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Capital BlueCross, Hanover Hospital Reach Agreement on New Contract

Harrisburg, Pa. (Sept. 26, 2011) – Capital BlueCross and Hanover Hospital are pleased to announce they have reached an agreement to renew their existing participation agreement through October 2014, which provides continuing access by Capital BlueCross members to Hanover Hospital and affiliates at “in network” benefit levels. The agreement is subject to regulatory approval.

During the extended term of the agreement, contractual increases will be, in part, related to quality enhancements. This will provide Hanover Hospital funding for successfully implementing patient safety improvements such as expanded Electronic Health Record deployment, Computerized Physician Order Entry (CPOE) of prescriptions, as well as care quality process and outcome improvements, as measured by the Pennsylvania Health Care Cost Containment Council (PHC4) and the Centers for Medicare & Medicaid Services (CMS).

“Both organizations negotiated with the best interests of our mutual patients/members in mind, especially with an eye toward quality and patient safety improvements,” said Hanover Hospital President & CEO George Kyriacou. “We are looking forward to continuing our decades-long partnership with Capital BlueCross.”

“Capital BlueCross and Hanover Hospital are equally committed to improving the quality and safety of health care our members receive and will work cooperatively toward that end,” said William Lehr, Jr., Chairman & CEO of Capital BlueCross. “We are pleased that Hanover Hospital shares our passion about these important measures. Capital BlueCross and Hanover Hospital have enjoyed a long-standing relationship which benefits the local residents and communities served by each organization.”