Centene Notified of Possible Delay of Texas Foster Care Contract

Centene Corporation (NYSE: CNC) today announced that its Texas subsidiary, Superior HealthPlan Network, has been informed by the Texas Health and Human Services Commission (HHSC) of its intent to delay the Comprehensive Health Care for Children in Foster Care program. The HHSC indicated that the program would likely begin in 2008. This statewide program will provide managed care services to participants in the Texas foster care program.

Michael F. Neidorff, Chairman and Chief Executive Officer of Centene Corporation, stated, "Our subsidiary, Superior HealthPlan Network, is pleased to partner with Texas on this important initiative. We are anxious to get this program underway given our continued focus on positively impacting the special health needs of these children. By providing and coordinating healthcare services for HHSC, we can offer a greater degree of accountability for the health outcomes of these foster care children."

As of March 31, 2007 Superior Network served 77,396 recipients under the Texas Children’s Health Insurance Plan and was set to begin managing care under this new contract on October 1, 2007. Superior HealthPlan, Inc., Superior Network’s sister plan in Texas currently serves 235,013 recipients under the Texas Medicaid and CHIP Program.

J. Per Brodin, Centene Senior Vice President and Chief Financial Officer, stated, "If the state delays the implementation of this program, we will not achieve the 3-4 cents of 2007 fourth quarter earnings accretion previously expected. We are having discussions with the state to determine when they will most realistically be ready for implementation which will enable us to properly estimate the impact this has on our start-up costs. The longer term benefit of this program to the children and Centene is unchanged."