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LERNOUT & HAUSPIE'S POWERSCRIBE® SOLUTION FOR RADIOLOGY ATTRACTS NEW HEALTHCARE CUSTOMERS WITH SIMPLICITY AND FLEXIBILITY

Company announces Q3 Wins, New Microphone for its Award-Winning Speech Solution at RSNA Conference; New Contracts Underscore Accelerating Demand for Speech Solutions in Radiology Market.

CHICAGO, IL - November 29, 1999 - Lernout & Hauspie (NASDAQ: LHSP) (EASDAQ: LHSP) (L&H™), today announced a number of new customer wins for its L&H PowerScribe® solution at the Radiological Society of North America conference (RSNA) and unveiled a new custom microphone designed to increase usability for busy radiologists. The new contracts for PowerScribe point to a surging demand for solutions that can speed report turnaround time and reduce the costs of transcription in radiology departments nationwide. L&H PowerScribe combines advanced continuous speech recognition technology with digital dictation capabilities to provide a flexible, simple solution that delivers benefits without sacrificing physician acceptance or transcription accuracy. The new contracts, signed in the third quarter of 1999, help reinforce L&H's Healthcare Solutions Group as the leading provider of technology enhanced dictation/transcription solutions for the healthcare market. L&H PowerScribe will be demonstrated at the RSNA Conference, booth #3173, in Chicago, IL, from November 28 - December 2, 1999.

Winner of a 1998 Microsoft Healthcare Solution Award, the PowerScribe system cost effectively and rapidly captures, transcribes and manages dictated clinical information across a network. With PowerScribe, users can dictate their reports directly into text, edit, approve and sign them all within a matter of minutes. Once their reports are dictated, doctors can have them automatically transmitted to various hospital and/or departmental information systems via industry standard protocols.

"Our healthcare customers came to L&H with significant challenges: they needed a faster, less expensive alternative to traditional transcription services that would help them meet their documentation needs without radically changing how physicians document their cases," said Ivan Mimica, president of L&H's Healthcare Solutions Group. "L&H's PowerScribe solution was selected by each institution both for its ability to meet these demands in a flexible manner and because of the level of service and support that we provide. Our goal is to continue to provide solutions - not just technology - that help our customers focus on what's important to them: timely information, reduced costs and better patient care."

L&H Strengthens Radiology Leadership with New Contracts
Among the hospitals that recently agreed to deploy L&H PowerScribe are:

  • Baptist Health System, Alabama's largest and most comprehensive health system, has agreed to deploy L&H PowerScribe in five of its hospitals. The implementation, which is expected to be completed by Q2, 2000, will include an estimated 50 workstations serving over 35 users. Baptist Birmingham's Tom Long, Administrative Director Imaging and Therapy, selected L&H PowerScribe for its flexibility in replacing traditional transcription services.

L&H PowerScribe Attracts New Customers

  • Northwest Hospital, in Seattle, WA, plans to deploy L&H PowerScribe before the end of the year to serve 11 radiologists. The system will interface to Northwest's ADAC QuadRIS radiology information system (RIS). "PowerScribe impressed us with its out of the box accuracy, stability and flexibility in reducing report turnaround times and costs," said Patty Pfeifer, Radiology Information Systems Coordinator at the hospital.

  • Shands Healthcare recently expanded their L&H PowerScribe implementation to the Shands Alachua General Hospital (AGH), in Gainesville, FL, based on their experience with the system at the Shands University of Florida (UF) Health Science Center. The radiologists at Shands at UF, more than 50 users in all, dictate 100% of 195,000 exams a year on L&H PowerScribe. The AGH expansion will bring another 10 radiologists and about 80,000 more exams to the L&H PowerScribe system.

  • Solaris Health System, in central New Jersey, will deploy L&H PowerScribe at John F. Kennedy Medical Center to document more than 110,000 radiology examinations handled yearly by the facility. John F. Kennedy Medical Center is expected to be up and running with L&H PowerScribe by the end of this year.

  • South Shore Hospital, in Weymouth, MA, is expected to have a fully implemented L&H PowerScribe system by the end of the year. South Shore Hospital's staff of 12 radiologists will work on a graduated schedule to transition from a traditional transcription service to a system in which the physician manages the clinical note from dictation to approval.

  • St. Vincent's Hospital, in Little Rock, AK, turned to L&H PowerScribe to revolutionize their outdated transcription system. St. Vincent's will continue to employ their staff of dedicated transcribers, who will now simply 'edit' reports passed through the PowerScribe system in a fraction of the time previously spent typing out recorded dictation. The system is expected to be fully implemented and in use by the hospital's 25 radiologists by February, 2000.

  • Temple University Hospital, in Philadelphia, PA, plans to expand its L&H PowerScribe system to its affiliate institutions based on success with the Temple University Hospital site. More than 60 physicians are now using the L&H PowerScribe to dictate an estimated 160,000 reports. "Our physicians unanimously chose L&H PowerScribe over competing products based on user-friendliness and accuracy. So far, the reduction in report turnaround time has been very noticeable," states Tina Sztubinski, Administrator of the Diagnostic Imaging Department.

Improved Usability with New Integrated Scanner Microphone
Reinforcing its commitment to ease of use and simplicity, L&H also unveiled its PowerScanner microphone for the PowerScribe solution at the RSNA Conference. The PowerScanner microphone is based on an advanced design that combines a superior performing traditional dictation microphone with an integrated laser scanner. The PowerScanner microphone enables physicians to easily enter patient data by pressing a button and pointing the laser light output at a barcode on the patient's requisition slip. The integrated scanner is designed to overcome frustration associated with light pen technologies, in which the physician frequently has to repeatedly swipe a bar code to register patient or study information. The PowerScanner microphone provides all of this functionality within a high performance, unidirectional noise-canceling design that provides exceptional speech recognition performance. The microphone is expected to be available in the mid-year 2000.

L&H's Healthcare Solutions
The Healthcare Solutions Group develops, markets and supports enterprise-level, technology enhanced dictation/transcription solutions to healthcare organizations for the cost effective and rapid capture, transcription and management of dictated clinical information. In addition to L&H PowerScribe, L&H's medical applications include L&H Clinical Reporter™ and L&H Voice Xpress™ for Medicine. L&H Clinical Reporter is an interactive, networked reporting solution that lets doctors instantly access patient records and create complete, HCFA-compliant reports using continuous speech and natural language voice commands. The L&H Clinical Reporter solution, available in emergency medicine, pathology and primary care editions, incorporates medical knowledge bases that prompt the user through report templates. L&H Voice Xpress for Medicine family of products allow doctors and other healthcare professionals to quickly and easily create, format and edit documents in Microsoft Word or other Windows-based application using continuous speech.

About Lernout & Hauspie

Lernout & Hauspie (L&H) is a global leader in advanced speech and language solutions for vertical markets, computers, automobiles, telecommunications, embedded products, consumer goods and the Internet. The company is making the speech user interface (SUI) the keystone of simple, convenient interaction between humans and technology, and is using advanced translation technology to break down language barriers. L&H's products and services originate in four basic areas: automatic speech recognition (ASR), text-to-speech (TTS), digital speech and music compression (SMC) and text-to-text (translation). For more information, please visit Lernout & Hauspie on the World Wide Web at www.lhs.com or www.lhsl.com.

This Press Release contains forward-looking information, including but not limited to statements involving L&H's view of the evolution of speech and language technology in the healthcare industry, that L&H's products will work according to specifications and that such products will be successful in the market, and that its partnerships will be successful. Factors which could cause material differences to these forward looking statements include known and unknown risks, including without limitation: the uncertainty of new product development, including the risk that newly introduced products may contain undetected errors or defects or otherwise not perform as anticipated, the early stage of development of the speech and language technology markets, uncertainty of market growth, rapid technological change and intense competition, as well as other risks set forth in L&H's filings with the Securities and Exchange Commission. L&H cautions readers not to place undue reliance upon any such forward-looking statements, which speak only as of the date made. L&H expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any such statements to reflect any change in the L&H's expectations or any change in events, conditions or circumstance on which any such statement is based.

All product names and trademarks mentioned herein are trademarks of L&H or their respective owners.

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