SAN JUAN, Puerto Rico, Oct. 18, 2011 /PRNewswire/ -- Triple-S Management Corporation (NYSE:GTS), the largest managed care company in Puerto Rico, announced that its Triple-S Salud subsidiary signed yesterday a definitive agreement with the Puerto Rico Health Insurance Administration (ASES) to administer healthcare services for the Metro North, North, San Juan, Northeast and West regions of Puerto Rico's health insurance program (Medicaid), known as MiSalud.
The MiSalud program currently services approximately 840,000 members in these regions. Under the contract, which has a 20-month term commencing November 1, 2011, Triple-S Salud will receive a monthly per-member, per-month administrative fee for its services and will not bear the insurance risk of the program.
Ramon M. Ruiz-Comas, President and Chief Executive Officer of Triple-S noted, "We are pleased to have executed an administrative services only (ASO) contract with the Puerto Rican government, a model with which we have had successful prior experience. While we expect this contract to be accretive to our 2012 earnings, we will incur approximately $3.0 million in immediate set-up and infrastructure expansion costs in order to commence servicing these members and to address their healthcare needs."
As previously announced, the Company will provide updated guidance during its November 2, 2011 quarterly conference call.About Triple-S Management Corporation Triple-S Management Corporation is an independent licensee of the Blue Cross Blue Shield Association. It is the leading player in the managed care industry in Puerto Rico. Triple-S Management also has the exclusive right to use the Blue Cross Blue Shield name and mark throughout Puerto Rico and the U.S. Virgin Islands. With more than 50 years of experience in the industry, Triple-S Management offers a broad portfolio of managed care and related products in the Commercial and Medicare Advantage markets under the Blue Cross Blue Shield brand through its subsidiary Triple-S Salud, Inc. and effective February 2011, also offer non-branded Medicare products through American Health Inc. In addition to its managed care business, Triple-S Management provides non-Blue Cross Blue Shield branded life and property and casualty insurance in Puerto Rico. For more information about Triple-S Management, visit www.triplesmanagement.com or contact firstname.lastname@example.org . Forward-Looking Statements This document contains forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements include information about possible or assumed future sales, results of operations, developments, regulatory approvals or other circumstances. Sentences that include "believe", "expect", "plan", "intend", "estimate", "anticipate", "project", "may", "will", "shall", "should" and similar expressions, whether in the positive or negative, are intended to identify forward-looking statements.