QuadraMed and FormFast Partner to Optimize Hospital Electronic Document Management

RESTON, VA – (October 4, 2006) – QuadraMed® Corporation (Amex: QD) today announced an agreement has been reached with FormFast®, Inc., St. Louis, Missouri, that will help QuadraMed’s Health Information Management (HIM) clients optimize their use of the QuadraMed EDM (Electronic Document Management) solution. Under terms of the contract, effective immediately, QuadraMed has made FormFast its recommended provider of forms automation software.

QuadraMed EDM is a web-native information portal designed as a single solution for proactively managing, processing and securely storing patient medical records in a central repository. The software provides a secure view of a patient’s record, including images and documents, which can be accessed in real time by encounter or across all encounters, while eliminating costs associated with the production and storage of paper records. EDM is an essential component of the paperless e-HIM® department and the Electronic Health Record (EHR).

To speed full EDM implementation and optimize its use, FormFast can provide QuadraMed clients with an automated solution that enables them to cost-effectively migrate from existing paper-based forms to an electronic format. The software interfaces with QuadraMed EDM, and provides the ability for clients to scan their existing paper forms into an electronic format, import existing electronic forms, modify forms, and print them with bar codes. This significantly improves the organization’s ability to manage information and eliminates preprinted forms.

In addition, FormFast can provide consulting services to assist in creating an electronic document inventory and the transition of existing documents. Creating such an inventory for patient medical records is a required component of the EHR.

About FormFast, Inc.
Since 1992, FormFast has been passionate about delivering high-value document automation and document management systems to healthcare providers. FormFast technology supports the natural progression from time-consuming processes of filling, managing, and processing forms manually to the increased efficiency of an output management system, with electronic forms and form packets automatically filled and printed on-demand. The evolution is further supported with FormFast’s workflow system, FastFlow, which manages document routing, approval, collaboration, and integration with archival systems. Serving over 600 customers internationally, FormFast is dedicated to the ongoing success of its customers.

About QuadraMed Corporation
QuadraMed Corporation advances the success of healthcare organizations through IT solutions that leverage quality care into positive financial outcomes. As evolving reimbursement scenarios challenge healthcare organizations to leverage quality of care into payment, clients committing to QuadraMed’s care-based solutions can realize market leading financial performance. Using QuadraMed’s end-to-end solutions to optimize the patient experience and leverage quality of care into payment, our clients can receive the proper reimbursement, in the shortest time, at the lowest administrative cost. Behind our products and services is a staff of almost 600 professionals whose experience and dedication to service have earned QuadraMed the trust and loyalty of customers at approximately 2,000 healthcare provider facilities. To find out more about QuadraMed, visit www.quadramed.com.

Cautionary Statement on Risks Associated with QuadraMed’s Forward-Looking Statements
This press release contains forward-looking statements, as defined in Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, by QuadraMed that are subject to risks and uncertainties. The words "believe," "expect," "anticipate," "intend," "plan," "estimate," "may," "should," "could," and similar expressions are intended to identify such statements. Forward-looking statements are not guarantees of future performance and are to be interpreted only as of the date on which they are made. QuadraMed undertakes no obligation to update or revise any forward-looking statement except as required by law. QuadraMed advises investors that it discusses risk factors and uncertainties that could cause QuadraMed’s actual results to differ from forward-looking statements in its periodic reports filed with the Securities and Exchange Commission ("SEC"). QuadraMed’s SEC filings can be accessed through the Investor Relations section of our website, www.quadramed.com, or through the SEC’s EDGAR Database at www.sec.gov (QuadraMed has EDGAR CIK No. 0001018833).