A Medical Device Daily

Harvard Pilgrim Health Care (Wellesley, Massachusettes) has negotiated a $1 billion contract extension with Perot Systems (Texas) for IT and business process services.

Harvard Pilgrim will realize an estimated $150 million in administrative cost savings throughout the life of the agreement through the consolidation and leveraging of its technology, administrative functions and redesign of administrative operations.

Perot Systems will operate and support Harvard Pilgrim's information technology infrastructure, business applications and administrative business operations.

In other contract news:

• AmeriChoice (Vienna, Virginia) has been notified by TennCare (Nashville) that it was awarded contracts to expand services in East and West Tennessee.
  When the new contracts are fully operational in January 2009, AmeriChoice will serve nearly 574,000 members in the state and be the only company operating a full-risk health plan in all three TennCare regions. This award is expected to add an estimated $1 billion in 2009 revenue to AmeriChoice.
• SourceMedical (Birmingham, Alabama) a provider of outpatient information management solutions, said it is providing its TherapySource solution to Atlanta Falcons Physical Therapy Centers (Suwanee, Georgia), a new physical therapy and sports rehabilitation business operated by Falcons owner Arthur Blank's management company.
  TherapySource is a clinical and administrative practice management system designed for the specialized needs of outpatient rehabilitation clinics. Built to handle multiple sites across the enterprise, TherapySource streamlines and automates clinical and financial processes, including scheduling, registration, clinical documentation, billing and revenue cycle management.
  SourceMedical provides outpatient information solutions and services for ambulatory surgery centers, surgical hospitals and rehabilitation clinics nationwide.