FCG Announces Its Paragon Solutions Subsidiary Has Been Renamed FCG Software Services; Name Change Represents Final Step in Integrating Software Development and Offshore Capabilities into FCG Offerings

Business Wire, August 1, 2005

LONG BEACH, Calif. -- First Consulting Group (FCG), (NASDAQ: FCGI), an information technology (IT) consulting, integration and outsourcing leader in healthcare announced today that Paragon Solutions, Inc. (Paragon), a wholly owned subsidiary of FCG, has been renamed FCG Software Services. The name change represents the final step to integrate Paragon's software development capabilities into FCG's overall solution offerings.

"Rebranding Paragon enables the organization to better leverage FCG's financial strength and recognized brand name when pursuing larger engagements," says Tom Underwood, president, FCG Software Services. "We will continue to focus on development partnerships with Independent Software Vendors (ISVs) and technology-driven organizations within various markets.

FCG Software Services has established itself as a market leader in the ISV space, having consistently delivered a high level of client satisfaction, 35% annual revenue growth, and 10-15% annual operating profits.

FCG acquired Paragon Solutions Inc. in 2003 as part of its strategy to strengthen its suite of offerings around software development and global IT outsourcing. The Paragon acquisition included two offshore development centers located in Bangalore, India and Ho Chi Minh City, Vietnam, which today support FCG's software development, integration, implementation and outsourcing clients. Both offshore development centers have been assessed at SEI-CMMI Level 5, which is a confirmation of the maturity of the development processes that are in place at each facility. FCG currently has more than 900 associates working in the two offshore centers and is rapidly expanding due to new business opportunities.

"The Paragon acquisition has helped FCG dramatically lower our delivery costs to clients over the past few years while maintaining the highest levels of quality and support," says Luther Nussbaum, chairman and CEO, FCG. "Folding Paragon into the FCG family of offerings completes the cycle we put into place two years ago."

About FCG

FCG is a leading provider of outsourcing, consulting, systems implementation and integration for healthcare, pharmaceutical, and other life sciences organizations throughout North America, Europe and Asia. Through combinations of onsite, off-site and offshore outsourced services, FCG provides low cost, high quality offerings to improve its clients' performance. The firm's consulting and integration services increase clients' operations effectiveness with and through information technology, resulting in reduced costs, improved customer service, enhanced quality of patient care, and more rapid introduction of new pharmaceutical compounds. For more information about FCG, visit www.fcg.com or call 800-345-0957.

About FCG Software Services

FCG Software Services, a wholly owned subsidiary of First Consulting Group, Inc. (NASDAQ: FCGI), is a U.S. company with more than nine years of experience in providing onshore/offshore software development, development process consulting, application maintenance, reengineering and quality assurance services to premier organizations worldwide. FSS, headquartered in Atlanta, Georgia, has two wholly owned development centers in India and Vietnam. FSS' experienced personnel work on site with organizations to define requirements, design software solutions and coordinate the activities of the offshore development teams. Through a combination of qualified resources, a sound development methodology and a wide domain of technical expertise, FSS delivers high-quality products at significantly reduced rates. FSS' business plan is simple: to provide organizations with onshore quality at offshore value. FSS has the ability to deliver low-cost outsourcing teams for short- and long-term development projects. For more information, visit our website at www.fcgss.com.