CVS' PharmaCare Unit Wins Multi-Year Subcontract For U.S. Department of Defense.WOONSOCKET, RI--(BUSINESS WIRE)--October 1, 1997--CVS Corporation (NYSE NYSE See: New York Stock Exchange : CVS (1) (Concurrent Versions System) A version control system for Unix that was initially developed as a series of shell scripts in the mid-1980s. CVS maintains the changes between one source code version and another and stores all the changes in one file. ) announced today that its PharmaCare subsidiary has been awarded a significant, multi-year subcontract by the United States Department of Defense (DoD). The DoD has selected Sierra Military Health Services health services Managed care The benefits covered under a health contract , Inc. (SMHS SMHS Sisters of Mercy Health System SMHS San Marcos High School (California) SMHS San Mateo High School SMHS St. Mary's High School SMHS San Marino High School (California) ) and PharmaCare Management Services, Inc., its Pharmacy Benefits Manager, to serve approximately 600,000 beneficiaries of the Civilian Health and Medical Program of the Uniformed Services (CHAMPUS CHAMPUS Civilian Health & Medical Program for Uniformed Services A health care plan for military dependents and retirees operated by the DoD Types of service HMO, PPO, and fee-for-service, through a single health plan known as TriCare ) in 13 states and the District of Columbia District of Columbia, federal district (2000 pop. 572,059, a 5.7% decrease in population since the 1990 census), 69 sq mi (179 sq km), on the east bank of the Potomac River, coextensive with the city of Washington, D.C. (the capital of the United States). . This multi-year subcontract for pharmacy benefits is valued at approximately $150 million and the total contract award is valued at approximately $1.5 billion. This TRICARE Managed Care Support (MCS) Contract includes CHAMPUS beneficiaries in Washington, DC and the states of Maine, Vermont, New Hampshire New Hampshire, one of the New England states of the NE United States. It is bordered by Massachusetts (S), Vermont, with the Connecticut R. forming the boundary (W), the Canadian province of Quebec (NW), and Maine and a short strip of the Atlantic Ocean (E). , Massachusetts, Rhode Island, Connecticut, New York, New Jersey, Pennsylvania, Delaware, Maryland and portions of Virginia and West Virginia. "This award validates PharmaCare's excellent record of cost containment in pharmaceutical management. We are honored to serve the Department of Defense's military beneficiaries," said Greg Weishar, President of PharmaCare. "This award builds on our managed care and employer-based business. We look forward to providing the highest quality of pharmacy services to CHAMPUS beneficiaries while, at the same time, contributing real program cost savings." Tom Ryan, President and Chief Executive Officer of CVS/Pharmacy, added: "We are delighted to have been selected to serve the 600,000 beneficiaries of CHAMPUS in the Northeast and Mid-Atlantic. Our recent acquisition of Revco, including its mail service facility, enabled us to offer a unique and complete pharmacy benefit management A Pharmacy Benefit Manager (PBM) is a third party administrator of prescription drug programs. They are primarily responsible for processing and paying prescription drug claims. service at both the retail and mail level." Under the contract, PharmaCare will administer the TRICARE pharmacy benefits for the dependents of active duty military personnel, as well as retirees and their dependents, in all branches of the uniformed services - Army, Navy, Air Force, Marine Corps, Coast Guard, Public Health Services and the National Oceanic and Atmospheric Atmospheric Administration - beginning in May of 1988. CVS' PharmaCare subsidiary is a prescription benefits management company that provides employers and managed care organizations unique solutions to rising pharmaceutical costs. PharmaCare's innovative strategy of Coordinated Pharmaceutical Care enables customers to safely and cost effectively provide prescription drug coverage to their beneficiaries. Sierra Military Health Services is a subsidiary of Sierra Health Services, Inc. (NYSE: SIE SIE Sierra Health (stock symbol) SIE Serial Interface Engine SIE Serviciul de Informatii Externe (Romanian: Intelligence Service for the Exterior) SIE Società Italiana di Endocrinologia ). CVS Corporation is the nation's largest chain drug store company based on store count and second based on sales volume. The Company operates its stores in 24 states and the District of Columbia, in the Northeast, Mid-Atlantic, Southeast and Midwest. CONTACT: Investor Contact: Nancy Christal Vice President Investor Relations (914) 722-4704 or Media Contact: Fred McGrail Director Corporate Communications (401) 765-1500, ext. 4630 |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion