New FICO Analytics Predict Likelihood of Patient Adherence to Prescription Medication

MINNEAPOLIS—June 23, 2011—FICO (NYSE:FICO), the leading provider of analytics and decision management technology, today announced the launch of the FICO^® Medication Adherence Score, which uses predictive analytics to forecast an individual’s likelihood of taking his or her prescription medication as directed. The FICO Medication Adherence Score is a HIPAA-compliant solution that helps improve drug adherence, boosting therapy effectiveness and reducing health care costs.

Medical industry estimates show that as many as one-half of the 3.2 billion prescriptions in the U.S. each year aren’t taken as prescribed, and patients consequently run a greater risk of poor health outcomes and more frequent hospitalizations. Non-adherence is cited as the primary cause for 10 percent of hospital admissions and 23 percent of nursing home admissions each year. Some 90,000 deaths per year are attributed to patients’ failure to adhere to anti-hypertensive treatment alone. In financial terms, the industry analyst group IDC Health Insights estimates that poor drug regimen compliance costs the U.S. health care system between $250 billion and $300 billion per year, or about 13 percent of the nation’s total health care expenditure. This problem led the National Consumers League to launch a major public education campaign in May to raise awareness about the consequences of not taking medication as directed.

“As the debate intensifies over how to structure and pay for effective health care in America, non-adherence to prescription medication has emerged as a critical focus,” said Mark Greene, CEO of FICO. “When people don’t take their medicine, this hurts their health and raises the cost of care. The FICO Medication Adherence Score has the potential to deliver immediate value in this area, helping physicians, health care organizations, pharmacy benefit managers, clinical review organizations, and pharmaceutical marketers improve patient outcomes while lowering costs.”

FICO’s analytics identify the potential future adherence risk of each patient by using data from a range of publicly available third-party data sources. Because the FICO Medication Adherence Score requires minimal information from the patient, and no prescription claims or sensitive health information, the score can be generated for members of any patient population. The FICO Medication Adherence Score enables patient communication, drug therapy management and other programs to be customized for the individual or patient segment. This tailored approach creates opportunities for improved program effectiveness at reduced costs.

“The FICO Medication Adherence Score provides valuable insight to pharmaceutical marketing teams that until now has not been readily available,” said Eric Newmark, Research Manager at IDC Health Insights. “Considering that non-adherence to prescribed drugs is estimated to cost the pharmaceutical industry more than $35 billion in lost revenue annually, the FICO Medication Adherence Score can offer great value for marketing optimization and insight into ways to improve patient health. The solution is likely to drive synergies in other investments as well, such as remote patient monitoring and better ‘connected’ Medication Adherence.”

“In relation to disease management, the FICO Prescription Score provides unique insights to tailor clinical support for the individual,” said Louis Brunetti, MD, JD, FACP, and Chief Medical Officer for MedImpact Healthcare Systems, Inc. MedImpact has used information technology and human capital to improve the practice of managed care pharmacy since 1989. The company partners with the nation’s finest health plans, hospitals, and employers to provide pharmacy benefit management services.

“Indeed, a readily obtainable measure like the FICO Medication Adherence Score provides physicians, pharmacists and pharmacy benefit managers with a clearer understanding of the most effective therapeutic choices available to effectively treat a particular patient,” said Brunetti.

FICO works with 40 of the world’s top health care companies and eight of the top 10 pharmaceutical companies, helping them apply advanced analytics to gain actionable insights. Services include health care marketing management, health care analytics, wellness management and health care fraud protection.

About FICO
FICO (NYSE:FICO) delivers superior predictive analytics solutions that drive smarter decisions. The company’s groundbreaking use of mathematics to predict consumer behavior has transformed entire industries and revolutionized the way risk is managed and products are marketed. FICO’s innovative solutions include the FICO^® Score — the standard measure of consumer credit risk in the United States — along with industry-leading solutions for managing credit accounts, identifying and minimizing the impact of fraud, and customizing consumer offers with pinpoint accuracy. Most of the world’s top banks, as well as leading insurers, retailers, pharmaceutical companies and government agencies, rely on FICO solutions to accelerate growth, control risk, boost profits and meet regulatory and competitive demands. FICO also helps millions of individuals manage their personal credit health through www.myFICO.com. FICO: Make every decision count™.

Statement Concerning Forward-Looking Information
Except for historical information contained herein, the statements contained in this news release that relate to FICO or its business are forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially, including the success of the Company’s Decision Management strategy and reengineering plan, the maintenance of its existing relationships and ability to create new relationships with customers and key alliance partners, its ability to continue to develop new and enhanced products and services, its ability to recruit and retain key technical and managerial personnel, competition, regulatory changes applicable to the use of consumer credit and other data, the failure to realize the anticipated benefits of any acquisitions, continuing material adverse developments in global economic conditions, and other risks described from time to time in FICO’s SEC reports, including its Annual Report on Form 10-K for the year ended September 30, 2010. If any of these risks or uncertainties materializes, FICO’s results could differ materially from its expectations. FICO disclaims any intent or obligation to update these forward-looking statements.

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