Business Editors & Health/Medical Writers

    FORT LAUDERDALE, Fla.--(BUSINESS WIRE)--Sept. 7, 2001--Pediatrix Medical Group, Inc., (NYSE:PDX) has expanded its presence in two Sunbelt metropolitan markets with the acquisition of physician group practices in Atlanta and Dallas.
    Pediatrix yesterday completed the acquisition of a physician group that staffs and manages one Atlanta-area hospital-based neonatal intensive care unit (NICU). Annual patient volume at that NICU exceeds 10,000 neonatal patient days. Prior to completing the acquisition, Pediatrix did not provide physician services within the Atlanta market.
    Pediatrix also announced the acquisition of a physician group that cares for babies admitted to the newborn nursery at a Dallas area hospital. Annual volume is approximately 6,000 newborn nursery patient days. The physicians practice at a hospital where Pediatrix also manages the NICU, and where maternal-fetal medicine specialists employed by a professional corporation affiliated with Pediatrix provide patient care.
    During 2001, Pediatrix has added more than 230,000 annual NICU patient days through acquisition or internal growth, including a recently completed merger transaction with Magella Healthcare Corporation that added a total of 81 neonatal and 29 maternal-fetal medicine physicians. In addition, Pediatrix's perinatal subsidiary, Obstetrix Medical Group, Inc., expanded its presence in the Pacific Northwest with the acquisition of a maternal-fetal medicine physician group practice based in suburban Seattle.

    About Pediatrix

    Pediatrix was founded in 1979. Its neonatal physicians provide services at more than 185 NICUs and through Obstetrix its perinatal physicians provide services in 16 markets where Pediatrix's neonatal physicians practice. Combined, Pediatrix and its affiliated professional corporations employ more than 575 physicians in 27 states and Puerto Rico. Additional information is available on the Internet: http://www.pediatrix.com.

    Except for historical information, matters discussed in this release include forward-looking statements that involve risks and uncertainties including, but not limited to, business, financial and integration risks. In addition, Pediatrix details other risk factors in its Annual Report on Form 10-K for the year ended December 31, 2000, filed with the U.S. Securities and Exchange Commission. These risks and uncertainties could cause actual results to differ materially from those projected or anticipated in the forward-looking statements.

    --30--jar/mi*

    CONTACT:  Pediatrix Medical Group, Inc., Fort Lauderdale
              Bob Kneeley, 954/384-0175, x-5300 (Investor Relations)

    KEYWORD:  FLORIDA GEORGIA TEXAS
    INDUSTRY KEYWORD:  MEDICAL MERGERS/ACQ
    SOURCE:  Pediatrix Medical Group, Inc.