For Immediate Release

Silver Spring, Maryland
July 11, 2006

APS Healthcare and HealthMedia Announce Strategic Partnership

APS Healthcare enhances health management product offering

APS Healthcare, one of the country’s leading specialty healthcare companies, and HealthMedia, Inc., the market leader in tailored behavior change programs, today announced a strategic partnership to integrate HealthMedia’s lifestyle and disease management programs into APS’ health management offering. This partnership will expand APS’ position as one of the leaders in developing customized health management programs rooted in behavioral principles.  

HealthMedia’s comprehensive suite of Internet-based tools provides tailored communications that address lifestyle issues and readiness and motivation to change. As part of its health management programs, APS’ product offering will include HealthMedia’s health risk assessment (HRA), lifestyle management programs, chronic condition management programs and online support tools and resources. These online capabilities will augment the health management programs currently being provided by APS health coaches via telephonic and community-based activities.

“We selected HealthMedia because of its leadership position in developing behavior change programs, which complement APS’ approach of managing healthcare holistically to address mental and physical health issues and improve the overall health of our members,” said Jay Krueger, APS’ senior vice president of Business Strategy. “This partnership fills a major need for APS’ customers and further differentiates us in the health management marketplace.”

“We are excited to be a part of this unique partnership with APS Healthcare because they truly embrace behavioral change as the foundation of their health management programs,” said Ted Dacko, president and CEO of HealthMedia. “Our offering is a perfect fit for APS’ health management approach.”

About APS
APS Healthcare, headquartered in Silver Spring, Md., is a leading provider of specialty healthcare solutions that cover more than 20 million members in the United States and Puerto Rico. APS offers customized, integrated healthcare solutions across two major healthcare product lines – care management and behavioral health services. APS operates under the belief that managing healthcare for the mind and body improves overall health and reduces total healthcare spending.

For more information, contact:

Sarah Clark-Lynn
Manager, Corporate Communications
APS Healthcare
800-305-3720, ext. 3266
sclynn@apshealthcare.com