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Press Release

Independence Blue Cross Announces Key New Hire and Promotions

Philadelphia, PA - February 21, 2007 - Independence Blue Cross (IBC) president and chief executive officer, Joseph A. Frick, recently announced six promotions and the hiring of a new executive on the company’s leadership team.

The organizational changes are part of IBC’s ongoing commitment to its customers; investment in employees, service, and technology; and delivery of a better value to its customers and business partners.

“The talent we’re adding and promoting in our leadership team supports the investments we are making in our people, products, services, and technology,” said Frick. “We will continue to exceed the expectations of our customers and our business partners through initiatives such as promoting the value of our innovative health management programs that help our members stay healthy, and refining areas such as information services and finances.”

Frick announced the following new hire:

LAWRENCE J. KISSNER has joined as the Vice President, Marketing and Sales – Large Markets.

Lawrence (Larry) Kissner joins Independence Blue Cross after more than 20 years’ experience in marketing and sales. Most recently, he was president and CEO of UnitedHealthcare of Kentucky, Ltd. He served as president of the Kentucky Association of Health Plans and was active in LouHIE, a not-for-profit organization in Louisville dedicated to containing rising costs and improving health care.

As Vice President, Marketing and Sales – Large Markets, Kissner will focus on local and national employers with at least 1,000 employees in the market, the health and welfare and education markets, as well as the federal employee account.

Kissner graduated from the University of Notre Dame with a Bachelor of Business Administration degree. Kissner attended Notre Dame on an athletic scholarship and earned monograms for both football and wrestling.

Kissner plans to relocate to the Philadelphia area with his family.

Frick also announced the following promotions:

KATHRYN A. GALARNEAU, F.S.A., M.A.A.A. has been promoted to Senior Vice President, Actuarial and Underwriting.

In her expanded position in actuarial and underwriting, Kathryn Galarneau will oversee all aspects of product pricing, underwriting, and reserving, as well as medical cost analysis and forecasting. She was previously the Vice President of Actuarial Services, a position she has held since joining the company in 2003.

Prior to joining IBC, Galarneau was Vice President of Medical Pricing at CIGNA Healthcare in Hartford, Connecticut.

Galarneau graduated with honors from the University of Notre Dame with a Bachelor of Science degree in Mathematics. She earned the designation of Associate of the Society of Actuaries in 1992 and was designated a Fellow of the Society of Actuaries (F.S.A.) in 1995.

She resides with her family in Newtown Square, PA.

CAROLYN W. LUTHER has been promoted to Senior Vice President, Information Services.

Previously the Vice President of Application Systems, Carolyn Luther’s new title recognizes her expanded responsibilities in leading the company’s information services division. She is responsible for supporting and implementing application systems and technology services for all managed care and traditional lines of business; managing all technology vendors, including hardware, software, voice and data communications; and strategic planning and executive communications for all technology activities.

Luther has more than 25 years experience in the information technology area. She joined Independence Blue Cross in 1990 and has held leadership roles of increasing responsibility within the information services area.

Luther was recently elected the secretary for the Blue Cross Blue Shield Association IT Roundtable. She is also a member of the Daughters of the American Revolution.

Luther resides in Oxford, PA.

RICHARD L. SNYDER, M.D. has been promoted to Senior Vice President, Health Services.

In his new position, Richard (Rich) Snyder assumes overall accountability for care management and coordination activities while continuing to have responsibility for Healthy Lifestyles prevention programs, the ConnectionsSM suite of disease management programs, credentialing and appeals activity. As Vice President, Quality Management since 1999, Dr. Snyder led a number of key initiatives including the implementation of the company’s new award-winning ConnectionsSM disease management programs and achievement of NCQA accreditation at the highest level possible for the company’s health plans.

Snyder earned his Bachelor of Arts degree from Franklin & Marshall College and Medical Degree from the Medical College of Pennsylvania.

Active in his professional field at a national level, Snyder chairs the National Committee for Quality Assurance (NCQA)’s Review Oversight Committee and the America’s Health Insurance Plan (AHIP)’s Quality and Industry Standards Workshop. He also serves as an NCQA Accreditation Surveyor. In addition, he is a member of several professional associations, including the American Medical Association, the Pennsylvania Medical Society, the American Academy of Family Physicians, the Pennsylvania Academy of Family Physicians, and the Chester County Medical Society.

Snyder resides with his wife and their children in Berwyn, PA.

JOSEPH F. NOLAN has been named Vice President, Finance.

Joseph (Joe) Nolan has been named Vice President, Finance in recognition of his broad role in overseeing financial operations of IBC and its subsidiaries. In his new position, Nolan's responsibilities include his chief accounting officer role, as well as the billing, cash collections, and corporate tax and accounting functions he has assumed over the past several years.

Nolan joined Independence Blue Cross in 1977 as Manager - Accounting Services. Since then, he has held roles of increasing responsibility. Most recently, he has been the Vice President Controller.

He received his Bachelor of Science degree in Accounting from Villanova University. A certified public accountant, he is a member of the American Institute of Certified Public Accountants and the Pennsylvania Institute of Certified Public Accountants. Nolan serves on the Board of Directors of The Center for Autism in Philadelphia, and on the Board of Directors of Inter-County Health Plan, Inc., a subsidiary of Independence Blue Cross.

Nolan resides in East Norriton, PA with his family.

GERALD W. PEDEN, M.D. has been promoted to Senior Medical Director, Claim Payment Policy.

Gerald (Jerry) Peden is responsible for developing evidence-based medical policies – which define medical necessity for drugs, devices, procedures, or services – and claim-payment policies – which describe administrative instructions to network physicians, nurses, and other health care providers about the company’s reimbursement procedures and requirements. He had been a Medical Director in the claims payment policy area.

Peden was recognized for his key participation in several significant IBC corporate initiatives as well as his expertise on medical policy at the national level through his participation on policy advisory committees of the Blue Cross and Blue Shield Association and America’s Health Insurance Plans.

Peden received his Bachelor of Arts degree in Biology from Saint Anselm College in New Hampshire, and a Masters of Arts in Biology from The College of William and Mary in Virginia. He also received his medical degree from Eastern Virginia Medical School. He trained as a general surgeon at The Lankenau Hospital.

He resides with his wife and three children in Havertown, PA.

PATRICIA A. KINN, R.N. has been promoted to Senior Director, Claim Payment Policy.

Patricia (Patty) Kinn’s new title recognizes her expanded role and responsibilities, which include developing and reviewing the company’s medical and claim payment policies. She had been the Director of Claim Payment Policy since 2001 and has held several positions of increasing responsibility since joining the company in 1988.

Kinn received her Bachelor of Science degree in Nursing (BSN) from Duquesne University in Pittsburgh, PA. She is also a graduate of LEADERSHIP Philadelphia, the nation’s oldest community leadership program.

Kinn resides in Marlton, NJ.

About Independence Blue Cross
Independence Blue Cross is the leading health insurer in Southeastern Pennsylvania. Nationwide, IBC and its affiliates provide coverage to nearly 3.4 million people. For nearly 70 years, Independence Blue Cross has offered quality health care products and services tailored to meet the changing needs of members, employers, groups and providers.

Independence Blue Cross recently received the highest ratings from the National Committee for Quality Assurance for its HMO and PPO health care plans. In addition, in 2005, Independence Blue Cross’s Personal Choice was rated the No. 1 PPO in the nation and its Keystone HMO was ranked the No. 1 HMO in the region by health care consumers in a leading independent consumer magazine.