CHATTANOOGA, Tenn. - BlueCross BlueShield of Tennessee is introducing prescription home delivery as part of a new pharmacy benefit, beginning Aug. 1, 2003.

Members of fully-insured BlueCross employer groups will be able to receive prescriptions directly through the mail. Self-funded BlueCross employer groups have the option to implement this new service.

“Pharmacy home delivery is a safe and easy way for our members to order prescriptions, especially medications taken on an ongoing basis,” said Dr.Terry Shea, director of pharmacy services for BlueCross. “This new benefit, along with other network changes, is designed to offer our members convenience, privacy and savings.”

In addition to the home delivery feature, BlueCross is implementing a new retail pharmacy network for all BlueCross commercial members. The new network includes more than 1,800 pharmacies statewide and 56,000 nationwide pharmacy locations, including all major national chains.

According to Shea, the new contract with AdvancePCS (Nasdaq: ADVP), the nation’s largest pharmaceutical benefits provider, is part of the BlueCross effort to help control rising health care costs.

“From home delivery to education about the effectiveness and savings of generic drugs, BlueCross is focused on providing our members quality and cost-effective pharmaceutical care,” Shea said.

The agreement with AdvancePCS offers increased flexibility and convenience with home delivery, enabling members to order prescriptions 24 hours a day via telephone, mail and the AdvanceRx.com Web site.

Notification of the pharmacy enhancements is being distributed to affected BlueCross members. For more information about prescription home delivery, members can call AdvancePCS at 1-877-683-6837. Starting Aug. 1, members can also visit the BlueCross Web site at www.bcbst.com for a directory of participating retail pharmacies.

About Advance PCS

AdvancePCS is the nation’s largest independent provider of health improvement services, touching the lives of more than 75 million health plan members and managing approximately $28 billion in annual prescription drug spending. AdvancePCS offers health plans a wide range of health improvement products and services designed to improve the quality of care delivered to health plan members and manage costs. AdvancePCS is ranked by Fortune magazine as one of America’s 100 fastest-growing public companies and is included on the Forbes Platinum 400 list of best big companies. AdvancePCS is number three on the Barron’s 500 list of best performing companies and is the only company to have ranked in the top five twice. AdvancePCS is both a Fortune 500 and Fortune Global 500 company.

About BlueCross

BlueCross BlueShield of Tennessee's mission is to provide its customers and communities with peace of mind through affordable solutions for health and healing, life and living. Founded in 1945, the Chattanooga-based company is focused on reinventing the health plan for its 3 million members in Tennessee and across the country. Through its integrated health management approach, BlueCross provides patient-centric products and services that drive health improvement and positively impact health care quality and value. BlueCross BlueShield of Tennessee Inc. is an independent licensee of the BlueCross BlueShield Association. For more information, visit the company's website at www.bcbst.com.