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      Revenue From Software and Related Services Up 200% Over Prior Year

CHICAGO, Oct. 26 /PRNewswire-FirstCall/ — Allscripts Healthcare Solutions
(Nasdaq: MDRX), the leading provider of clinical software, connectivity and
information solutions that physicians use to improve healthcare, announced its
results for the three and nine months ended September 30, 2006. Total revenue
for the three months ended September 30, 2006, was $62.2 million, compared to
$30.6 million for the same period last year. Total revenue for the three
months ended September 30, 2006 includes the results of A4 Health Systems,
Inc., which Allscripts acquired on March 2, 2006. Revenue from software and
related services for the three months ended September 30, 2006, was
$49.5 million, compared to $16.5 million for the same period last year,
increasing by approximately 200%.

(Logo: http://www.newscom.com/cgi-bin/prnh/20061005/ALLSCRIPTSLOGO-b )

Gross margin percentage was 49.1% for the third quarter of 2006, compared
to 43.3% during the third quarter of 2005.

Net income for the three months ended September 30, 2006, was
$3.3 million, or $0.06 per diluted share, compared to net income of
$2.9 million, or $0.07 per diluted share, for the same period last year.
Reported net income for 2006 reflects stock-based compensation pursuant to
Allscripts’ adoption of new accounting rules effective as of January 1, 2006,
and reflects tax provisioning and acquisition related amortization not
included in prior periods. In order to facilitate further comparison of
results against periods prior to January 1, 2006, Allscripts began reporting
cash earnings in 2006. Cash earnings are comprised of net income giving
effect to the add-back of income taxes, depreciation and amortization, stock-
based compensation and one-time A4 Health Systems integration costs. Cash
earnings for the three months ended September 30, 2006 were $10.4 million, or
$0.19 per diluted share, compared to cash earnings of $4.6 million, or $0.10
per diluted share, for the same period last year. Please see “Financial
Measures” below for a discussion of cash earnings and cash earnings per share.

As of September 30, 2006, the Company had cash and marketable securities
of $71.5 million.

“Strong demand for Electronic Health Records and our entire suite of
solutions continues to drive impressive results for Allscripts,” said Glen
Tullman, Chief Executive Officer of Allscripts. “Physicians and healthcare
organizations increasingly understand that technology is the answer to the
challenges facing our health system, and Allscripts has demonstrated that we
provide solutions that physicians use to deliver improved patient safety,
quality of care, and bottom line benefits.”

Total revenue for the nine months ended September 30, 2006, was
$164.4 million, compared to $86.4 million for the nine months ended September
30, 2005. Revenue from software and related services for the nine months
ended September 30, 2006, was $124.6 million, compared to $46.9 million for
the same period last year, increasing by approximately 166%. Total revenue for
the nine months ended September 30, 2006 includes the results of A4 Health
Systems from the acquisition date of March 2, 2006 through the end of the
third quarter of 2006.

Gross margin percentage was 49.8% for the nine months ended September 30,
2006, compared to 45.5% for the nine months ended September 30, 2005.

Net income for the nine months ended September 30, 2006, was $7.4 million,
or $0.14 per diluted share, compared to net income of $6.3 million, or $0.15
per diluted share, for the same period last year. Cash earnings for the nine
months ended September 30, 2006 were $26.6 million, or $0.51 per diluted
share, compared to cash earnings of $11.1 million, or $0.26 per diluted share,
for the same period last year.

Allscripts will conduct a conference call on Thursday, October 26, 2006,
at 4:30 p.m. Eastern Daylight Time. The conference call also can be accessed
by dialing 1-888-644-5594. A Microsoft Windows Media Player web replay will be
available three hours after the conclusion of the call for a period of two
weeks at https://www.allscripts.com or by calling 1-800-642-1687, ID # 8543739.

Financial Measures

Allscripts reports its financial results in accordance with generally
accepted accounting principles (“GAAP”). In addition, the Company reports on
non-GAAP financial measures, such as cash earnings and cash earnings per
share. These non-GAAP financial measures should be viewed as supplemental to,
and not as an alternative for, “net income” calculated in accordance with
GAAP. Management believes that these non-GAAP measures, when viewed in
addition to the Company’s reported GAAP results, provide useful information to
investors regarding its performance and overall results of operations.
Reconciliations to comparable GAAP measures are included as part of this
release.

About Allscripts

Allscripts is the leading provider of clinical software, connectivity and
information solutions that physicians use to improve healthcare. The Company’s
business groups provide unique solutions that inform, connect and transform
healthcare. The Clinical Solutions Group’s award-winning software applications
include electronic health record, practice management, electronic prescribing,
document imaging, emergency department and care management solutions.
Additionally, Allscripts provides clinical product education and connectivity
solutions for physicians and patients through its Physicians Interactive(TM)
Group and medication fulfillment services through its Medication Services
Group. To learn more, visit Allscripts at https://www.allscripts.com .

This announcement may contain forward-looking statements about Allscripts
Healthcare Solutions that involve risks and uncertainties. These statements
are developed by combining currently available information with Allscripts
beliefs and assumptions. Forward-looking statements do not guarantee future
performance. Because Allscripts cannot predict all of the risks and
uncertainties that may affect it, or control the ones it does predict,
Allscripts’ actual results may be materially different from the results
expressed in its forward-looking statements. For a more complete discussion of
the risks, uncertainties and assumptions that may affect Allscripts, see the
Company’s 2005 Annual Report on Form 10-K, available through the Web site
maintained by the Securities and Exchange Commission at http://www.sec.gov .



                      Allscripts Healthcare Solutions, Inc.
                      Condensed Consolidated Balance Sheets
                              (amounts in thousands)
                                   (Unaudited)

                                             September 30,      December 31,
    Assets                                       2006               2005

    Current assets:
      Cash and cash equivalents                 $35,734            $60,905
      Marketable securities                      11,250             54,408
      Accounts receivable, net                   57,394             29,244
      Other receivables                             219                502
      Deferred taxes, net                         3,464                -
      Inventories                                 3,609              2,174
      Prepaid expenses and other
       current assets                             9,106              5,811
          Total current assets                  120,776            153,044

    Long-term marketable securities               24,510             30,750
    Fixed assets, net                             13,560              2,753
    Software development costs, net                9,987              6,409
    Deferred taxes, net                           28,305                -
    Intangible assets, net                        80,611              9,151
    Goodwill                                     182,802             13,760
    Other assets                                   5,168              5,097
          Total assets                          $465,719           $220,964


    Liabilities and Stockholders' Equity

    Current liabilities:
      Accounts payable                          $13,703             $8,630
      Accrued liabilities                        25,997             13,791
      Deferred revenue                           33,732             17,306
      Current portion of long-term debt             253                  0
          Total current liabilities              73,685             39,727

    Long-term debt                               85,508             82,500
    Other liabilities                               346                318
          Total liabilities                     159,539            122,545

    Stockholders' equity                        306,180             98,419

          Total liabilities and stockholders'
           equity                              $465,719           $220,964



                      Allscripts Healthcare Solutions, Inc.
                 Condensed Consolidated Statements of Operations
                 (amounts in thousands, except per-share amounts)
                                   (Unaudited)

                                      Three Months Ended    Nine Months Ended
                                          September 30,       September 30,
                                        2006       2005      2006       2005
    Revenue:
      Software and related services   $49,534    $16,462   $124,593   $46,917
      Prepackaged medications          10,438     11,496     32,456    32,820
      Information services              2,219      2,680      7,360     6,630
        Total revenue                  62,191     30,638    164,409    86,367

    Cost of revenue:
      Software and related services    21,631      6,114     51,616    16,599
      Prepackaged medications           8,802      9,753     26,844    27,173
      Information services              1,202      1,511      3,996     3,287
        Total cost of revenue          31,635     17,378     82,456    47,059

    Gross profit                       30,556     13,260     81,953    39,308

    Operating expenses:
      Selling, general and
       administrative expenses         21,330     10,025     60,437    31,840
      Stock-based compensation
       expense                            617          -      1,440         -
      Amortization of intangibles       3,045        436      7,696     1,308
        Income from operations          5,564      2,799     12,380     6,160

    Interest expense                     (940)      (880)    (2,775)   (2,636)
    Interest income                       657      1,064      2,495     2,898
    Other expense, net                     (8)       (43)      (134)     (115)
    Income before income taxes          5,273      2,940     11,966     6,307

    Income taxes                        2,011      -          4,554   -
    Net income                         $3,262     $2,940     $7,412    $6,307

    Net income per share - basic        $0.06      $0.07      $0.15     $0.16

    Net income per share - diluted      $0.06      $0.07      $0.14     $0.15

    Weighted average shares of common
     stock outstanding used in
     computing basic net income
     per share                         53,048     40,895     50,081    39,938

    Weighted average shares of common
     stock outstanding used in
     computing diluted net
     income per share                  55,676     44,223     52,572    43,003



                    Allscripts Healthcare Solutions, Inc.
  Reconciliation of Non-GAAP Measure of Cash Earnings and Cash Earnings Per
                                    Share
               (amounts in thousands, except per-share amounts)
                                 (Unaudited)

                                        Three Months Ended   Nine Months Ended
                                           September 30,       September 30,
                                          2006     2005      2006       2005

    Net income, as reported              $3,262   $2,940    $7,412     $6,307
    Add back:

    Income taxes                          2,011        -     4,554        -
    Depreciation and amortization         4,489    1,657    12,026      4,782
    Stock-based compensation                617        -     1,440        -
    Realized losses on marketable
     securities (Note 1)                      -        -       118        -
    A4 Health Systems integration costs       -        -     1,021        -

    Cash earnings                       $10,379   $4,597   $26,571    $11,089


    Cash earnings per share - basic       $0.20    $0.11     $0.53      $0.28

    Cash earnings per share - diluted     $0.19    $0.10     $0.51      $0.26

    Weighted average shares of common
     stock outstanding used in
     computing basic cash earnings
     per share                           53,048   40,895    50,081     39,938

    Weighted average shares of common
     stock outstanding used in
     computing diluted cash earnings
     per share                           55,676   44,223    52,572     43,003

    Note 1 -- Realized losses incurred as a result of the early maturity of
    marketable securities due to cash requirements related to the acquisition
    of A4 Health Systems, Inc.

SOURCE  Allscripts
    -0-                             10/26/2006
    /CONTACT: Dan Michelson, Chief Marketing Officer, +1-312-506-1217,
dan.michelson@allscripts.com , or Bill Davis, Chief Financial Officer,
+1-312-506-1211, bill.davis@allscripts.com , both of Allscripts/
    /Photo:  http://www.newscom.com/cgi-bin/prnh/20061005/ALLSCRIPTSLOGO-b
             AP Archive:  http://photoarchive.ap.org
             PRN Photo Desk, photodesk@prnewswire.com/
    /Web site:  https://www.allscripts.com /
    (MDRX)

CO:  Allscripts
ST:  Illinois
IN:  MTC CPR STW HEA
SU:  ERN CCA

CM-JK
-- CGTH080 --
4091 10/26/2006 16:00 EDT http://www.prnewswire.com
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