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PR Newswire
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AMERIGROUP to Begin Operations in South Carolina

VIRGINIA BEACH, Va., Sept. 20 /PRNewswire-FirstCall/ -- AMERIGROUP Corporation today announced that it has executed a contract with the State of South Carolina to begin serving Medicaid enrollees eligible for Temporary Assistance to Needy Families (TANF) and Supplemental Security Income (SSI) under the new South Carolina Healthy Connections Choices program.

"We're very pleased to be working with the State of South Carolina on such a positive program to deliver care to its citizens," said Dr. Michael Musci, Chief Executive Officer of AMERIGROUP South Carolina. "In particular, we look forward to continuing our work with the State's providers, including its major teaching facilities, to ensure the best care possible for those we serve - the financially vulnerable, seniors and persons with disabilities within the State."

Under the Healthy Connections Choices program, the State will roll out service according to region, with the Midlands Region (Columbia) designated as the first area of service. Voluntary enrollment begins October 1, 2007, with auto-assignment scheduled for December 1. This region has more than 170,000 eligibles. The State has announced its intention for the other regions to begin as follows:

Region 2: Piedmont Region (eligible population: more than 160,000), with auto-assignment member service beginning March 1, 2008; Region 3: Low Country Region (eligible population: more than 80,000), with auto-assignment member service beginning May 1, 2008; Region 4: Pee Dee Region (eligible population: more than 80,000), with auto-assignment member service beginning July 1, 2008.

South Carolina's Medicaid-eligible population exceeds 500,000 statewide. Implementation of the contract is subject to the State's formal approval of AMERIGROUP's network, which has been submitted to the State. Each region is expected to be served by multiple managed care organizations.

Dr. Musci returned to AMERIGROUP in April to lead the Company's expansion into South Carolina. He previously served as a National Medical Director for AMERIGROUP. Dr. Musci is Board Certified in pediatrics and neonatal/perinatal medicine, and he has spent 20 years in clinical practice. He has also held positions with Paradigm Health as Chief Medical Officer and most recently as Chief Medical Officer with UnitedHealth Group's Pennsylvania health plan. He received his medical education at Michigan State University and obtained a master's degree in business administration from St. Joseph's University.

AMERIGROUP was founded in 1994 and initially focused solely on serving low-income mothers and children through the Medicaid program. In 1998, the Company began serving people with chronic and severe health conditions through Medicaid's Aged, Blind and Disabled (ABD) program. AMERIGROUP is now a national leader in private sector ABD programs, serving about 171,000 ABD enrollees nationwide.

AMERIGROUP works closely with providers and its members to offer disease management programs for 11 different conditions, ranging from asthma and diabetes to AIDS and schizophrenia, eight of which are accredited by the National Committee for Quality Assurance (NCQA). The Company's health plan in the District of Columbia has also obtained accreditation and a rating of commendable from the NCQA.

All AMERIGROUP health plans in the District and nine states offer members a range of initiatives that are designed to connect the 1.5 million members with quality, preventive healthcare programs that target the specific needs of low-income Americans. Including the District of Columbia, South Carolina will mark the Company's eleventh state of operations.

About AMERIGROUP Corporation

AMERIGROUP Corporation, headquartered in Virginia Beach, Virginia, improves healthcare access and quality for the financially vulnerable, seniors and people with disabilities by developing innovative managed health services for the public sector. Through its subsidiaries, AMERIGROUP Corporation serves more than 1.5 million people in the District of Columbia, Florida, Georgia, Maryland, New Jersey, New York, Ohio, Tennessee, Texas and Virginia. For more information, visit http://www.amerigroupcorp.com/.

CONTACTS: Investors: Julie Loftus Trudell News Media: Kent Jenkins, Jr. AMERIGROUP Corporation AMERIGROUP Corporation Senior Vice President, Senior Vice President, Investor Relations Communications (757) 321-3597 (757) 518-3671

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