SOURCE: Comprehensive Care Corporation

July 10, 2006 09:00 ET

CompCare Secures New Contract

Now the Largest MBHO Servicing Medicaid HMOs in Michigan

TAMPA, FL -- (MARKET WIRE) -- July 10, 2006 --Comprehensive Care Corporation (OTCBB: CHCR) (CompCare) signed a contract with a leading health plan in Southeast Michigan to provide behavioral health services for 60,000 Medicaid recipients. In addition to securing a new contract, CompCare expects to add approximately 120,000 Medicaid lives in that state through its other existing clients' expansion. By September 2006, CompCare expects to manage approximately 480,000 lives in Michigan via four health plans, making it the largest Managed Behavioral Health Organization (MBHO) servicing Medicaid HMOs in that state.

Mary Jane Johnson, Chief Executive Officer, said, "I am very pleased with our continued expansion in Michigan. We have participated in Michigan's Managed Medicaid program since its inception almost ten years ago. Maximizing the delivery system and administering the outpatient benefit requires strong working relationships with community mental health centers to ensure coordination of services and improved outcomes. Our hallmark is integrating medical and behavioral health and we continue to infuse this concept throughout all of our business. CompCare has introduced a number of noteworthy programs all centered on integration, including our most recent Pharmacy Management and Substance Abuse Disease Management products."

Ms. Johnson added, "This new business also signifies the importance we place on quality and customer service. As we grow, customized attention is crucial in maintaining successful client relationships. We are committed to maintaining the personal touch we are so well known for."

About Comprehensive Care Corporation

Established in 1969, CompCare provides behavioral health, substance abuse, and employee assistance programs for governmental agencies, managed care companies and employer groups throughout the United States. Headquartered in Tampa, Florida, CompCare focuses on personalized attention, flexibility, a commitment to high-quality services, and innovative approaches to behavioral health that address both the specific needs of clients and changing healthcare industry demands.

"Safe Harbor" statement under the Private Securities Litigation Reform Act of 1995: Certain information included herein and in other Company reports, SEC filings, statements, and presentations is forward-looking within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements concerning the Company's anticipated operating results, financial resources, increases in revenues, increased profitability, interest expense, growth and expansion, and the ability to obtain new behavioral healthcare contracts. Such forward-looking information involves important risks and uncertainties that could significantly affect actual results and cause them to differ materially from expectations expressed herein and in other Company reports, SEC filings, statements, and presentations. These risks and uncertainties include, but are not limited to, changes in local, regional, and national economic and political conditions, the effect of governmental regulation, competitive market conditions, varying trends in member utilization, our ability to manage healthcare operating expenses, the profitability of our capitated contracts, cost of care, seasonality, and other risks detailed from time to time in the Company's SEC reports.

Contact Information

  • FOR MORE INFORMATION, PLEASE CONTACT
    Robert J. Landis
    Chairman, Chief Financial Officer and Treasurer
    (813) 288-4808