Business Editors/Health & Medical Writers

    FORT LAUDERDALE, Fla.--(BUSINESS WIRE)--Jan. 9, 2002--Pediatrix Medical Group, Inc., (NYSE:PDX) continues to expand its national physician group practice with the acquisition of a physician group based in Memphis, Tennessee, effective January 8, 2002.
    The physician group staffs two Memphis-area hospital-based neonatal intensive care units (NICUs) with annual patient volume that exceeds 5,000 patient days. In addition, the physician group also cares for babies admitted to the newborn nurseries at those hospitals, with annual volume of approximately 1,000 patient days.
    This acquisition enhances Pediatrix's presence in Tennessee, where it has provided NICU physician services in Chattanooga since 1999. During 2001, Pediatrix added more than 235,000 annual NICU patient days through acquisition or internal growth, including the acquisition of Magella Healthcare, which added a total of 109 neonatal and maternal-fetal medicine physicians practicing in nine states.

    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 many markets where Pediatrix's neonatal physicians practice. Combined, Pediatrix and its affiliated professional corporations employ more than 590 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.
    The forward-looking statements in this press release are made as of the date hereof based on management's current beliefs and expectations, and the Company undertakes no obligation to update or revise any such statements, whether as result of new developments, new information or otherwise.

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    CONTACT:  Pediatrix Medical Group, Fort Lauderdale
              Bob Kneeley, 954/384-0175, ext. 5300
              bob_kneeley@pediatrix.com

    KEYWORD:  FLORIDA TENNESSEE
    INDUSTRY KEYWORD: MEDICAL MERGERS/ACQ 
    SOURCE:   Pediatrix Medical Group