Centene’s quality and cost-effective programs have become increasingly important as more states recognize the tangible benefits of adopting the managed care model. As state budgets continue to be under tremendous pressure, new and existing states have an increased urgency to move away from fee-for-service and move toward adopting the higher quality, cost-effective managed care model. This has resulted in an unprecedented demand for the products and services such as Centene offers, as evidenced by an abundant RFP pipeline.

For example, we are pleased to announce our newest health plan, Magnolia, is up and running in Mississippi. This was the first time the state moved its Medicaid recipients into managed care. We recently commenced operations in all 82 counties of the state, serving the aged blind and disabled, children in foster care and people with breast or cervical cancer.

Additionally, we are also pleased to have been chosen by Illinois as one of two vendors to provide managed care services to approximately 40,000 Older Adults and Adults with Disabilities in six Chicago area counties, as part of the state’s mandatory healthcare enrollment program. We look forward to commencing in Illinois later this year.

By expanding our focus to the under-insured and uninsured as well as to the Medicaid population, Centene has been able to enhance our strategic position while also meeting the ever-growing needs of our state partners. Our acquisitions of Celtic in 2008 and most recently NovaSys have provided us with the tools to create “Hybrid” or “Exchange-based” plans that address the needs of these low-income populations, who often move in and out of Medicaid eligibility. We now have four such programs in Massachusetts, Arkansas, Texas and Indiana.

Looking ahead, Centene will be ready to take on the additional opportunities that healthcare reform will bring in 2014—though we are not dependent solely on reform for our continued growth. At this point in time, we are focused on 2011 and 2012, and the numerous opportunities that will present themselves as states continue to tackle their healthcare budget issues.

Each year, Fortune magazine publishes a report on the largest companies by revenue. This year, with 2009 revenues of $4.1 billion, Centene ranked #486 – breaking into the top 500 for the first time. Last year, we ranked #609 with revenues of $ 3.3 billion.

Why is this important? The new milestone underscores the strong and consistent growth we’ve worked hard to achieve. It is recognition that we are navigating Centene toward a prosperous future, despite the difficult and volatile economic climate.

I would like to use this occasion to commend every employee for their contribution to our achievement, and also for their everyday efforts to bring better health outcomes to our 1.5 million members.

Going forward, I am convinced we will continue to reach new milestones as we expand our ability to offer innovative, low-cost solutions to states for high quality health care services for the un-insured and under-insured.

Centene has long supported high-quality coverage for all Americans. In this spirit, the new law will:

• Extend coverage to 32 million uninsured by expanding Medic aid and implementing plans for premium and cost-sharing credits for low and moderate income individuals and families.
• Guarantee access to coverage for everyone, regardless of pre-existing conditions.
• Improve access to home and community-based services, and require Medicaid coverage for former foster care children who are below the age of 25.

Importantly, the legislation emphas izes comprehensive  coordinated management of all aspects of patient care. Vulnerable  Medicaid patients get better care when all services are coordinated  through one health care home.

Our company has 25 years of experience in managing health care for the uninsured, including our ongoing experience with a  state “exchange.” With our strong locally-based approach to providing care at a cost savings to states, we can play a significant role in helping to implement reform initiatives.

This measure will require diligent efforts on the part of  every stakeholder in our health care system — including health care providers, pharmaceutical companies, members, employers, and the health insurance companies, to name a few. While there are challenges associated with implementing change on such a broad scale, the opportunities are also abundant as we strive to improve health outcomes for all Americans.

Welcome to the official launch of the new centene.com – a fresh, modern look for our company’s website. We also chose this occasion to start our first company blog to discuss topics that affect our business.

As a growing organization, we seek new and innovative ways to improve the way we do business. A part of that growth involves making investments in our People, so it’s a natural progression to make an investment in our website. This change comes at an excellent time and helps confirm our position as a healthcare leader as we streamline operations and expand into new areas within our industry.

We hope our website will be a useful resource. It provides information that is easy to find and incorporates social media and other interactive features. Readers also have the ability to subscribe to news about us and our subsidiaries. This move marks our Commitment to provide more communication to our diverse audiences through a variety of mediums. And it’s only the beginning. The Results, we hope, will make a positive impact on the members we serve each and everyday.

Enjoy.

Michael F. Neidorff
Chairman, President and CEO
Centene Corporation