Moody's Upgrades Oxford's Senior Secured Debt Rating to Investment Grade

Search Blogs that Mention this News Release
Click this link to view linked Bookmarking Services
Click this link to view linked Blogging Services
Moody's Upgrades Oxford's Senior Secured Debt Rating to Investment Grade
                    - $397 million in Bank Debt Affected -

    TRUMBULL, Conn., March 30 /PRNewswire-FirstCall/ -- Moody's Investors
Service upgraded the senior secured rating of Oxford Health Plans, Inc.
(NYSE: OHP) to Baa3 from Ba2.  Moody's also upgraded the issuer rating of
Oxford to Ba1 from Ba3.  Moody's stated that the upgrades are a result of the
sustained improvement in Oxford's operating performance, financial
fundamentals and liquidity.  The improved ratings also reflect Oxford's good
market presence in the New York area, and its strong management team,
according to the rating organization.  Moody's views the outlook for Oxford as
stable.
    "We are very pleased that Moody's has upgraded our senior secured debt
rating to investment grade.  This upgrade acknowledges the efforts by Oxford's
management team to strengthen the Company's balance sheet and gives credit to
the Company's consistent financial performance," commented Kurt B. Thompson,
executive vice president and chief financial officer at Oxford.
    Founded in 1984, Oxford Health Plans, Inc. provides health plans to
employers and individuals primarily in New York, New Jersey and Connecticut,
through its independent insurance agents and brokers.  Oxford's commercial
insured products and services include traditional health maintenance
organizations, preferred and exclusive provider organizations, point-of-
service plans and consumer directed health plans.  The company also offers a
variety of Medicare plans and third-party administration of employer-funded
benefits plans.  More information about Oxford Health Plans, Inc. is available
at http://www.oxfordhealth.com.

    Cautionary Statement Regarding Forward-Looking Statements
    Certain statements in this press release, including statements concerning
the Company's strengthening of its balance sheet and its consistent financial
performance, and other statements contained herein regarding matters that are
not historical facts, are forward-looking statements as defined in the
Securities Exchange Act of 1934; and because such statements involve risks and
uncertainties, actual results may differ materially from those expressed or
implied by such forward-looking statements.  Factors that could cause actual
results to differ materially include, but are not limited to:

     * Changes in federal or state regulation relating to health care and
       health benefit plans.
     * The state of the economy.
     * Rising medical costs or higher utilization of medical services,
       including higher out-of-network utilization under point-of-service
       plans and new drugs and technologies.
     * Competitive pressure on the pricing of the Company's products,
       including acceptance of premium rate increases by the Company's
       commercial groups.
     * Higher than expected administrative costs in operating the Company's
       business and the cost and impact on service of changing technologies.
     * The ability of the Company to maintain risk transfer, risk sharing,
       incentive and other provider arrangements and the resolution of
       existing and future disputes over the reconciliations and performance
       under such arrangements.
     * Any changes in the Company's estimates of its medical costs and
       expected cost trends.
     * The impact of future developments in various litigation matters and the
       periodic examination, investigation and review of the Company by
       various federal and state authorities.
     * The Company's ability to renew existing members and attract new
       members.
     * The Company's ability to develop processes and systems to support its
       operations and any future growth and administer new health care benefit
       designs.
     * Any future acts or threats of terrorism or war.
     * Those factors included in the discussion under the caption "Cautionary
       Statement Regarding Forward-Looking Statements" in Part I, Item 1, of
       the Company's Annual Report on Form 10-K for the fiscal year ended
       December 31, 2003.
SOURCE Oxford Health Plans, Inc.
http://www.oxfordhealth.com
Company News On-Call:
http://www.prnewswire.com/comp/104612.html
CONTACT:
Investors - Gary Frazier, +1-203-459-7331, or
Jon Green, +1-203-459-6674, or Media - Maria Gordon Shydlo,
+1-203-459-7674, all of Oxford Health Plans, Inc.