Breaking News
FONT-SIZE Plus   Neg
Share SHARE

UnitedHealth Wins $20.46 Bln DoD Contract

RELATED NEWS
Trade UNH now with 

U.S. Department of Defense, or DoD has awarded UnitedHealth Group Inc. (UNH: Quote) a contract, worth more than $20 billion, to provide managed care support to DoD's Tricare program, which was earlier held by TriWest Healthcare Alliance. The contract includes about 10-month base period and five one-year option periods for health care delivery, plus a transition-out period.

UnitedHealth is replacing the TriWest Healthcare Alliance, which had managed the 21-state TRICARE West Region for the Department of Defense for many years. The contract had been held since 2009 by the TriWest Alliance, which comprised nonprofit insurers and university hospital systems.

The West Region contractor will assist the Military Health System in operating an integrated health care delivery system combining the resources of the contractor and the military's direct medical care system, DoD stated.

The TRICARE West Region includes Alaska, Arizona, California, Colorado, Hawaii, Idaho, Iowa, Kansas, Minnesota, Missouri, Montana, Nebraska, Nevada, New Mexico, North Dakota, Oregon, South Dakota, Utah, western Texas, Washington and Wyoming.

David McIntyre Jr., TriWest's president and chief executive, said the health-care provider was "disappointed that the Department of Defense chose to reverse their decision."

Consistent with federal regulations, TriWest expects to learn more about the government's decision in an upcoming debriefing. At this time, we will seek to ascertain whether it was appropriate and fair, and to determine our future course of action.

UnitedHealth Shares closed Friday at $55.59 on the New York Stock Exchange, were 3.02 percent higher at $57.27 in after hours trading.

Register
To receive FREE breaking news email alerts for Unitedhealth Group, Inc. and others in your portfolio

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
Stocks have fluctuated over the course of the trading day on Thursday, as traders continue to digest yesterday's monetary policy announcement from the Federal Reserve as well as better than expected third quarter GDP data. Hundreds of protesters stormed Burkina Faso's parliament on Thursday and set fire to the building, preventing the lawmakers from considering a bill to extend the president's 27-year rule. Security forces opened fire on protesters, as they looted computers and televisions in the National Assembly, news agencies reported. The angry crowd then marched towards the President's office, before they were U.S. economic activity increased by more than expected in the third quarter of 2014, according to a report released by the Commerce Department on Thursday. The Commerce Department said GDP increased by 3.5 percent in the third quarter compared to 3.0 percent growth expected by economists.
comments powered by Disqus
FREE Newsletters, Analysis & Alerts

 

Stay informed with our FREE daily Newsletters and real-time breaking News Alerts. Sign up to receive the latest information on business news, health, technology, biotech, market analysis, currency trading and more.