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Providence's LogistiCare Subsidiary Receives Notice of Award for Five Year Approximately $300 Million New Jersey Statewide Non-Emergency Medical Transportation Contract
Date:4/1/2009

ATLANTA and TRENTON, N.J., April 1 /PRNewswire-FirstCall/ -- The Providence Service Corporation (Nasdaq: PRSC) today announced that its LogistiCare subsidiary, the nation's largest coordinator of non-emergency transportation (NET) services, has received notice of award from the New Jersey Department of Human Services (DHS), Division of Medical Assistance and Health Services (DMAHS), to provide basic non-emergency transportation services for the fee-for-service Medicaid population in Essex, Hudson, and other selected counties, as well as higher levels of service statewide.

The approximately $300 million contract, valued initially at $55 million annually depending on enrollment, is expected to take effect July 1, 2009. It has an initial term of three years and contains two one-year renewal options that run through 2014. The award is subject to finalized contracts and various processing procedures. New Jersey DHS first announced its intent to award the contract to LogistiCare in November 2008.

"We are extremely pleased to be able to expand our medical transportation services to the people of New Jersey," said John Shermyen, LogistiCare's CEO. "This contract award is a testament to LogistiCare's record of performance throughout the country, as well as to the increasingly widespread acceptance of the brokerage model as a best-practice for managing Medicaid transportation services."

LogistiCare expects to hire over 55 local staff to manage the New Jersey contract and will be opening a major call center in Edison and a satellite office in Trenton. Direct transportation services will be provided by local New Jersey transportation providers under contract to LogistiCare.

LogistiCare has operated in New Jersey since January of this year, when it began providing services for Wellcare Medicare members. L
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SOURCE Providence Service Corporation
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