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UPMC Health Plan Expands Pharmacy Network

PITTSBURGH (August 1, 2006) - UPMC Health Plan members will soon be able to fill their prescriptions at a significantly expanded number of pharmacies across the region and nationally.

UPMC Health Plan, named this year by U.S. News & World Report and the National Committee for Quality Assurance (NCQA) as the top ranked health plan in Pennsylvania, announced today that it is partnering with St. Louis-based Express-Scripts, Inc. (Nasdaq: ESRX) to provide pharmacy benefits management, effective January 1, 2007.

The new, expanded network will include as many as 30,000 pharmacies across the country including independent pharmacies and notable retail chains such as Eckerd, Target, and Rite Aid. Beginning in January, hundreds more locations will be accessible throughout the Health Plan's 28-county service area.

"This new network will provide greater convenience and affordable access to medications our members need to get and stay healthy," said Diane P. Holder, president of UPMC Health Plan. "This expansion ensures that members will receive high-quality pharmacy services whether at home, at work, or traveling - any time they need them."

Members will be able to visit the following pharmacies to fill their prescriptions:

Name of Pharmacy: Status:
Eckerd Pharmacy new
Giant Eagle Pharmacy current
Kmart Pharmacy new
Rite Aid Corp. new
Sam's Club Pharmacy new
Target Pharmacy new
Walgreen Co. new
Wal-Mart Pharmacy new

Other benefits of this new, expanded partnership include:

  • Comprehensive Formulary -- UPMC Health Plan's formulary will continue to be developed and maintained by leading UPMC physicians and pharmacists.

  • Service & Clinical Excellence -- The Health Plan's unique clinical programs will be strengthened by integrating Express-Scripts' advanced data and distribution capabilities with a robust technology platform.

  • Enhanced Online Features -- Through Health Plan's website, members can order prescriptions, check co-pay levels, review formulary information, locate a pharmacy, and read about benefit information at www.upmchealthplan.com.

  • Enhanced Benefits for UPMC Health Plan -- Trend Central, Express-Scripts' interactive business intelligence application uses industry-leading software to provide key statistics, performance results, trends, and benchmarks.

"After a nationwide search, we are confident that Express-Scripts is a strong partner in delivering a dynamic program that will better meet our members' needs," said Anne Boland Docimo, MD, UPMC Health Plan's chief medical officer. "We are so pleased that members who are being treated for medical problems will be able to access high-quality pharmacy services in nearby, convenient locations."

Express-Scripts will replace Argus Health Systems, Inc., which currently provides pharmacy management services to the Health Plan. Express-Scripts is one of America's largest pharmacy benefit managers and provides pharmacy benefits for millions of people nationwide through employers, managed-care plans, unions, and government entities.

"We are very pleased that UPMC Health Plan selected Express Scripts to help manage the pharmacy benefit for its members," said Express Scripts Chairman and Chief Executive Officer George Paz. "We look forward to combining the strengths of Express Scripts and the Health Plan to ensure plan members benefit from an enhanced network and improved integrated services. We will also continue the Health Plan's standard of providing high-quality service to members, while working to make the use of prescription drugs safer and more affordable."

Express-Scripts currently provides mail order and specialty pharmacy services to UPMC Health Plan members. Those services will continue under the new agreement.

UPMC Health Plan will also continue to develop pharmacy benefits through its own Pharmacy Department and through the expertise of its Pharmacy & Therapeutics Committee, which consists of physicians and pharmacists.


About Express Scripts
Express-Scripts, Inc. (Nasdaq: ESRX) is one of the largest pharmacy benefit management (PBM) companies in North America, providing PBM services to over 55 million patients through facilities in 13 states and Canada. Express Scripts serves thousands of client groups, including managed-care organizations, insurance carriers, third-party administrators, employers and union-sponsored benefit plans. The company also provides distribution services for specialty pharmaceuticals through its CuraScript specialty pharmacy. More information can be found at http://www.express-scripts.com.

About UPMC Health Plan
UPMC Health Plan, the second largest health insurer in Western Pennsylvania, is owned by the University of Pittsburgh Medical Center (UPMC), one of the nation's top-ranked health systems. As part of an integrated health care delivery system, UPMC Health Plan partners with UPMC and community network providers to improve clinical outcomes as well as the health of the greater community. The National Committee for Quality Assurance and U.S. News & World Report listed UPMC Health Plan as the top-ranked health plan in Pennsylvania and one of the top 20 health plans in the United States. The Health Plan is the only Pennsylvania plan to receive five stars in the categories of "Prevention" and "Treatment," and is the highest-ranked managed care company in the nation for breast cancer screening for the second consecutive year. The integrated partner companies of the UPMC Insurance Services Division - which includes UPMC Health Plan, Work Partners, EAP Solutions, UPMC for You (Medical Assistance), and Community Care Behavioral Health - offer a full range of group health insurance, Medicare, Children's Health Insurance Program, Medical Assistance, behavioral health, employee assistance, and workers' compensation products and services to over 700,000 members. Our local provider network includes UPMC as well as community providers, totaling more than 80 hospitals and more than 7,000 physicians in a 28-county region.

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