Birman Managed Care Announces New Board Appointee; Rear Admiral Warren E. Aut Joins the Board.

COOKEVILLE, Tenn.--(BUSINESS WIRE)--Nov. 3, 1998--BIRMAN MANAGED CARE, INC. (NASDAQ: BMAN), a physician-driven health care consulting and management company, announced today that Rear Admiral Warren E. Aut, a distinguished veteran and businessman, has agreed to serve on the Board of Directors.

Admiral Aut retired from the Navy in 1987, having served for 35 years. Command posts he held included Commander, Fleet Air Mediterranean, Commander, Maritime Air Forces Mediterranean, Commander Surveillance and Reconnaissance Forces for U. S. Sixth Fleet, Field Commander of the Defense Nuclear Agency, Commander Naval Recruit Training Center, San Diego CA and Chief of Staff, Supreme Allied Commander Atlantic. While in the service, he earned a Masters Degree in Financial Management. Since leaving the military, Admiral Aut has been in constant demand by the private sector for his military and civilian business leadership. His desirability is exemplified by having served on several Boards of Directors for a variety of organizations ranging from a Simulator Development Company to a publicly-traded Health Maintenance Organization.

Currently, Admiral Aut is Managing Director of ISSG, Inc., a company that is developing a new "Ultra Slow Speed" camera technology. He is the President of an Organizational Assessment Company, and travels globally speaking on The Art of War in the Corporate World. Admiral Aut has served as Senior Advisor to Boards of Directors of several companies and was the President of a financial investment company.

David N. Birman, MD, Chairman, President and CEO of Birman Managed Care, Inc. said, "Admiral Aut brings to our organization an impressive background in leadership, management, strategic planning, and business skills -- having extensive experience in both the government and the private sectors. As a leader in the U.S. Navy, he managed multi-billion dollar budgets and was involved with a wide range of technologies. Throughout his military career Admiral Aut worked with Naval Hospitals and other Naval Medical Facilities to increase their productivity. His accomplishments in private industry since leaving the Navy have been quite significant. We look forward to his analysis and guidance as a new and integral member of our Board."

BIRMAN MANAGED CARE, INC. is a health care consulting company with a physician-focused core competency. Through its subsidiary, Birman & Associates, the Company offers a range of compliance products and quality management services customized for health care providers including hospitals and physician offices. The Company also operates Hughes & Associates, a licensed pre-certification and utilization review company; and Rehab Partners, a workers compensation Preferred Provider Organization (PPO) in Mississippi.

The information contained herein includes "forward looking statements" as defined in the Private Securities Litigation Reform Act of 1995. The statements by Dr. Birman addressing future operations are to be considered "forward-looking" for purposes of the Act. Investors are cautioned that forward-looking statements involve risks and uncertainties, including general economic conditions, delays and risks associated with the performance of contracts, consumer and industry acceptance and regulatory risks.