COVENTRY TO SELL DENTAL HMO.NASHVILLE, Tenn.--(BUSINESS WIRE)--Oct. 3, 1996--Coventry Corporation (Nasdaq/NM:CVTY) announced today that it has entered into a definitive agreement to sell Champion Dental to First Commonwealth, Inc. (Nasdaq/NM:FCWI). Champion Dental is a managed care dental plan owned by Group Health Plan, Coventry's HMO HMO health maintenance organization. HMO n. A corporation that is financed by insurance premiums and has member physicians and professional staff who provide curative and preventive medicine within certain financial, subsidiary in St. Louis, Missouri. Champion Dental provides services to approximately 60,000 members and generated approximately $2.2 million in revenues for the year ended December 31, 1995. Coventry will receive approximately $5.5 million in cash when the transaction is completed. The transaction is subject to regulatory approval of the state of Missouri. Richard H. Jones, senior vice president of Coventry said, "The sale of this dental HMO is consistent with Coventry's announced strategy of focusing its resources on providing medical health care products and services. Champion Dental patients will be well served by a company such as First Commonwealth which specializes in providing dental care and has a proven trackrecord of providing a broad range of innovative dental products designed to meet the needs of a wide range of employer groups employer group Association of employers Managed care An entity with a current group benefits agreement in effect with a health plan to provide covered health care services to its employee-subscribers and eligible dependents. ." Mr. Christopher C. Multhauf, chairman and chief executive officer of First Commonwealth, Inc., said, "Our acquisition of Champion is an integral part of our strategy of expanding into contiguous Adjacent or touching. Contrast with fragmentation. See contiguous file. Midwest markets. With its large provider network, Champion represents an excellent platform for us to rapidly enter the metropolitan St. Louis marketplace. Upon the completion of this acquisition and other initiatives, we will have a presence in the major markets of Chicago, Milwaukee, Detroit, Indianapolis, and St. Louis. We intend to expand our provider networks in these markets and aggressively market our products." First Commonwealth, Inc. is a regionally focused managed dental benefits company with operations in Illinois, Indiana and Wisconsin. First Commonwealth currently serves over 420,000 members through its managed care, indemnity/PPO and fee income products. Coventry Corporation, headquartered in Nashville, Tennessee “Nashville” redirects here. For other uses, see Nashville (disambiguation). Nashville is the capital and the second most populous city of the U.S. state of Tennessee, after Memphis. , is a managed health care company that provides a wide range of health benefits and services to a broad cross section of employer and government-funded groups in Pennsylvania, Ohio, West Virginia West Virginia, E central state of the United States. It is bordered by Pennsylvania and Maryland (N), Virginia (E and S), and Kentucky and, across the Ohio R., Ohio (W). Facts and Figures Area, 24,181 sq mi (62,629 sq km). Pop. , Missouri, Illinois, Virginia and Florida. The Company operates from regional headquarters in Pittsburgh and Harrisburg, Pennsylvania This article is about the capital city of the Commonwealth of Pennsylvania. For other places named Harrisburg, see Harrisburg (disambiguation). Harrisburg is the capital of the Commonwealth of Pennsylvania, a state of the United States of America. ; St. Louis, Missouri; Richmond, Virginia Richmond IPA: [ɹɯʒmɐnɖ] is the capital of the Commonwealth of Virginia, in the United States. ; and Jacksonville, Florida “Jacksonville” redirects here. For other uses, see Jacksonville (disambiguation). Jacksonville is the largest city in the state of Florida and the county seat of Duval County. . CONTACT: Coventry Corp., Nashville Richard H. Jones, 615/391-2448 Scott Whitaker, 615/231-1159 |
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