CVS Caremark Corporation (NYSE: CVS) today announced that it has been awarded a three-year contract to provide integrated pharmacy benefit services for the Blue Cross and Blue Shield Government-wide Service Benefit Plan, also known as the Federal Employee Program (FEP), based on the best overall value. The Company will continue to provide FEP's clinical programs and retail pharmacy benefit management services and also provide mail order pharmacy services and specialty pharmacy services to FEP's more than 5 million federal employees, retirees and dependents.
CVS Caremark has been administering FEP's retail pharmacy benefit management program since 1993 and the contract had most recently been extended through the end of 2011. The new agreement, which runs through 2014, brings the relationship between CVS Caremark and FEP to more than 20 years. CVS Caremark will continue to provide retail pharmacy benefit management services, including network contracting and management of a comprehensive suite of highly-customized clinical programs, and also provide mail order and specialty pharmacy services.
"We are very gratified that FEP has recognized that CVS Caremark's unique integrated model for pharmacy care provides the best overall value and offers their plan members innovative, cost-effective pharmacy benefit management services that improve health outcomes," said Larry J. Merlo, President and Chief Executive Officer of CVS Caremark.
"FEP is a highly-valued client and we are committed to continuing to deliver the same high level of service and patient satisfaction that we have provided to FEP's federal employees, retirees and their families for many years," added Per Lofberg, President of CVS Caremark's pharmacy benefit management business.
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