TUCSON, Ariz. and GOLDEN VALLEY, Minn., March 10 /PRNewswire-FirstCall/ -- The Providence Service Corporation (Nasdaq: PRSC) and OptumHealth Behavioral Solutions(1), a comprehensive behavioral health company, today announced that they have entered into a strategic relationship agreement. Under the agreement, Providence will become a preferred provider to OptumHealth Behavioral Solutions and its affiliates facilitating contracting for Providence's outpatient and home based behavioral health care services for OptumHealth Behavioral Solutions public sector purchasers.
Under the agreement, OptumHealth Behavioral Solutions and Providence will enter into provider agreements in designated market areas for specific behavioral health services. Contracts will be negotiated at the state market level. Terms, conditions and fees will be based on the specific services provided in each location. OptumHealth Behavioral Solution's public sector market business provides benefits and services to approximately 1.2 million people and operates across 30 states.
Commenting on the strategic relationship, Jean Moise, chief operating officer of OptumHealth Behavioral Solution's Public Sector, said, "OptumHealth Behavioral Solutions partners with a large number of public sector purchasers, union trusts, employers, health plans and other insurers, each with unique needs. Providence believes, as we do, that it is important to deliver a combination of improved clinical and financial outcomes through innovative clinical and program services. We look forward to working together to deliver this value to our clients."
"As the effectiveness and economic benefits of providing home and community based behavioral treatment alternatives continues to become apparent, more states and customers are focusing their attention in this direction," commented Fletcher McCusker, chairman and chief executive officer of Providence. "As one of the largest providers of home and community based social services, Providence is an ideal partner for OptumHealth Behavioral Solutions. We also share a commitment to innovative solutions and measuring program effectiveness. We look forward to working with OptumHealth Behavioral Solutions throughout the country to design and implement programs to improve clinical outcomes, enhance productivity, quality of life and reduce medical costs throughout their patient population."
OptumHealth Behavioral Solutions is a business segment of OptumHealth, one of the nation's largest health and well-being companies, OptumHealth makes health care easier and better for employers, health plans, public sector entities and the 58 million people with access to its services. The Company's goal is to optimize health, well-being and financial security, while lowering benefit costs and helping consumers make informed decisions about their health through standalone or integrated services. OptumHealth is an affiliate of UnitedHealth Group (NYSE: UNH). More information about OptumHealth can be found at http://www.OptumHealth.com.
Providence Service Corporation, through its owned and managed entities, provides home and community based social services to government sponsored clients under programs such as welfare, juvenile justice, Medicaid and corrections. Providence operates no beds, treatment facilities, hospitals, or group homes preferring to provide services in the client's own home or other community setting. Through its owned and managed entities, Providence maintains 773 government contracts in 35 states, the District of Columbia and British Columbia as of September 30, 2007.
Certain statements herein, such as any statements about Providence's confidence or strategies or its expectations about revenues, results of operations, profitability, earnings per share, contracts, collections, award of contracts, acquisitions and related growth, growth resulting from initiatives in certain states, effective tax rate or market opportunities, constitute "forward-looking statements" within the meaning of the private Securities Litigation Reform Act of 1995. Such forward-looking statements involve a number of known and unknown risks, uncertainties and other factors which may cause Providence's actual results or achievements to be materially different from those expressed or implied by such forward-looking statements. These factors include, but are not limited to, reliance on government-funded contracts, risks associated with government contracting, risks involved in managing government business, legislative or policy changes, challenges resulting from growth or acquisitions, adverse media and legal, economic and other risks detailed in Providence's filings with the Securities and Exchange Commission. Words such as "believe," "demonstrate," "expect," "estimate," "anticipate," "should" and "likely" and similar expressions identify forward- looking statements. Readers are cautioned not to place undue reliance on those forward-looking statements, which speak only as of the date the statement was made. Providence undertakes no obligation to update any forward-looking statement contained herein.
(1) OptumHealth Behavioral Solutions is a brand name of United Behavioral Health, a UnitedHealth Group (NYSE: UNH) company.
|SOURCE Providence Service Corporation|
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