Ken Ross, Commissioner of the Office of Financial and Insurance Regulation, the Department
of Energy, Labor and Economic Growth, will hold a public hearing on Monday, November 23,
2009, starting at 10 a.m. at the Forum auditorium, Ground Floor, Michigan Library and Historical
Center, 702 West Kalamazoo Street, Lansing, MI 48915. The hearing will be held to receive
public comments on the application of Blue Care Network (BCN) of Michigan, a Michigan
nonprofit corporation operating as a health maintenance organization (HMO) and a wholly
owned subsidiary of Blue Cross and Blue Shield of Michigan (BCBSM), to approve a transaction
under which BCN acquires the Physicians Health Plan of Mid-Michigan-Family Care (PHPMMFC),
a Michigan HMO; all outstanding shares of the common stock and control of Physicians
Health Plan of Mid-Michigan Insurance Company (PHPMM Insurance), a Michigan disability
insurance company; all right, title and interest in the assets of each PHPMM entity, excepting
only certain excluded assets, and to all contractual rights to continue providing services to
PHPMM’s entire membership base; all of Sparrow Health System’s right, title, and interest in
Physicians Health Network, a Michigan nonprofit corporation (PHN); and BCN Service
Company acquires certain assets of Physicians Health Plan of Mid-Michigan TPA, Inc.
(PHPMM-TPA). All parts of this transaction will be considered by the Commissioner of the
Office of Financial and Insurance Regulation to the extent each part impacts the overall price of
the transaction, and all insurers involved in this transaction are subject to Chapter 13 of the
Michigan Insurance Code, 1956 PA 218, MCL 500.1301