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A.M. Best Affirms Rating of BlueCross BlueShield of Tennessee


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Analyst

Richard Shaw

(908) 439-2200, ext. 5416

richard.shaw@ambest.com
Public Relations

Jim Peavy

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Rachelle Striegel

(908) 439-2200, ext. 5378

rachelle.striegel@ambest.com


FOR IMMEDIATE RELEASE

OLDWICK, N.J. - OCTOBER 22, 2004 12:00 AM (EDT)
A.M. Best Co. has affirmed the financial strength rating of A- (Excellent) of BlueCross BlueShield of Tennessee, Inc. (BCBSTN) (Chattanooga, TN).

The rating of BCBSTN reflects its very good risk-based capital, favorable profitability and enrollment growth.

Offsetting these strengths are the regulatory environment, a somewhat high investment risk from allocation to equity securities and the geographic concentration of business in a single state.

This rating is based on public information and incorporates a review of balance sheet strength, operating performance and business profile.

For current Best's Ratings, independent data and analysis on more than 1,050 health companies and more than 130 HMO industry composites, please visit Best's Health Center.

A.M. Best Co., established in 1899, is the world's oldest and most authoritative insurance rating and information source.

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AMB# Company Name
064002 BlueCross BlueShield of Tennessee, Inc.