Monday, October 07, 2002

Magellan in throes of financial downturn
Philadelphia Inquirer story on the region's largest mental health insurer, which is $1 billion in debt, has "faced a fresh wave of criticism recently from patients, legislators and prosecutors for its treatment decisions" and "has now attracted a more powerful critic: Wall Street." Last week, Magellan's stock fell to a low of 13 cents a share. "Many providers," the story notes, "said they fear that Magellan, which covers five million people in Pennsylvania and nearly three million in New Jersey, could soon declare bankruptcy."