| FOR IMMEDIATE RELEASE | FOR MORE INFORMATION: |
| Tuesday, August 24, 1999 | Diane Landry King (301) 838-5636 |
MAMSI Hires Executive to Head Alliance and MAPSI PPO
Rockville, Md. -- Mid Atlantic Medical Services, Inc. (MAMSI) (NYSE-MME), one of the mid-Atlantic region's largest managed care companies, today announced the appointment of John De Rosa as President of Alliance PPO, LLC and MAPSI.
Alliance PPO, LLC, (Alliance) and MAPSI (Mid Atlantic Psychiatric Services, Inc.) is a preferred provider organization that markets its practitioner network to self-insured employers, indemnity carriers and other health care purchasing groups. Mr. De Rosa was formerly with The Guardian as Vice President of Group Managed Care Products. He has over 25 years of experience in the managed care services field. Mr. De Rosa assumes the duties of former Alliance President Mark D. Groban, M.D., who was named Chairman of the Board this year.
"John is a uniquely qualified, seasoned health care industry professional," said Mark D. Groban, M.D., MAMSI's Chairman of the Board. "I'm confident that with his help, we will continue the dynamic growth of Alliance and MAPSI."
"Having the ability to recruit and retain individuals of the caliber of John De Rosa proves that MAMSI is an attractive place to work and grow," stated Thomas P. Barbera, President and CEO of MAMSI. "This is further affirmation that our new direction is the right direction."
The company also announced that, on August 20, 1999, its Board of Directors authorized $6 million for its share repurchase program, in addition to the previously authorized $20 million share repurchase program. Under the program, the company may purchase its stock on the open market, through block trades, or in private transactions. Of the total $26 million in authorization, the company has repurchased $11,315,000 worth of shares through June 30, 1999. The program was extended through September 30, 1999.
Mid Atlantic Medical Services, Inc.'s health plan subsidiaries cover over 1.8 million lives in Maryland, Washington DC, Virginia, Pennsylvania, North Carolina, Delaware, and West Virginia. It is one of the mid-Atlantic region's largest managed care companies. 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 are based on management’s current knowledge of factors, all with inherent risks and uncertainties, 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 of state or Federal budget mandates that reduce premium levels; the possibility of increased medical expenses due to increased utilization, inflation or legislative mandates; and the possibility that the Company is not able to expand its Service Area as planned. Investors should review other risks and uncertainties contained in Company documents filed with the Securities and Exchange Commission.
Note 2: MAMSI is a regional holding company for health care organizations that provide comprehensive health insurance products and services including: M.D. IPA, a traditional HMO, and M.D. IPA Preferred, an open-ended version of the HMO; Optimum Choice, Inc.®, a non-federally qualified HMO; Optimum Choice of the Carolinas, Inc. (OCCI); Optimum Choice, Inc. of Pennsylvania (OCIPA); Alliance PPO, LLC, a preferred provider organization; Mid Atlantic Psychiatric Services, Inc. (MAPSI), a preferred provider organization offering managed psychiatric health care services; MAMSI Life and Health Insurance Company, an indemnity insurance company; HomeCall, Inc. and FirstCall, Inc., home health care companies; and HomeCall Pharmaceutical Services, Inc., a mail order pharmacy and home infusion services company.
Note 3: Mid Atlantic Medical Services, Inc. securities are traded on the New York Stock Exchange (NYSE-MME).