact your Carestream Health representative or visit www.carestreamhealth.com.

CARESTREAM is a trademark of Carestream Health, Inc.

KODAK is a trademark of Kodak used under license.

2008