Coventry Health Care, Inc. to Acquire New Alliance Health Plan.Business Editors/Health & Medical Writers BETHESDA, Md.--(BUSINESS WIRE)--April 1, 2002 Coventry Health Care Coventry Health Care, Inc. (Coventry) (NYSE: CVH) is a managed health care company in the United States. On February 8th of 2007 Coventry agreed to acquire Concentra's Workers Compensation Managed Care Services Businesses. External links
See: New York Stock Exchange : CVH CVH Helicopter Carrier CVH Compound-valve-angle Hemispherical Combustion-chamber (Ford cylinder head design and family of engines) CVH Compound Valve Angle Hemispheral Combustion Chamber CVH continuous venous hemodialysis ) announced today that its subsidiary, HealthAmerica of Pennsylvania, Inc., has signed a definitive agreement to acquire New Alliance Health Plan in Erie, Pennsylvania. New Alliance, a privately owned health plan, has approximately 47,000 commercial members. The acquisition will bring Coventry's total membership in Pennsylvania to over 580,000, making it one of the largest health plans in the state. HealthAmerica is the number one rated health plan in Pennsylvania and number six in the nation as ranked by Newsweek. "We are pleased to announce the acquisition of New Alliance which expands our HealthAmerica franchise into the northwestern Pennsylvania market," said Allen F. Wise, President and Chief Executive Officer of Coventry. "We look forward to bringing the HealthAmerica brand to the Erie area and continuing to grow our business in Pennsylvania. As our industry consolidates, we will continue to seek opportunities like New Alliance to grow our business in existing as well as new markets." Included in the acquisition are long-term provider and employer group 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. agreements with the Hamot Health Foundation / Medical Center and the Saint Vincent Health System, the two premier provider systems in the Erie market. The transaction will be accounted for as a stock purchase and is subject to regulatory and other customary approvals. The transaction is expected to be neutral to earnings in 2002. Terms of the transaction were not disclosed. Coventry Health Care is a managed health care company based in Bethesda, Maryland operating health plans and insurance companies under the names Coventry Health Care, Coventry Health and Life, Carelink Health Plans, Group Health Plan, HealthAmerica, HealthAssurance, HealthCare USA, Southern Health and WellPath. The Company provides a full range of managed care products and services including 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, , PPO PPO abbr. preferred provider organization PPO Managed care Preferred provider organization, see there Infectious disease Pleuropneumonia-like organism, see there , POS (1) See point of sale and packet over SONET. (2) "Parent over shoulder." See digispeak. POS - point of sale , Medicare+Choice and Medicaid to 1.8 million members in a broad cross section of employer and government-funded groups in 12 markets throughout the Midwest, Mid-Atlantic and Southeast United States. More information is available on the Internet at http://www.coventryhealth.com. This press release contains forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995. These statements relate to future events or future financial performance and may be significantly impacted by certain risks and uncertainties described in the Company's Annual Report on Form 10-K for the year ended December 31, 2001 filed with the Securities and Exchange Commission. |
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