Health Net of the Northeast Announces New Senior Appointments; New Pre

    Business Editors

    SHELTON, Conn.--(BUSINESS WIRE)--March 2, 2005--Health Net of the Northeast, among the largest health plans in the New York metropolitan area, today announced plans to strengthen its management team to position the company for continued growth and success. The new structure includes the promotion of William Lamoreaux to chief operating officer and Paul Lambdin to chief commercial officer. Both promotions are effective immediately and both executives will report directly to Steve Nelson, president, Health Net of the Northeast.
    "Both Bill and Paul have played pivotal roles in redirecting HNNE this past year as we returned to profitability and created our platform for growth," said Nelson. "As I look to the future, I am confident Bill and Paul will use their new roles to deliver what our local customers need and want, and to build upon Health Net's company-wide Integration for Performance goals."
    Mr. Lamoreaux, who started with Health Net in January of 2004 as the health care delivery officer, will now assume responsibility for internal operations including network, medical management, IT, facilities and operations team. In this role, Bill will be charged with ensuring operating excellence and aligning and coordinating the company's resources to deliver exceptional customer service and results.
    Mr. Lambdin, who began his career at Health Net as chief sales officer in April of 2002, will expand his role to include responsibility for the profitability of all commercial lines of business for the company. He is charged with strategy development and business plan execution, ensuring profitable growth through the delivery of superior products to our customers. He will build better cross-functional linkages, driving sales, product development, marketing, and pricing performance in support of our customer segments.
    "Having Bill and Paul join me in these new roles will allow all of us more time to focus on future opportunities for the company as well as leveraging the strength of our senior leadership team," added Nelson.
    Health Net, Inc. (NYSE:HNT) is among the nation's largest publicly traded managed health care companies. Its mission is to help people be healthy, secure and comfortable. The company's HMO, POS, insured PPO and government contracts subsidiaries provide health benefits to approximately 6.5 million individuals in 27 states and the District of Columbia through group, individual, Medicare, Medicaid and TRICARE programs. Health Net's subsidiaries also offer managed health care products related to behavioral health and prescription drugs, and offer managed health care product coordination for multi-region employers and administrative services for medical groups and self-funded benefits programs.
    For more information on Health Net, Inc., please visit the company's Web site at www.healthnet.com.

    Cautionary Statements

    Certain matters discussed in this release contain forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended, that involve a number of risks and uncertainties. All statements, other than statements of historical information provided herein, may be deemed to be forward-looking statements. These statements are based on management's analysis, judgment, belief and expectation only as of the date hereof, and are subject to uncertainty and changes in circumstances. Without limiting the foregoing, the words "believes," "anticipates," "plans," "expects," "may," "should," "could," "estimate," "intend" and other similar expressions are intended to identify forward-looking statements. Actual results could differ materially due to, among other things, rising health care costs, negative prior period claims reserve developments, trends in medical care ratios, issues relating to provider contracts, operational issues, health care reform and general business conditions. Additional factors that could cause actual results to differ materially from those reflected in the forward-looking statements include, but are not limited to, the risks discussed in the "Risk Factors" section included within the company's most recent Annual Report on Form 10-K filed with the SEC and the risks discussed in the company's other periodic filings with the SEC. Readers are cautioned not to place undue reliance on these forward-looking statements. The company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date of this release.

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CONTACT: Health Net Alice Ferreira, 203-225-8836 alice.ferreira@healthnet.com Marian Cutler, 973-517-0519 marian.cutler@healthnet.com

KEYWORD: CONNECTICUT NEW YORK INDUSTRY KEYWORD: INSURANCE MEDICAL MANAGEMENT CHANGES SOURCE: Health Net, Inc.

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