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8-K - FORM 8-K - MEDCO HEALTH SOLUTIONS INC | y88819e8vk.htm |
Exhibit 99.1
Investors:
|
Valerie Haertel | Media: | Lowell Weiner | |||
(201) 269-5781 | (201) 269-6986 | |||||
valerie_haertel@medco.com | lowell_weiner@medco.com |
Medco Announces Update on Status of Agreement with MemberHealth, LLC
FRANKLIN LAKES, N.J., Jan. 3, 2011 Medco Health Solutions, Inc. (NYSE: MHS) today reported
that it has received notice of termination, effective December 31, 2011, of its Medicare Part D
prescription benefits management agreement with MemberHealth, LLC, a subsidiary of Universal
American. Pursuant to the agreement, Medco provides pharmacy benefit management services to
beneficiaries of various Medicare plans that are under contract with the
Centers for Medicare and Medicaid Services. The notice of termination followed as a result of the
announcement of the acquisition of Universal Americans Medicare Part D business by CVS-Caremark
Corporation.
Due to the December 31, 2011 termination date, the termination of this contract will not have an
impact on Medcos 2011 financial results. In addition, the impact to Medcos 2012 earnings will not be material as this business is very heavily weighted toward particularly low-margin dual-eligible business.
About Medco
Medco Health Solutions, Inc. (NYSE: MHS) is pioneering the worlds most advanced pharmacy® and its clinical research and innovations are part of Medco making medicine smarter for approximately 65 million members.
Medco Health Solutions, Inc. (NYSE: MHS) is pioneering the worlds most advanced pharmacy® and its clinical research and innovations are part of Medco making medicine smarter for approximately 65 million members.
With over 20,000 employees dedicated to improving patient health and reducing costs for a wide
range of public and private sector clients, and 2009 revenue of nearly $60 billion, Medco ranks
35th on the Fortune 500 list and is named among the worlds most innovative, most
admired and most trustworthy companies.
For more information, go to http://www.medcohealth.com.
This press release contains forward-looking statements as that term is defined in the Private
Securities Litigation Reform Act of 1995. These statements involve risks and uncertainties that
may cause results to differ materially from those set forth in the statements. No forward-looking
statement can be guaranteed, and actual results may differ materially from those projected. We
undertake no obligation to publicly update any forward-looking statement, whether as a result of
new information, future events or otherwise. Forward-looking statements are not historical facts,
but rather are based on current expectations, estimates, assumptions and projections about the
business and future financial results of the pharmacy benefit management (PBM) and specialty
pharmacy industries, and other legal, regulatory and economic developments. We use words such as
anticipates, believes, plans, expects, projects, future, intends, may, will,
should, could, estimates, predicts, potential, continue, guidance and similar
expressions to identify these forward-looking statements. Medcos actual results could differ
materially from the results contemplated by these forward-looking statements due to a number of
factors. You should carefully consider the risks and uncertainties that affect our business
described in our Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and other documents
filed from time to time with the Securities and Exchange Commission.