NYU Medical Center selects Siemens as strategic partner

June 03, 2002

New York, June 3 -- NYU Medical Center announced today that it has entered into a strategic alliance with Siemens Medical Solutions USA, Inc., designed to establish the academic medical center as one of the nation's preeminent institutions for imaging in clinical care and scientific research. The landmark agreement will bring to NYU Medical Center a broad array of state-of-the-art imaging equipment that, collectively, will provide patients with access to the best diagnostic tools available and will provide researchers with cutting-edge technology to advance the applications of imaging in nearly every field of medicine.

At the center of the strategic alliance is a seven-year agreement that will make Siemens the exclusive supplier of all the of NYU Medical Center's radiology imaging equipment for its rapidly expanding program in diagnostic and interventional radiology. The agreement covers approximately 100 advanced clinical imaging machines and provides some of the most powerful magnetic resonance (MR) systems available for research, including a high-resolution research 7 Tesla magnet*, which can scan the entire human body and will be one of only a few available worldwide. The commercial value of the equipment and services included in the agreement exceeds $110 million.

Unlike most medical centers, which purchase or lease their radiology equipment from multiple manufacturers, NYU Medical Center will obtain its equipment and service for its large radiology program only from Siemens. The one-source agreement is among the first of its kind and, given its wide scope, may serve as a model for collaboration between other academic medical centers and manufacturers of medical equipment around the world.

Hospital for Joint Diseases, one of NYU Medical Center's affiliates in Manhattan, is also a party to the agreement and will receive certain radiology equipment and services.

Robert M. Glickman, M.D., Chief Executive Officer of NYU Medical Center and Dean of NYU School of Medicine, praised the new strategic alliance with Siemens. "This agreement with Siemens will make NYU Medical Center the most advanced imaging institution in the country. The cutting-edge equipment will be a key factor in how we care for our patients and conduct scientific research. It will influence the success of our clinical and research programs not only here at NYU, but also at other medical institutions in the world," Glickman said.

Under the agreement, Siemens will provide state-of-the-art imaging equipment including computed tomography (CT), positron emission tomography (PET), mammography, digital X-ray, and ultrasound, as well as a Picture Archival and Communication System (PACS), and other information technology, data management, and service solutions. These systems, many of which are based on syngo--a unique Siemens integrated operating platform, will include capabilities for breast, cardiac, virtual colonoscopy, obstetric, and other advanced imaging applications.

Due to the size and scope of the agreement, NYU and Siemens expect that it will take four years to install all of the equipment and systems. Currently, NYU's radiologists and technicians perform more than 300,000 radiologic examinations annually.

Another key aspect of the alliance is the commitment from both partners to MR imaging research. NYU plans to construct a new magnetic resonance research facility near its mid-town campus in Manhattan to house some of the new equipment, including the new Siemens 7 Tesla magnet* that will require a special room reinforced by some 300 tons of steel. Siemens will additionally install two 3 Tesla high field magnets to conduct imaging research of the human brain, metabolic studies of the brain, liver, kidneys and prostate as well as other advanced MR imaging studies.

"This strategic partnership agreement extends our long-term relationship with NYU Medical Center, and demonstrates that Siemens Medical Solutions has the unique capability to provide not only imaging equipment and service, but integrated information technology solutions that are necessary to support the continuum of care for our wide array of customers," said Tom McCausland, president and CEO of Siemens Medical Solutions USA, Inc. "NYU will benefit from Siemens technology including our Sienet PACS network, coupled with the syngo operating platform, which will be utilized enterprise-wide. These innovations will demonstrate how the Siemens solution can facilitate productivity, improve workflow and sustain quality patient care in a busy practice environment.

"In addition, our joint commitment to research into new advanced applications for magnetic resonance imaging will benefit NYU, New York City and the entire medical community," continued McCausland.

Dr. Robert Grossman, Louis Marx Professor and Chairman of the Department of Radiology at NYU Medical Center, said, "The unprecedented scope of our agreement propels NYU's radiology program into an elite group of academic institutions. It will enable us to be at the cutting-edge in imaging research, attract the best trainees and staff, and continue to provide the highest quality patient care."

The agreement provides for installation of information technology (IT) and data management solutions designed to improve workflow throughout the radiology department, the medical center's hospital, and physicians' offices. The IT solution will allow radiologists and other physicians to view and evaluate digital images from anywhere in the world by logging onto a network through the Internet. More importantly, physicians will have the images and reports available to them instantaneously in their offices and throughout the hospital, which will improve communication and patient care.

The agreement will bring two cutting-edge, hybrid PET/CT scanners to NYU's new Cancer Institute. The Siemens biograph™ molecular imager, which combines a (PET) scanner and spiral CT system, enables oncologists to more quickly and clearly see the metabolic intensity and exact location of many types of cancer by directly and precisely registering the anatomical information from a CT scan with the biologic information from a PET scan. In addition, Siemens will install six rapid, multi-slice CT scanners that will provide high quality images at subsecond rates of speed.

Siemens also will work closely with NYU Medical Center to fit the equipment and IT solutions directly into the Medical Center's workflow, which will help NYU realize dramatically increased patient throughput and achieve lower medical costs while improving patient care. Finally, Siemens will have exclusive rights to service the equipment for the life of the agreement.
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NYU Medical Center, one of the world's premier academic medical institutions, is a leader in patient care, scientific research, and medical education. NYU Medical Center is internationally renowned for its excellence in scientific research and clinical care in areas such as cardiovascular disease, pediatrics, skin care, neurosurgery, urology, cancer care, rehabilitation, plastic surgery, minimally invasive surgery, infertility, women's health, and day surgery. For more information about NYU Medical Center, visit www.nyumedicalcenter.org or www.med.nyu.edu.

Siemens Medical Solutions of Siemens AG (NYSE; SI) with headquarters in Iselin, NJ, and Erlangen, Germany, is one of the largest suppliers of healthcare equipment in the world. The Company is renowned for its innovative products, services and complete solutions, ranging from imaging systems for diagnosis and therapy equipment for treatment, to electromedicine and hearing instruments to IT solutions that optimize workflow and increase efficiency in hospitals, clinics and doctors' offices.

Siemens AG, headquartered in Munich, Germany is a leading global electronics and engineering company. It employs some 450,000 people in 193 countries, and reported worldwide sales of more than $74 billion in fiscal 2001 (10/1/00 - 9/30/01). The United States is Siemens' largest market, with nearly 80,000 employees and sales of $18.9 billion for fiscal 2001. For more information about Siemens in the U.S., visit www.usa.siemens.com

*NOTE: The information about this product is being provided for planning purposes. The 7 Tesla magnet is not yet commercially available in the U.S.

Contacts:
Michael Chapman
NYU Medical Center
Phone: 212-263-3244

LuJean Smith
Siemens
Phone: 425-557-1337

NYU Langone Medical Center / New York University School of Medicine

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