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Phyhealth Submits HMO Applications with Required Federal and State Agencies
Date:3/12/2008

Company Plans Participation in 2009 Medicare Advantage Open Enrollment in

Florida Upon Approval of Applications

MIAMI, March 12 /PRNewswire-FirstCall/ -- Physicians Healthcare Management Group, Inc. (Phyhealth) (Pink Sheets: PHYH), a developer of health maintenance organizations (HMOs) in partnership with physicians, today announced that it has filed all required applications for the launch of its pilot HMO in the state of Florida. Applications were filed with the Centers for Medicare & Medicaid Services (CMS) on the federal level and the Florida Office of Insurance Regulation (OIR) and the Florida Agency for Healthcare Administration (AHCA) on the state level. All submissions met the CMS imposed March 10th deadline and, upon approval, authorize Phyhealth to begin enrolling Medicare beneficiaries for the 2009 open enrollment period beginning November 15, 2008.

Mr. Robert Trinka, chairman and chief executive officer, stated, "Phyhealth continues to systematically proceed through the steps required for the launch of our pilot HMO, and our team's expertise in healthcare insurance regulations and compliance enabled us to meet the filing deadlines and continue our aggressive schedule in moving the HMO implementation process forward. We have received confirmation from The Centers for Medicare & Medicaid Services that the deadline for submitting our 2009 Medicare Advantage HMO -- Part C and Prescription Drug Benefit -- Part D application was met. The Federal and state regulatory approval process is the next phase, which is expected to take several months to complete. Once approved, we will be able to begin our marketing efforts for 2009 in the fourth quarter of 2008 as permitted by Medicare regulations."

Mr. Trinka continued, "With the initial capital surplus financing in place, our applications filed with the appropriate regulators and an expert team of industry professionals involved, we are well situated to launch our Medica
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SOURCE Physicians Healthcare Management Group, Inc.
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