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| FOR IMMEDIATE RELEASE | FOR MORE INFORMATION: |
| Monday, August 8, 2000 |
Diane Landry King (301) 838-5636 |
MAMSI ADDED TO S&P INDEX
Rockville, Md. -- Mid Atlantic Medical Services, Inc. (MAMSI), (MME-NYSE), one of the mid-Atlantic region's largest managed care companies, today announced that as of the close of trading today, its stock will be added to Standard & Poor's SmallCap 600 Index.
Standard & Poor (S&P) calculates and maintains many global indices for which over $1 trillion are indexed. The S&P SmallCap 600 index measures company stock performance of select stocks in the Managed Health Care industry group.
"We are gratified that MAMSI was added to the SmallCap 600 Index," stated Mark D. Groban, M.D., MAMSI's Chairman of the Board. "We will continue to work to increase shareholder value and send a message to the investor community that MAMSI is a company to watch."
The small company segment of the U.S. market continues to attract investors. According to S&P, the SmallCap 600 is gaining wide acceptance as the preferred benchmark for both active and passive management due to its low turnover and greater liquidity. Approximately $8 billion is indexed to the S&P SmallCap 600. The S&P SmallCap 600 Index consists of 600 domestic stocks chosen for market size, liquidity, (bid-asked spread, ownership, share turnover and number of no trade days) and industry group representation. It is a market-value weighted index (stock price times the number of shares outstanding), with each stock's weight in the Index proportionate to its market value.
Mid Atlantic Medical Services, Inc.'s subsidiaries cover approximately 1.8 million lives in Maryland, Virginia, Pennsylvania, Delaware, West Virginia, North Carolina and Washington, D.C. The Company's Internet address is www.mamsi.com.
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Note 1: Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: All forward-looking information or statements contained in this release, including expectations regarding future or continued performance, are based on management's current knowledge of factors, all with inherent risks and uncer-tainties, affecting MAMSI's business. MAMSI's actual results may differ materially if these assumptions prove invalid. Significant risk factors, while not all-inclusive, are: the possibility of increasing price competition in the Company's marketplace; the possibility that the Company is not able to increase its market share at the anticipated premium rate; the possibility of increased litigation, legislation or regulation that might increase regulatory oversight which, in turn, would have the potential for increased costs; the possibility of increased medical expenses due to increased utilization, inflation or legislative mandates; and the possibility that the Company is not able to negotiate new or renewal contracts with appropriate physicians and health care practitioners. Investors should review other risks and uncertain-ties contained in Company documents filed with the Securities and Exchange Commission.
Note 2: MAMSI is a regional holding company for health care organizations that provides comprehensive health insurance products and services including: MD-Individual Practice Association, Inc. (M.D. IPA), a federally qualified HMO; Optimum Choice, Inc.® (OCI) , a non-federally qualified HMO; Optimum Choice of the Carolinas, Inc. (OCCI); Alliance PPO, LLC, a preferred provider organization; Mid Atlantic Psychiatric Services, Inc., a preferred provider organization offering managed psychiatric health care services; MAMSI Life and Health Insurance Company (MLH), a life and health insurance company; HomeCall, Inc. and FirstCall, Inc., home health care companies; and HomeCall Pharmaceutical Services, Inc., a pharmacy and home infusion services company.
Note 3: Mid Atlantic Medical Services, Inc. common stock is traded on the New York Stock Exchange (NYSE-MME).