DALLAS, July 24 /PRNewswire-FirstCall/ -- Claimsnet.com inc. (OTC:CLAI) (BULLETIN BOARD: CLAI) , a leading provider of Internet-based business-to- business solutions for the healthcare industry, today reported its results for the second quarter of 2006, which ended June 30, 2006. For the quarter ended June 30, 2006, Claimsnet reported revenues of $342,000, a 5% increase compared to the $326,000 reported for the second quarter of 2005. Cost of revenues for the second quarter of 2006 was $232,000 compared to $203,000 for the second quarter of 2005, a 14% increase. There were no research and development expenses incurred during the second quarter of 2006 or the second quarter of 2005. Selling, general and administrative expenses of $207,000 were reported for the second quarter of 2006 compared to $208,000 reported for the second quarter of 2005. Claimsnet reported a gross profit of $110,000 for the second quarter of 2006, compared with a $123,000 gross profit for the second quarter of 2005. The loss from operations for the second quarter of 2006 was $(97,000) compared to $(85,000) reported for the second quarter of 2005. The net loss for the second quarter of 2006 was $(112,000), or $(.00) per share, compared to net loss of ($95,000), or $(.00) per share, for the second quarter of 2005. "We are pleased to report a 5% increase in our second quarter revenues," commented Don Crosbie, chief executive officer of Claimsnet. "Our increase in overall costs during the second quarter of 2006 was due to the addition of new clearinghouse partners and the addition of Kent McRee to our management team as president, with primary responsibilities for sales and marketing. This reflects our renewed efforts in sales and marketing and is a significant strengthening of the capabilities of Claimsnet management to bring 'best of breed' solutions to the healthcare payer industry and to increase the customer base of the company." Claimsnet.com inc. is a leading provider of Internet-based claim processing solutions for the healthcare payer industry, including distinctive, advanced ASP technology. Headquartered in Dallas, Texas, Claimsnet offers systems that are distinguished by ease of use, customer care, security and measurable cost advantages. More information on Claimsnet can be found at the company's web site at http://www.claimsnet.com/ . Safe Harbor Statement Under the Private Securities Litigation Act 1995 - With the exception of historical information, the matters discussed in this press release are forward looking statements that involve a number of risks and uncertainties. The actual future results of the company could differ significantly from those statements. Factors that could cause or contribute to such differences include, but are not limited to, maintaining access to external sources of capital, regulatory actions, success of marketing strategies, actions of the company's competitors, dependence on suppliers and distribution channels, and continued use of the internet. Further information on the company's risk factors is contained in the company's quarterly, annual, and other periodic reports as filed with the Securities and Exchange Commission. [Table to Follow] CLAIMSNET.COM INC. AND SUBSIDIARIES SUMMARY OPERATIONS STATEMENT INFORMATION (In thousands except per share data) (unaudited) Quarter Ended June 30, 2006 2005 REVENUES $ 342 $ 326 COST OF REVENUES $ 232 $ 203 GROSS PROFIT $ 110 $ 123 RESEARCH AND DEVELOPMENT $ --- $ --- SELLING, GENERAL AND ADMINISTRATIVE $ 207 $ 208 LOSS FROM OPERATIONS $ (97) $ (85) INTEREST EXPENSE $ (15) $ (10) NET LOSS $ (112) $ (95) NET LOSS PER COMMON SHARE - BASIC AND DILUTED $ (0.00) $ (0.00) WEIGHTED AVERAGE COMMON SHARES OUTSTANDING - BASIC AND DILUTED 25,976 25,751 DATASOURCE: Claimsnet.com inc. CONTACT: Don Crosbie of Claimsnet.com inc., +1-972-458-1701, ext. 112, or Web site: http://www.claimsnet.com/

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