2 million. These new
grants are part of a broader federal effort to assure that emotional and
psychological well-being are addressed in the overall recovery process. Twenty-nine states received Immediate Services Program grants totaling
$25.
The "Pennsylvania Responds" crisis counseling program will provide
education and outreach to several thousand adults and children relocated
primarily to the communities of Philadelphia and Allegheny County and will
collaborate with other state providers to ensure the needs of all Katrina
evacuees who remain in the state are addressed.

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com. Coaches, who are behavior change specialists with
advanced degrees in behavioral health disciplines, also help
coordinate and track elements of the member's treatment plan and
provide information on resources available in the member's community .

Bariatric Surgery Support

The fourth component of Condition Care Management: Obesity is the
bariatric surgery support program., Magellan
Health Services (Nasdaq:MGLN), is the country 's leading behavioral
health disease management organization. These new Regular Service
Program grants will support services for up to nine months of additional
assistance.
Missouri's Lighthouse Project will offer the full range of crisis
counseling services to hurricane evacuees through outreach efforts, including
a statewide telephone crisis hotline and community education services.

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By helping to address underlying behavioral health issues,
we not only help alleviate real suffering among our members, we also
help to prevent surgical complications and poor outcomes."

About Magellan: Headquartered in Farmington, Conn. A statewide network of outreach teams will work with individuals
and groups to develop a comprehensive support system for evacuees.

humiliation abusers

It is further evidence of
Magellan 's commitment to offering a suite of integrated disease
management products that help our customers positively impact the
health of their members or employees while also addressing the
financial risks they face as payers.
"Research indicates that there is a high incidence of unresolved
mental health and psychosocial issues in people seeking bariatric
surgery," noted Rodriguez. "Further, mental health issues have been
shown to be predictors of a poor result in patients who undergo these
procedures ."
The awards announced today are part of an ongoing crisis counseling
effort.

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Business Editors/Health/Medical Writers

FARMINGTON, Conn. Wisconsin has been approved for a total of $433,099.

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This award builds on current SAMHSA
initiatives that have provided over $5.

These grants are awarded
through a longstanding and highly successful partnership between SAMHSA and
the Federal Emergency Management Agency (FEMA). The agency is responsible for improving the accountability,
capacity and effectiveness of the nation's substance abuse prevention ,
addictions treatment, and mental health service delivery system.

refers psychological

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SAMHSA, is a public health agency within the Department of Health and
Human Services.

Telephone Coaching

Magellan coaches work one-on-one with members to provide
education, feedback, support and encouragement to help the member meet
his or her weight and exercise goals. Members in this tier will also
learn the importance of understanding the risks, benefits and
long-term implications of available surgical procedures. Services supported through both the Immediate and the Regular
Service programs include outreach, brief counseling, support groups, and
public education. To assist with the
unique crisis counseling needs of this unusually large number of displaced
individuals spread over 250 of the state 's 254 counties, Texas was approved
for up to $12,127,752 to continue outreach and support services .
Project Hope in Wisconsin is a community-based disaster recovery program
addressing the crisis counseling needs of individual evacuees and families who
have experienced loss of their homes, workplaces , and support networks.

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The Florida Department of Children and Families submitted its application
for this current grant on March 22, 2005.

Obesity costs employers 39 million lost work days , 239 million
restricted work days, 90 million bed days and 63 million
physician visits per year, according to a study published in
the journal Obesity Research and cited by the National
Business Group on Health in its Current Estimates of the
Economic Cost of Obesity in the U.S.

Web-based Resources

Members access the program through MagellanHealth .

Referral to Specialized Practitioners

Magellan has identified clinicians among its network of
practitioners with specialized expertise in intensive behavior
modification therapy and exercise and nutrition counseling.2 million to Texas, Georgia, Illinois, Pennsylvania,
Wisconsin, Missouri and Colorado for crisis counseling assistance in the
aftermath of Hurricanes Katrina, Rita and Wilma .
This is the second set of grants that were ready of approximately 20
grants to be awarded in this round to enable states to address ongoing
counseling needs of persons adversely affected by the hurricanes, regardless
of whether they are residing in their home states or are resettling in other
areas. States will receive a portion of the funds initially, with the
remaining approved funds released as service needs continue.

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Connecting medical and behavioral health care, the product ,
known as Condition Care Management: Obesity, includes an innovative
bariatric surgery component designed to assist in managing costs
associated with one of the fastest-growing surgical procedures in the
United States.S. Those
with a BMI of more than 30 represent nearly 50 percent of
diabetics, are twice as likely to suffer from high blood
pressure, and are three times more likely to die from coronary
heart disease.D. Its customers include health
plans , corporations and government agencies.

Texas Georgia Colorado Illinois Missouri Pennsylvania Wisconsin Receive Over $19 Million for Hurricane Katrina Crisis Counseling Aid

"The impact of Hurricanes Katrina, Rita, and Wilma is unprecedented,"
Curie said."
The crisis counseling program will hire and train people locally to
provide outreach to survivors of the hurricanes who need mental health
services. This outreach will include mobile services in which trained workers
go to the places where disaster survivors are congregating, such as shelters,
disaster recovery centers, or temporary hotels, and provide supportive
contacts, educational materials and brief counseling services .

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Project Recovery
expects to provide group and individual therapy, anger management, supportive
housing, and training.

Magellan Health Services Launches Obesity Management Product; First-of-Its -Kind Program Includes Innovative Bariatric Surgery Component

"The successful management of overweight and obesity conditions
demands an integrated approach that considers the motivational ,
behavioral health and psychosocial needs of the individual, in
addition to his or her medical concerns," said Alex Rodriguez, M. Among the fastest-growing surgical
procedures in the U. David Paulison, Acting FEMA
Director.8 million within weeks of the hurricanes.
Texas has been hosting hundreds of thousands of evacuees from Louisiana
and Mississippi who began arriving there 48 hours prior to Katrina's landfall
and continued to pour into the state for weeks after. Georgia
has been approved for up to $3,238,757.

refers hurts

----Magellan Health
Services, Inc.
These awards bring the total amount awarded for these "Regular Services"
crisis counseling grants to over $41. Illinois has been approved for
$643,104 in FEMA Crisis Counseling Program funds.S.

mistreat emotionally

"Our obesity management product is one example of
Magellan's leadership in addressing the complex interactions between
behavioral health and physical health.,
Magellan's chief medical officer.
Expressly designed to address the psychosocial needs of members
who have met the eligibility criteria for and have asked to undergo
bariatric surgery, Magellan's program is intended to improve results
by assessing the psychological and motivational characteristics that
are critical to ensuring a positive health care outcome and by helping
to support patients both pre- and post-operatively. These
forward-looking statements are subject to known and unknown
uncertainties and risks which could cause actual results to differ
materially from those contemplated or implied by such forward-looking
statements.
"I am genuinely heartbroken over the trauma that the victims of Hurricanes
Katrina, Rita, and Wilma have suffered," said R.
Emphasis will be placed on working with local community providers and
establishing relationships with groups serving evacuees throughout the state.

resist bona

The agency is responsible for improving the accountability,
capacity and effectiveness of the nation's substance abuse prevention,
addictions , treatment and mental health service delivery system. (Nasdaq:MGLN), the nation's leading behavioral health
disease management organization, has launched a first-of-its-kind
obesity management product to help health plans, employers and other
health care purchasers address the growing problem of obesity in
America.S.

Safe Harbor Statement: Certain of the statements made in this
press release constitute forward-looking statements contemplated under
the Private Securities Litigation Reform Act of 1995.

conversation humiliation

"The earlier aid was
designed to assist the general population in recovering from the psychological
effects of a disaster.
"The health care industry needs new, integrated strategies that
combine the best of innovative medical management with next-generation
tools focused on changing behavior," said Steven J. Shulman, chairman
and CEO of Magellan. Interventions are designed to
identify and address barriers to success and focus on behavioral
change techniques.S.
More grants will be awarded in coming weeks. Pennsylvania has been
approved for up to $1,103,070.

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The current program will address the more serious
problems that emerge over time."
The program will provide direct mental health services and link
individuals and families with other community services.

"Because Magellan brings to bear
expertise in behavioral health and understands the interplay between
mental health and physical conditions, we are uniquely positioned to
work with health care purchasers and practitioners to offer this new
service to persons in need of assistance. Colorado has been approved for up to
$1,167,078. Department of Health and
Human Services.

psychological abuse

Any forward-looking statements made in this document are
qualified in their entirety by the complete discussion of risks set
forth in the section entitled "Cautionary Statements" in Magellan's
Annual Report on Form 10-K for the year ended December 31, 2004 filed
with the Securities and Exchange Commission on March 3, 2005 and
posted on the Company's Web site. The
state plans to work with evacuees in a culturally sensitive manner to provide
outreach services.

addressed mistreat

"SAMHSA has been helping Florida since the first hurricane struck the
state," SAMHSA Administrator Charles Curie said. Substance abuse and mental health screening and
treatment services will be provided. more than $117 billion annually in
direct and indirect health care costs, according to the U. These tools help individuals assess their needs based
on medical conditions, BMI, motivation, and emotional/cognitive
functioning and help them develop individualized and interactive
self-management plans to support ongoing diet and exercise regimens .

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Coaches
administer an additional screening tool to members to identify
possible related mental health issues and, if the member has a
positive screen or is found to have a serious co-occurring condition,
they will refer the member to one of these Magellan network providers
and/or his or her regular physician. The bariatric surgery
management program is coordinated with the member's physician, surgeon
and health plan to optimize integrated, coordinated medical care. However, for some survivors the psychological impact
of their experiences is potentially both serious and long lasting.
Georgia will provide crisis counseling services to hurricane evacuees
scattered throughout Georgia to assist them in adjusting to their new
communities and coping with the losses, fears, and anxieties related to their
situations.

abusers escalating

The teams will work
with displaced people, individuals with continued stress, and special
populations such as immigrants, migrant workers and older persons .
Surgeon General. WASHINGTON, Substance Abuse and Mental Health
Services Administration (SAMHSA) Administrator Charles Curie today announced
the award of $19.

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The ultimate goal is to ensure that individuals who are appropriate
candidates for this type of surgery are prepared and those who are not
are identified before they suffer a poor result.
Colorado's crisis counseling program, the "Colorado Hurricane Evacuee
Support and Recovery Project" (CHESRP), provides individual and group
educational and counseling services to hurricane evacuees through outreach
teams deployed across the state. These workers
are also assisting relocated evacuees to help them determine how they will
return to their home states if they so desire.

emotional refers

WASHINGTON, The Substance Abuse and Mental Health
Services Administration (SAMHSA) today announced an $11 million award to the
State of Florida to meet the needs of those suffering long-term trauma as the
result of the hurricanes of 2004.5 million in immediate emergency aid
funds through the FEMA Crisis Counseling and Training Assistance Program.

A study by the National Heart, Lung, and Blood Institute
reports that adults with a body mass index (BMI) of more than
40 are nearly 60 percent more likely to die from cancer.

Magellan uses behavioral health assessment, coaching, and
education to help members understand the process and its risks as well
as to provide opportunities to consider other weight loss strategies.
Missouri has been approved for a total of $545,086.

Psychological abuse refers to the humiliation or intimidation of another person, but is also used to refer to the long-term effects of emotional shock.

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The funds will be used to serve the
27 most highly impacted Florida counties through Project Recovery, a state
initiative, completely funded by the federal government , that will establish
multidisciplinary treatment teams in the affected areas. It can take several months for symptoms of
post-traumatic stress disorder, clinical depression and substance abuse to
appear, and for people to recognize they need additional help., bariatric surgery can result in serious
physical and emotional ramifications for patients, including a high
hospital readmission rate in the 12 to 18 months following the
surgery, and high financial costs for payers. "The federal partnership between the Department of Homeland
Security's Federal Emergency Management Agency (FEMA ) and SAMHSA demonstrates
the administration's continued commitment to providing resources to assist
these hurricane victims in every way possible.

SAMHSA is a public health agency within the U.

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"
Research demonstrates the impact that obesity has on individuals,
the health care system and society:

Obesity costs the U."
Part of Magellan's Condition Care Management product suite , the
obesity management program uses a multi-faceted approach to help
individuals lose weight and maintain that weight loss. Unlike
traditional weight management programs that focus almost exclusively
on diet and exercise, Magellan's program takes the extra step of
dealing with cognitive components to address the emotional barriers to
successful weight loss. "Most survivors are demonstrating remarkable resiliency and are
rebuilding theirs lives.

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SAMHSA Awards $11 Million Mental Health Grants to Florida for Continued Services for those Affected by Hurricanes

Condition Care Management: Obesity offers four tiers of
intervention that include: Web-based interactive tools, telephonic
support with the help of Magellan coaches, referrals to specialized
behavioral health practitioners, and a unique bariatric surgery
management program. The latter is designed to ensure that individuals
considering surgical procedures for weight loss are appropriate
candidates, are educated about these life-changing procedures and are
prepared emotionally as well as physically for them. In addition
to a library of articles, the Web component includes animated graphic
coaches who engage members and guide them though a variety of
screening tools.
Members who have used the screening tools and are found to have
high levels of risk and who fail to make progress using a Web-based
intervention will be encouraged to move to the next level of
intervention, where they will work with a Magellan coach. When combined with the early
round of "Immediate Services" crisis counseling grants, over $66 million in
federal crisis counseling support has been made available to states to date.
Outreach workers have been distributed across Illinois to work with
individuals and families to link them to appropriate services.