American Healthways Signs Agreement with St. Joseph's Hospital for Diabetes Inpatient and Outpatient Services.

Business Editors/Health/Medical Writers

NASHVILLE, Tenn.--(BUSINESS WIRE)--Sept. 4, 2003

American Healthways, Inc. (Nasdaq/NM: AMHC) today announced a two-year agreement, which began July 1, to provide its Diabetes Healthways(SM) program to Tampa-based St. Joseph's Hospital, an 883-bed health-care provider known for its advanced medical technology and an outstanding medical staff representing more than 70 medical specialties.

"We want to take our diabetes management efforts to the next level, and American Healthways offers a program that's proven to help coordinate patient care across all settings," said Diane Yates, vice president of patient care services for St. Joseph's Hospital. "This partnership will benefit our patients and the clinicians who serve them."

Diabetes Healthways for hospitals is a comprehensive program that helps physicians and nurses manage patients with diabetes through physician support services, case management, professional and clinical staff education, clinical interventions and patient education. The program's inpatient component uniquely enables hospitals to address the special needs of patients with diabetes, regardless of their reason for admission. The program's outpatient component is designed to help individuals with diabetes practice the self-management skills that will improve their health status and quality of life and reduce the risk of diabetes-related complications.

"We are pleased to have the opportunity to work with St. Joseph's Hospital and believe this commitment to diabetes patient care will provide significant benefits to patients in this region with diabetes and to the physicians who support their care," said Mary Hunter, executive vice president of American Healthways' hospital group.

About American Healthways

American Healthways (AMHC) is the nation's leading and largest provider of specialized, comprehensive disease management and care enhancement services to hospitals, health plans, physicians and medical management organizations. The Company's programs have been reviewed and approved for clinical excellence by Johns Hopkins and have been certified or accredited by the National Committee on Quality Assurance (NCQA), the Joint Commission on Accreditation of Health Care Organizations (JCAHO), and the American Accreditation Healthcare Commission (URAC). The company operates diabetes management programs in hospitals nationwide. American Healthways also has contracts to provide disease and care management programs to 844,000 equivalent lives in all 50 states, the District of Columbia, Puerto Rico and Guam. For more information visit www.americanhealthways.com.