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BLUE CROSS OF CALIFORNIA AND PHP HEALTHCARE JOIN TO COMPETE FOR MAJOR MANAGED CARE SYSTEM

 BLUE CROSS OF CALIFORNIA AND PHP HEALTHCARE JOIN
 TO COMPETE FOR MAJOR MANAGED CARE SYSTEM
 ALEXANDRIA, Va., March 2 /PRNewswire/ -- Blue Cross of California and PHP Healthcare Corporation (NASDAQ: PHPH) announced today that they had entered into a joint venture agreement to compete for the operation of the Department of Defense (DoD) Managed Care Program in California and Hawaii, known as the Coordinated Care Support (CCS) program.
 The CCS program will be the successor program to the CHAMPUS Reform Initiative (CRI) currently providing health care services and benefits to over 800,000 military beneficiaries residing in California and Hawaii. The Request for Proposals (RFP) recently issued by the DoD asks that proposals be submitted by May 22, 1992, and contemplates contract award during September 1992 and contract commencement in the second quarter of 1993. The contract is expected to run for five years. U.S. Medicine recently described the CCS program as "The Defense Department program for improving access to care while controlling costs" and stated that it "represents perhaps the largest experiment in managed care in the United States."
 Blue Cross of California, the largest provider of health care insurance and managed care benefits in the state, provides coverage to over 5 million Californians through a network of over 30,000 health care providers. Ron Williams, executive vice president, Health Services and Products for Blue Cross, said: "We are delighted to join forces with an outstanding firm such as PHP Healthcare. Working together, we can combine our success in managed care to provide the best health care to meet the needs of military families and retirees."
 PHP Healthcare Corporation is one of the largest providers of health care services under direct contract to the DoD and has a long history of providing innovative health care delivery programs to military beneficiaries in coordination with Military Treatment Facilities. Commenting on the venture, Charles Robbins, chairman and CEO of PHP Healthcare, stated: "I am pleased to have joined with Blue Cross of California to pursue this extraordinary opportunity to provide innovative solutions to the challenge of providing quality health care services, with convenient access, while containing costs to the hundreds of thousands of military beneficiaries in California and Hawaii."
 -0- 3/2/92
 /CONTACT: Charles H. Robbins, president and chairman, or Jack M. Mazur, senior vice president, PHP Healthcare, 703-998-7808/
 (PHPH) CO: PHP Healthcare Corporation; Blue Cross of California ST: California, Hawaii IN: HEA SU: JVN


DC-SB -- DC040 -- 4144 03/02/92 16:24 EST
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Publication:PR Newswire
Date:Mar 2, 1992
Words:413
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