Ben R. Leedle, Jr. to Become CEO of American Healthways; Appointment Reflects Successful Conclusion of Two-Year Executive Leadership Succession Planning Process.

Business Editors/Health/Medical Writers

NASHVILLE, Tenn.--(BUSINESS WIRE)--June 10, 2003

American Healthways (Nasdaq:AMHC) today announced that Ben R. Leedle, Jr., currently the Company's president and chief operating officer, will succeed Thomas G. Cigarran as chief executive officer, effective September 1, 2003. Cigarran will continue as American Healthways' chairman.

Cigarran, who has served as AMHC's CEO since 1988 and its president from 1981 to 2002, advised the Board about two years ago of his desire to step down as CEO in this time frame which would mark his 15th anniversary in that position. The transition was dependent on the Company's trajectory toward success being clearly established and on Leedle, the leader identified to take the Company to the next level of success, being fully prepared to do so. "This announcement reflects both the Board's and my conviction that those conditions have been satisfied completely and reaffirms the unanimous decision that Ben is the best qualified individual to be American Healthways' CEO and to continue the Company's track record of growth and excellence," Cigarran said.

"American Healthways' consistent ability to provide value for its customers and shareholders reflects Ben's talent, drive and strategic vision," Cigarran added. "Throughout his 18 years with the Company, Ben has demonstrated both the leadership and the operational skill needed to assure the Company is always positioned to anticipate and deliver against opportunities and market demand. He has earned the full support and confidence of the management team, and is fully prepared to lead American Healthways successfully into the future."

Leedle, 42, joined American Healthways in 1985. During his career with the Company, he has held increasingly responsible positions in both operations and business development. In 1994, American Healthways selected Leedle to head the design, development, sales and operations of its health plan business segment that, under his direction, has made American Healthways the industry leader and now provides approximately 90 percent of the company's revenues and profits. As the guiding force behind this program, Mr. Leedle continues to serve as a close contact for American Healthways' key strategic relationships.

"American Healthways is one of the few companies that is distinguished nationally for providing viable solutions to the country's escalating health care challenges and I enthusiastically welcome the opportunity to lead it in its next chapter of success and

growth," Leedle said. "Tom Cigarran has led American Healthways to its current position as the nation's leading provider of care enhancement programs. Succeeding him is a tremendous honor."

Mr. Leedle now serves as president and chief operating officer of American Healthways, and is responsible for operations, information technology, human resources, informatics, contract performance, product performance and management, and sales and business development. He has held the post of COO since 2001, and was appointed president in May of 2002.

Mr. Leedle has held positions as director of operations (Hospital Group), vice president business development (Hospital Group), senior vice president-operations and team leader (Health Plan Group) and executive vice president and COO before being promoted to his current role as president and COO in 2002.

American Healthways will announce it's third quarter earnings on June 19, 2003 and will hold an investors conference call on that date at 5:15 p.m. EDT. At this time, the Company reiterates its previous financial guidance.

About American Healthways

American Healthways (AMHC) is the nation's leading and largest provider of specialized, comprehensive care enhancement services to health plans, physicians, medical management organizations and hospitals. The Company's programs have been reviewed and approved for clinical excellence by Johns Hopkins, and it is the first and only care enhancement provider in the nation to be accredited or certified 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).

American Healthways has contracts to provide disease and care management programs to 770,000 equivalent lives in all 50 states, the District of Columbia, Puerto Rico and Guam. The Company also operates diabetes management programs in hospitals nationwide. For more information visit www.americanhealthways.com.