Exhibit 99.1

                Pediatrix Provides Update on Stock Option Review

     FORT LAUDERDALE, Fla.--(BUSINESS WIRE)--Jan. 5, 2007--Pediatrix Medical
Group, Inc., (NYSE:PDX) today announced that it has been notified that the U.S.
Attorney's office in Miami is in the initial stages of an investigation of the
Company's stock option grant practices, which are the subject of a previously
announced review by the Company's Audit Committee. Pediatrix intends to
cooperate fully with the U.S. Attorney's office on this matter. The Audit
Committee is working to complete its review as soon as possible.

     About Pediatrix

     Pediatrix Medical Group, Inc. is the nation's leading provider of newborn,
maternal-fetal and pediatric physician subspecialty services. Pediatrix
physicians and advanced nurse practitioners are reshaping the delivery of
maternal-fetal and newborn care by identifying best demonstrated processes and
participating in clinical research to enhance patient outcomes and provide
high-quality, cost-effective care. Founded in 1979, its neonatal physicians
provide services at more than 240 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 900 physicians in 32 states and Puerto Rico.
Pediatrix is also the nation's largest provider of newborn hearing screens and
newborn metabolic screening. Additional information is available at
www.pediatrix.com.

     Certain statements and information in this press release may be deemed to
be "forward-looking statements" within the meaning of the Federal Private
Securities Litigation Reform Act of 1995. Forward-looking statements may
include, but are not limited to, statements relating to our objectives, plans
and strategies, and all statements (other than statements of historical facts)
that address activities, events or developments that we intend, expect, project,
believe or anticipate will or may occur in the future are forward-looking
statements. These statements are often characterized by terminology such as
"believe", "hope", "may", "anticipate", "should", "intend", "plan", "will",
"expect", "estimate", "project", "positioned", "strategy" and similar
expressions, and are based on assumptions and assessments made by Pediatrix's
management in light of their experience and their perception of historical
trends, current conditions, expected future developments and other factors they
believe to be appropriate. Any forward-looking statements in this press release
are made as of the date hereof, and Pediatrix undertakes no duty to update or
revise any such statements, whether as a result of new information, future
events or otherwise. Forward-looking statements are not guarantees of future
performance and are subject to risks and uncertainties. Important factors that
could cause actual results, developments, and business decisions to differ
materially from forward-looking statements are described in Pediatrix's most
recent Annual Report on Form 10-K, including the section entitled "Risk
Factors". Additional factors include, but are not limited to, uncertainties
related to: the time needed to complete the Audit Committee's inquiry into
historic stock option grant practices; whether or not the Audit Committee's
inquiry will require the restatement of Pediatrix financial statements; the
financial reporting impact of improperly dated stock options; the tax effects of
improperly dated stock options; the potential discovery of accounting errors or
other adverse facts; and possible litigation or regulatory action resulting from
the SEC's or U.S. Attorney's investigations of Pediatrix stock option granting
practices.


     CONTACT: Pediatrix Medical Group, Inc., Fort Lauderdale
              Bob Kneeley, Director, Investor Relations
              954-384-0175, x-5300
              bob_kneeley@pediatrix.com