ST. LOUIS, April 12 Centene Corporation (NYSE: CNC) today was notified by the Wisconsin Department of Health Services that its Wisconsin subsidiary, Managed Health Services (MHS), was not awarded the Southeast Wisconsin BadgerCare Plus Managed Care contract. The change is effective November 1, 2010; after a two-month transition period (September through October), MHS will no longer serve BadgerCare Plus Standard and Benchmark members in Milwaukee, Washington, Ozaukee, Waukesha and Kenosha counties.
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Today's contract award decision does not affect the more than 6,000 Wisconsin Core Plan and Supplemental Security Income (SSI) members in this region. MHS will also continue to serve more than 71,000 members in other regions of the state. In addition to southeast Wisconsin, the plan operates in 27 counties in north, northeast and west central regions of Wisconsin under a separate contract with the state.
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"Managed Health Services submitted a viable and innovative proposal to provide comprehensive managed care services to BadgerCare Plus enrollees in Southeast Wisconsin while also helping the state of Wisconsin save significant taxpayer resources," said Centene Chairman and Chief Executive Officer Michael F. Neidorff. "While we are disappointed with the state's decision, our priority remains to ensure a smooth transition for impacted members while continuing to provide high-quality healthcare services and programs across the state."
The discontinuation of the Southeast Wisconsin contract is expected to be immaterial to Centene's 2010 earnings.
About Centene Corporation
Centene Corporation is a leading multi-line healthcare enterprise that provides programs and related services to the rising number of under-insured and uninsured individuals. Many receive benefits provided under Medicaid, including the State Children's Health Insurance Program (CHIP), as well as Aged, Blind or Disabled (ABD), Foster Care and long-term care, in addition to other state-sponsored programs, and Medicare (Special Needs Plans). Centene's CeltiCare subsidiary offers states unique, "exchange based" and other cost-effective coverage solutions for low-income populations. The Company operates local health plans and offers a range of health insurance solutions. It also contracts with other healthcare and commercial organizations to provide specialty services including behavioral health, life and health management, managed vision, telehealth services, and pharmacy benefits management. More information regarding Centene is available at www.centene.com.
SOURCE Centene Corporation
