Thirteen-Year, $1 Billion Contract Extension to produce $150 million of
Administrative Cost Savings for Harvard Pilgrim Over the Life of the
PLANO, Texas, April 8, 2008 /PRNewswire-FirstCall/ -- Perot Systems Corporation (NYSE: PER) and Harvard Pilgrim Health Care today announced that they have extended their IT and Business Process Services Relationship through 2021.
Under this new 13-year, $1 billion contract, Harvard Pilgrim will realize approximately $150 million of administrative cost savings over the life of the agreement through the consolidation and leveraging of technology, administrative functions and redesign of administrative operations. Perot Systems will operate and support Harvard Pilgrim's information technology infrastructure, business applications, and administrative business operations.
"We are committed to helping Harvard Pilgrim to continue building upon their distinguished record of success," said Peter Altabef, president and CEO for Perot Systems. "Their dedication to the consumers of Healthcare reinforces the reasons why they are our nation's top health plan. We are pleased to have this opportunity to work with Harvard Pilgrim on this important and mutually beneficial initiative."
For three years in a row, Harvard Pilgrim has been ranked as the #1 health care plan in America, according to a joint ranking by U.S. News & World Report and the National Committee for Quality Assurance (NCQA). In addition to this accolade, J.D. Power and Associates' 2007 National health Insurance Plan Satisfaction Study recognized Harvard Pilgrim with the "Highest Member Satisfaction with Commercial Health Plans in the Northeast."
"Over eight years ago, Harvard Pilgrim turned to Perot Systems because of their reputation for being the leading Healthcare IT service provider. Since that time, we have relied on Perot Systems to help us successfully improve our level of customer service and increase operational efficiencies," said Charles D. Baker, CEO of Harvard Pilgrim. "They have earned our trust and because of their hard work, awarding this contract extension was an easy decision."
Perot Systems is one of the largest providers of consulting, business process, and technology-based solutions for the healthcare industry. Perot Systems is rated as the #1 IT vendor by both healthcare provider & payer clients in the Blackbook of Outsourcing's Healthcare Industry client survey. Additionally, Perot Systems ranks first in Modern Healthcare's Annual Outsourcing list of top information systems contractors. With more than 100 managed care relationships including IT, claims administration and business process support for seven of the top ten health plans, Perot Systems is committed to transforming the Healthcare IT industry by providing innovative solutions and implementing the latest processes and technologies in order to achieve measurable, sustainable results.
About Harvard Pilgrim
Harvard Pilgrim is a not-for-profit health plan that provides a variety of health benefit options and funding arrangements to more than one million members in Massachusetts, New Hampshire and Maine. For more information, please visit http://www.harvardpilgrim.org. In the fall of 2007, for the third consecutive year, Harvard Pilgrim was named the #1 commercial health plan in America according to a joint ranking by U.S. News & World Report and the National Committee for Quality Assurance (NCQA)*. J.D. Power and Associates has ranked Harvard Pilgrim #1 in member satisfaction in the Northeast region**. "The National Health Insurance Plan Satisfaction Study," the first study of its kind from J.D. Power, gave Harvard Pilgrim a "satisfaction index" of 785 -- the highest score of any plan in the nation -- out of a possible 1,000.
About Perot Systems
Perot Systems is a worldwide provider of information technology services and business solutions. Through its flexible and collaborative approach, Perot Systems integrates expertise from across the company to deliver custom solutions that enable clients to accelerate growth, streamline operations and create new levels of customer value. Headquartered in Plano, Texas, Perot Systems reported 2007 revenue of $2.6 billion. The company has more than 23,000 associates located in North America, Europe, MENA and Asia. Additional information on Perot Systems is available at http://www.perotsystems.com/.
This press release contains forward-looking statements that are subject
to known and unknown risks and uncertainties that could cause actual
results to differ materially from those expressed or implied by such
statements. For factors that could affect our business and cause actual
results to differ materially, please refer to our Annual Report on Form
10-K for the fiscal year ended December 31, 2007, as filed with the U.S.
Securities and Exchange Commission and available at http://www.sec.gov/, as
updated in our Quarterly Reports on Form 10-Q filed after such Form 10-K,
for additional information regarding risk factors. We disclaim any
intention or obligation to revise any forward-looking statements whether as
a result of new information, future developments, or otherwise.
* "America's Best Health Plans" is a trademark of U.S. News & World
Report. The source for this data is Quality Compass(R) 2005, 2006 and
2007 and is used with the permission of the National Committee for
Quality Assurance (NCQA). Quality Compass is a registered trademark of
NCQA. NCQA is a private, non-profit organization dedicated to improving
health care quality.
** Harvard Pilgrim Health Care received the highest numerical score among
large commercial health plans (750,000+ members) in the Northeast
Region (CT, ME, MA, NH, NJ, NY, PA, RI, VT) in the proprietary
J.D. Power and Associates 2007 National Health Insurance Plan
Satisfaction StudySM. Study based on 10,552 total responses and
measures 13 Northeast plans and member opinions of commercial health
plans, not including Medicare or Medicaid. Proprietary study results
are based on experiences and perceptions of members surveyed
October - November 2006. Your experiences may vary.
Perot Systems Corporation
+1 972 577 6395
|SOURCE Perot Systems Corporation|
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