| Wed 14 Jul 2010, 16:30 | | DSY - Discovery Holdings Limited - Press release from The Vitality Group |
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DSY - Discovery Holdings Limited - Press release from The Vitality Group
DISCOVERY HOLDINGS LIMITED
(Incorporated in the Republic of South Africa)
(Registration number: 1999/007789/06)
ISIN: ZAE000022331
Share Code: DSY
("Discovery")
PRESS RELEASE FROM THE VITALITY GROUP
Discovery refers shareholders to the attached press release by Discovery`s US
subsidiary, The Vitality Group ("TVG"), which outlines the details of a services
agreement entered into with Wellness & Prevention Inc, ("W&P") a Johnson &
Johnson Company. Under the agreement, TVG will deliver to W&P various components
of its Vitality wellness programme, principally related to its behaviour change
and incentive mechanisms, for distribution to US employer groups. The product
will be distributed under the W&P brand, and TVG will earn a fixed fee on all
lives sold.
As shareholders are aware, Discovery has maintained a limited presence in the US
since the winding down of Destiny Health`s operations, announced three years
ago, offering Vitality on a standalone basis to corporates. Discovery`s small
presence in the US market allows it to explore opportunities to leverage
Vitality`s unique assets with limited capital exposure. This flows from the
growing awareness in that market of the role of lifestyle measures and
preventive care in healthcare cost management.
The agreement will not have a material impact on Discovery`s future earnings or
cash flow.
The Vitality Group to Provide Incentive-based Behavioural Change Services to
Wellness & Prevention, Inc.
CHICAGO - July 14, 2010 - Today, The Vitality Group, developer of the incentive-
based health and wellness program, Vitality, announced it has entered into an
agreement to provide incentive delivery, tracking, and reward fulfilment
services to Wellness & Prevention Inc., a Johnson & Johnson company. In addition
to incentive services, The Vitality Group will also provide Wellness &
Prevention with access to other behavior change tools including Vitality AgeTM,
a risk-adjusted age tool used as a barometer of health status, and the Vitality
ChampTM program, designed to create and support program advocates.
Under the terms of the Agreement, Wellness & Prevention will be able to offer
its customers access to Vitality`s incentives program and other tools designed
to support and facilitate behavior change. Vitality`s expertise in behavioral
economics and incentive design and delivery will increase Wellness &
Prevention`s ability to provide its customers with access to a comprehensive
suite of wellness solutions and incentives.
With more than a decade of experience, Vitality has a rich history integrating
incentives into every step of behavior modification, from the actual cost of
rewards to their perceived value and from the process of assigning rewards to
the support tools and education necessary to achieve goals. Vitality`s unique
approach to incentives employs an objective actuarial basis to measure the
degree of engagement of each participating member and derive the appropriate
incentives earned for that engagement. The approach also incorporates
sophisticated behavior change models with incentive delivery to achieve
meaningful, measureable health improvement results across the entire population.
"Through the use of scientifically derived incentives and other behavior change
tools encouraging healthy lifestyles, Vitality has helped thousands of employers
worldwide to control healthcare costs and improve the productivity, health and
well being of their employees," said Arthur C. Carlos, CEO of The Vitality
Group. "We`re delighted to be involved with Wellness & Prevention."
About The Vitality Group
The Vitality Group is a member of Discovery Holdings Limited, a leading
international financial services institution founded on the principles of
consumer engagement and wellness and the originator of the Vitality health
promotion program. Vitality wellness programs serve more than 1.7 million
members in companies in a wide range of sizes and industry categories, improving
individuals` health and well-being as well as employers` and health plans`
bottom lines. Early adopters in the United States include some of America`s most
forward-thinking companies. They join global organizations in the United Kingdom
and South Africa who together are proving the effectiveness of the Vitality
health enhancement solution in reducing healthcare costs.
www.thevitalitygroup.com
Sandton
14 July 2010
Sponsor
RAND MERCHANT BANK (A division of FirstRand Bank Limited)
Date: 14/07/2010 16:30:01 Produced by the JSE SENS Department.
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