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MED ADVANTAGE ACQUIRES PACIFICARE BEHAVIORAL HEALTH AGREEMENT

Orlando, FL., October 8, 1996 - Med Advantage announced today that it has contracted with PacifiCare Behavioral Health located in Laguna Hills California as their credentialing outsourcing vendor. The contract calls for Med Advantage to provide credentialing services for all of their states, starting in California. Financial details were not disclosed.

"We are extremely pleased to be associated with PacifiCare." said John C. Barrett, Vice President of Med Advantage. " PacifiCare is always interested in improving the process in which the providers are credentialed". PacifiCare’s Director of Network Management, Joseph Arnold stated "Med Advantage will assist us in maintaining national accreditation with the National Committee for Quality Assurance (NCQA) by simplifying the credentialing process."

The process of recredentialing the network will include mailing a condensed version of the application, receiving the information and forwarding it to Med Advantage for primary source verification. This process will allow for a simplified credentialing process.

Med Advantage is considered one of the largest Credentials Verification Organizations (CVO) in the country. Med Advantage received its Certification as a CVO from NCQA* in September of this year. The database which Med Advantage has compiled currently holds over 750,000 providers and has over 4.3 million elements verified according to both NCQA and The Joint Commission on Accreditation of Healthcare Organizations (JCAHO) standards.

* The National Committee for Quality Assurance, located in Washington, D.C., is an independent, non-profit organization that certifies credentials verification organizations and accredits managed care organizations.

CONTACT: John C. Barrett of Med Advantage , 407-282-5131

CO: Medical Advantage, Inc., d/b/a Med Advantage ST: FL
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