CareWise to provide health counseling to PHSmembers.

SEATTLE--(BW HealthWire)--March 5, 1997--CareWise Inc. (formerly EMC2) has announced an agreement to provide telephone nurse counseling services for Physicians Health Services Inc. (PHS), which will cover a total of 330,000 members.

PHS, a leading managed care organization based in

CareWise Inc. will provide an array of programs to PHS members, including the award-winning CareWise(R) program, which integrates consumer-oriented information, tested communication materials and 24-hour confidential, telephone nurse counseling. Other services will include the CareWise Audio Library and BabyWise(R), a risk-assessment and telephone nurse counseling program for expectant mothers.

"We selected CareWise because of its considerable experience in this field," said PHS Vice President of Customer Relations Nancy Yedlin, "and its commitment to working collaboratively with PHS on approaches that will improve the health and well-being of our members."

"PHS chose us after a year-long, side-by-side comparison with Access Health," said CareWise Inc. President and CEO John Gebhart. "We are delighted that PHS found our service and program offerings more in line with what they want, and we look forward to serving their entire membership."

Physicians Health Services Inc. is a full-service health plan serving 425,000 members in Connecticut, New York and New Jersey. With more than 30,000 providers in its tri-state network, PHS is one of the few tri-state plans to receive full, three-year accreditation from the National Committee for Quality Assurance (NCQA).

According to a recent nationwide study published by U.S. News & World Report, PHS received the highest rating of any health plan serving the New York tri-state market. PHS was also rated the top health plan in New York and Connecticut in a 1996 survey of patients, employers and providers conducted by the health care consulting firm, Watson Wyatt Worldwide.

CareWise Inc. is a national provider of health care decision-support services that lower the cost of medical care while improving plan members' health and satisfaction with their health plan. The company's programs serve more than 2.4 million people. Clients include United Airlines, the American Postal Workers' Union Health Plan, SelectCare and MDNY Healthcare. For more information, contact CareWise Inc. at 800/927-9225 or visit the Web site at http://www.carewiseinc.com

CONTACT: CareWise Inc.

Craig S. Russell, 206/749-1861

crussell@carewiseinc.com

or

Hawkins & Co. Inc.

Ruth Ann Burke, 206/217-9700 x.227

prhawk@ix.netcom.com