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ACS Signs $27 Million Contract with Alaska to Transition Fiscal Agent Services for State Medicaid Program

DALLAS, Oct. 15 /PRNewswire-FirstCall/ -- Affiliated Computer Services, Inc. (NYSE: ACS), today announced the award of a $27 million, 21-month contract for the transition of the Medicaid Management Information System (MMIS) for the state of Alaska's Department of Health and Social Services.

Previously in October 2007, ACS signed a $130 million, 10-year contract with Alaska to design, develop, implement and operate a new MMIS system. Now, as part of a separate transition contract, ACS will assume all fiscal agent services included in the state's former MMIS vendor's contract. ACS now will administer claims processing, recipient helpline, pharmacy drug rebate and retrospective drug utilization review, system enhancement, EDI support, pharmacy help desk and preferred drug list services.

"I am extremely pleased with ACS' responsiveness to our needs. The department sees ACS as a strong partner in fulfilling our vision of maintaining access to health care and providing health coverage to Alaskans in need," said Bill Streur, Deputy Commissioner for Alaska's Medicaid and Health Policy. "ACS demonstrates full understanding and joins us in our sense of urgency to improving administration of the medical assistance program, particularly in serving the needs of our residents and the dedicated provider community."

With more than three decades of fiscal agent operations experience, ACS has considerable expertise in transitioning existing vendors' MMIS systems. However, unique in this situation is that the previous vendor's employees also will transition to ACS.

"This contract is recognition by the state of Alaska of ACS' strong commitment to providing quality services and systems for Medicaid programs across the country," said Christopher Deelsnyder, senior vice president and managing director for ACS Government Healthcare Solutions.

As part of the long-term contract, ACS will provide Alaska with its innovative Health Enterprise(TM) solution, the most sophisticated Medicaid system in the healthcare market today. This system is currently being developed for use by the states of New Hampshire and North Dakota. Its web- based suite of technologies includes solutions for administering the Medicaid enterprise. At the core of Health Enterprise is a set of applications and data analytics used to support administration of the Medicaid enterprise, such as member and provider management, waivers, managed care, disease management, pharmacy programs, eligibility, claims processing and third-party liability.

About ACS

ACS is a national leader in state healthcare program administration, offering a full spectrum of systems and complementary services through an integrated solution, from care management solutions and child health programs to pharmacy benefits management and traditional Medicaid fiscal agent services. ACS supports more than 23 million program recipients and processes nearly 550 million Medicaid healthcare claims annually, representing close to $50 billion in provider payments. As the nation's largest government program pharmacy benefits administrator, ACS serves 28 states, the District of Columbia, and the Department of Labor with drug expenditures totaling more than $13 billion.

ACS, a global FORTUNE 500 company with 65,000 people supporting client operations reaching more than 100 countries, provides business process outsourcing and information technology solutions to world-class commercial and government clients. The company's Class A common stock trades on the New York Stock Exchange under the symbol "ACS." Learn more about ACS at

The statements in this news release that do not directly relate to historical facts constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are subject to numerous risks and uncertainties, many of which are outside the Company's control. As such, no assurance can be given that the actual events and results will not be materially different than the anticipated results described in the forward-looking statements. Factors could cause actual results to differ materially from such forward-looking statements. For a description of these factors, see the Company's prior filings with the Securities and Exchange Commission, including our most recent filing. ACS disclaims any intention or obligation to revise any forward-looking statements, whether as a result of new information, future event, or otherwise.

SOURCE Affiliated Computer Services, Inc.
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