Oregon Department of Human Services Extends McKesson Health Solutions Program, Adds to Covered Disease States; State Adds Two New Diseases, Nurse Advice Service

"McKesson looks forward to continuing to work with the state and helping Medicaid beneficiaries gain more control over their chronic illnesses," said Sandeep Wadhwa, M.D., vice president, Care Management Services, McKesson Health Solutions.

The extension began Oct. 31, 2005, and lasts until Oct. 31, 2007. The disease management program launched in 2002.

In January 2005, the Oregon Department of Health Services reported that McKesson disease management services helped the state avoid at least $6 million in medical costs in the program's first year.

"After our early success with McKesson's program it made sense not only to extend the contract, but to add new disease states that have a high prevalence among Medicaid beneficiaries. Moving forward we hope that the program continues to save money for the state and improve the health and well-being of beneficiaries," said Chris Barber, program manager, Oregon Department of Human Services.

Oregon added McKesson's CareEnhance(R) chronic obstructive pulmonary disease (COPD) and coronary artery disease to the original chronic illnesses managed -- asthma, diabetes and heart failure. Now, about 9,000 eligible Medicaid beneficiaries have access to all five disease management services.

In addition, a total of 74,000 eligible Medicaid beneficiaries -- including the 9,000 beneficiaries participating in the disease management program -- now have access to McKesson's 24x7 CareEnhance(R) nurse advice line. This telephonic service is staffed by registered nurses who provide callers with treatment recommendations for acute medical issues.

"By adding the nurse advice line and new disease states to their chronic illness management program, Oregon has once again demonstrated its commitment to Medicaid beneficiaries," said Herb K. Schultz, vice president, Government Programs, McKesson Health Solutions.

The disease management services are delivered telephonically by McKesson registered nurses or in the field by McKesson's community-based registered nurse staff. McKesson has five community-based registered nurses in Oregon who provide health education and support in the homes of Medicaid beneficiaries and work with the beneficiary's physician to ensure that treatment plans are followed. The program now includes a number of other Oregon-based healthcare professionals including a provider outreach coordinator, who works directly with physicians, and community health workers and health resource coordinators.

McKesson also provides disease management and/or nurse triage services to state Medicaid beneficiaries in Colorado, Mississippi, Montana, New Hampshire, Oregon, Pennsylvania, Texas and Washington.

Case management services will be provided by Oregon-based Innovative Care Management -- a women-owned company -- which has provided medical management services since 1990.

About McKesson Corporation

McKesson Corporation, currently ranked 15th on the FORTUNE 500, is a healthcare services and information technology company dedicated to helping its customers deliver high-quality healthcare by reducing costs, streamlining processes and improving the quality and safety of patient care. Over the course of its 172-year history, McKesson has grown to provide pharmaceutical and medical-surgical supply management across the spectrum of care; healthcare information technology for hospitals, physicians, homecare and payors; hospital and retail pharmacy automation; and services for manufacturers and payors designed to improve outcomes for patients. For more information, visit us at www.McKesson.com.

CareEnhance is a registered mark of McKesson Health Solutions LLC.