Sisters of Mercy Health System Recognizes Benefits with AWD

Hospital system uses business process management to improve revenue cycle

KANSAS CITY, MO. February 23, 2004 – DST Technologies, a wholly owned subsidiary of DST Systems, Inc., [NYSE: DST] announced the successful implementation of AWD^® (Automated Work Distributor™ ), its award-winning business process management (BPM) solution, at St. John’s Mercy Medical Center. St. John’s Mercy is a St. Louis, Mo. -based strategic service unit of the Sisters of Mercy Health System.

“The implementation of AWD has allowed us to address expanded regulatory requirements and to dramatically decrease our costs of doing business,” said Fred Ford, vice president revenue and decision support at Mercy. “AWD has allowed us to automate manual processes and to ensure that our co-workers are focused on activities that bring the most benefit to our health system. Based on our success at St. John’s, we are moving forward with 2004 implementations of AWD in three additional facilities—Washington, Mo., Fort Smith, Ark., and Rogers, Ark. Additionally, there will be significant implementations in business operations other than revenue. AWD truly has universal application across the house.”

According to St. John’s Mercy, with AWD the hospital has seen significant cost savings and productivity improvements in its revenue cycle management operations. Some of the more significant benefits include:

• Significant reductions in FTEs
• Increased recovery of underpayments from insurers
• A significant reduction in lock-up due to failed claims, resulting in a multi-day improvement in accounts receivable
• Significant improvement in productivity of medical records coders by the creation of a complete outpatient record.
• The ability for physicians to access medical records and complete deficiencies via the AWD Physicians’ Completion Station

“DST’s partnership with Sisters of Mercy has been truly beneficial to both organizations,” said Tracy Shelby, DST’s Officer responsible for AWD marketing. “Mercy has realized dramatic revenue cycle improvements as a result of AWD. DST has enhanced our world-class BPM offerings to include a pre-built solution that can bring immediate benefits to other healthcare providers.”

About DST Technologies, Inc.
DST Technologies, Inc. is a wholly owned subsidiary of DST Systems, Inc. [NYSE: DST] Through sophisticated information processing and computer software services and products, DST helps clients improve productivity, increase efficiencies, and provide higher levels of customer service. For clients in a variety of industries, including mutual funds, brokerage healthcare, insurance, and video/broadband, Automated Work Distributor (AWD) has helped reduce the cost of operations while increasing the speed and accuracy of transaction processing and customer service through business process management technology.

The Sisters of Mercy Health System, based in St. Louis, Missouri, operates hospitals, physician practices, outpatient clinics, health plans, and related health and human services in a seven-state area including Arkansas, Kansas, Louisiana, Mississippi, Missouri, Oklahoma and Texas. Its members include 18 acute care hospitals providing more than 4,100 licensed beds, a heart hospital, a managed care subsidiary (Mercy Health Plans), physician practices, outpatient care facilities, home health programs, skilled nursing services and long-term care facilities. Services are provided by approximately 26,000 co-workers and 3,100 physicians who are employed or practice at Mercy facilities.

St. John's Mercy Health Care is a leading health care organization that includes St. John's Mercy Medical Center in Creve Coeur and St. John's Mercy Hospital in Washington , Mo. , as well as Mercy Medical Group, Unity Health Services and Unity Health Network. St. John's Mercy Health Care is a member of the Sisters of Mercy Health System.

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The information and comments above may include forward-looking statements respecting DST and its businesses. Such information and comments are based on DST's views as of today, and actual results could differ. There could be a number of factors affecting future results, including those set forth in Form 8-K/A dated March 17, 2003 filed by DST with the Securities and Exchange Commission. All such factors should be considered in evaluating any forward-looking comment. The Company will not update any forward-looking statements in this press release to reflect future events.

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