January 12, 2009 the Centers for Medicare and Medicaid Services (CMS) ordered UniCare to temporarily suspend enrollment and marketing of our Medicare Advantage (MA), Medicare Advantage Prescription Drug (MAPD) and Prescription Drug Plan (PDP).

We have been working with CMS for several months to resolve issues identified as a result of a recent CMS audit, our own self-audit, and issues stemming from our members’ ability to access their pharmacy benefits. Our plan is to continue working with CMS to make the necessary business improvements in our operations and processes as quickly as possible so that we can re-enter the market in a position to better serve our current and future Medicare members.

The MA, MAPD and Medicare Supplement members we currently serve can continue to count on us to provide their health benefits. We will continue to sell our Medicare Supplement products