Sigma and FRED IT, page-2

Fred IT is owned operated by the Pharmacy Guild with Telstra Health having an interest. Personally I don't believe the Guild should have any formal business relationship with any of the major wholesalers. It may in future create a conflict of interest in any Guild / Government negotiations where they have to specifically represent the interest of all their pharmacist proprietor members.

This move potentially opens the way for API and Corum to form a stronger relationship. I think years ago they did form an alliance of sorts. Chemist Warehouse already use LOTs dispensary software as do many Priceline stores. Symbion of course own/promote Minfos. So all the major full line wholesalers now have a relationship with pharmacy software companies.

Sigma of course does not own any pharmacies itself so the actual owners may or may not choose to change systems. There is always a reluctance to change. Also the platforms that provide connectivity between suppliers, medicare, prescribers with pharmacies are universal so there is no absolute compulsion to change anyway.

The time is right for a rationalisation of pharmacy software suppliers anyway. This may trigger some action...... which could be beneficial.