Tennessee Awards HP $88 Million Medicaid Contract Extension

HP to Continue to Provide Continuity, Stable Foundation for TennCare Transformation

Marketwired

PALO ALTO, CA--(Marketwired - Jun 18, 2013) - HP (NYSE: HPQ) Enterprise Services today announced the Bureau of TennCare, Tennessee's Medicaid program, has signed an $88 million agreement for HP to continue as the state's facilities manager for another two years, helping enable the state's program transformation while maintaining program stability for members.

Under the terms of the new agreement, which includes two one-year options, HP will help the state move its technology infrastructure to a more flexible and sustainable services-oriented architecture that will improve responsiveness to business changes.

The agreement also includes a continuation of HP Applications Services to maintain the TennCare Management Information System, which enhances workflow while providing timely access to accurate and meaningful information.

HP will continue to deploy federally mandated International Classification of Diseases - 10th Revision (ICD-10) medical coding features. These systems and services are designed to enable informed decisions and better program management, and to help achieve the state's goals in accordance with federal funding requirements.

As TennCare's facilities manager for the past 18 years, HP also will provide system stability by continuing to provide Business Process Outsourcing, including mailroom, data capture and resolution services.

"Preparing for federal- and state-driven program changes requires process and system modifications while maintaining smooth, uninterrupted interaction with providers and beneficiaries," said Susan Arthur, vice president, U.S. Health and Life Sciences Industry, HP Enterprise Services. "The HP team is committed to providing a stable, secure and cost-effective environment that will support the state's transformation while helping maintain a quality Medicaid program."

TennCare is one of the oldest Medicaid managed care programs in the country, providing healthcare for 1.2 million Tennesseans and operating with an annual budget of approximately $9 billion. It is the only program in the nation to enroll the entire state Medicaid population in managed care.

HP is the nation's largest provider of Medicaid and Medicare process management services, administering $140 billion in benefits a year. It serves as the fiscal agent or principal IT provider for Medicaid in 20 states. HP's U.S. healthcare experience spans payer, government and life science communities.

About HP
HP creates new possibilities for technology to have a meaningful impact on people, businesses, governments and society. The world's largest technology company, HP brings together a portfolio that spans printing, personal computing, software, services and IT infrastructure to solve customer problems. More information about HP is available at http://www.hp.com.

This news release contains forward-looking statements that involve risks, uncertainties and assumptions. If such risks or uncertainties materialize or such assumptions prove incorrect, the results of HP and its consolidated subsidiaries could differ materially from those expressed or implied by such forward-looking statements and assumptions. All statements other than statements of historical fact are statements that could be deemed forward-looking statements, including but not limited to statements of the plans, strategies and objectives of management for future operations; any statements concerning expected development, performance, market share or competitive performance relating to products and services; any statements regarding anticipated operational and financial results; any statements of expectation or belief; and any statements of assumptions underlying any of the foregoing. Risks, uncertainties and assumptions include macroeconomic and geopolitical trends and events; the competitive pressures faced by HP's businesses; the development and transition of new products and services and the enhancement of existing products and services to meet customer needs and respond to emerging technological trends; the execution and performance of contracts by HP and its customers, suppliers and partners; the protection of HP's intellectual property assets, including intellectual property licensed from third parties; integration and other risks associated with business combination and investment transactions; the hiring and retention of key employees; assumptions related to pension and other post-retirement costs and retirement programs; the execution, timing and results of restructuring plans, including estimates and assumptions related to the cost and the anticipated benefits of implementing those plans; the resolution of pending investigations, claims and disputes; and other risks that are described in HP's filings with the Securities and Exchange Commission, including HP's Annual Report on Form 10-K for the fiscal year ended October 31, 2012. HP assumes no obligation and does not intend to update these forward-looking statements.

© 2013 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice. The only warranties for HP products and services are set forth in the express warranty statements accompanying such products and services. Nothing herein should be construed as constituting an additional warranty. HP shall not be liable for technical or editorial errors or omissions contained herein.

View Comments