December 29, 2006

Legislators Speak For Constituents At Risk Of Losing
Their In-Network Service Providers At Stellaris Hospitals Should Parties Fail To Reach A Settlement
By Midnight December 31, 2006

Contact: Betsy DeSoye, Director of Communications
Tel: (914) 995-3277; Cell (914) 275-6031

Board Chair Bill Ryan and Majority Leader Martin Rogowsky faxed a letter to the officials of Stellaris Hospital Network and Empire Blue Cross Blue Shield demanding that the parties negotiate around-the- clock for the next 48 hours until they reach a settlement.

The letter, dated today, was faxed to Michael A. Stocker, M.D., President & CEO, Empire Blue Cross Blue Shield; Edward Dinan, President/CEO, Lawrence Hospital; Joel Seligman, President/CEO, Northern Westchester Hospital; Keith F. Safian, President/CEO, Phelps Memorial Hospital Center; Jon B. Schandler, President/CEO, White Plains Hospital Center; Arthur A. Nizza, President/CEO, Stellaris Health Network; Al Kim, Director, Starnet Emergency Services, Inc. (Westchester EMS).

Text of letter:

Dear Sirs;

We are writing on behalf of the thousands of Westchester residents who are Empire Blue Cross Blue Shield (Empire) members. These people are threatened with a loss of their in-network health service providers as of midnight December 31, 2006 if Stellaris Hospital Network (Stellaris) and Empire fail to agree on reimbursement contract rates.

While we appreciate that both parties need to arrive at a mutually acceptable settlement, Stellaris and Empire must both recognize the devastating impact to thousands of people should they lose access to in-network medical care. Our constituents have come to rely upon the affordability and high quality service of Stellaris in-network providers. For many people, using an out-of-network provider would pose a financial burden that they cannot afford. The added out-of-network costs could force many to forego needed medical care.

While we are not judging the quality or credibility of your current negotiations, it is incumbent on both parties to consider the dire financial consequences to people should you not reach agreement by the contract deadline.

Stellaris and Empire must treat this like the crisis it is. We expect both parties to negotiate around-the-clock for the next 48 hours to resolve your differences and protect the people who will suffer should you fail to come to an agreement.