Aetna and U.S. Healthcare Complete Merger
Merger creates nation’s leading health care benefits company
HARTFORD, CT, July 19, 1996 — Aetna (NYSE: ΑET) and
U.S. Healthcare (NASDAQ: USHC) today announced that they
have completed their merger, creating the nation’s
leading health care benefits company.
Aetna Chairman Ronald E. Compton said, "This merger
transforms Aetna into a growth company with the scale and
expertise necessary to thrive in the dynamic health care
industry, and positions us to deliver superior long-term
value to shareholders. The health care industry, and
managed care in particular, continues to be a business
with excellent current and future prospects.
"Our unique ability to provide access to affordable,
high-quality health care on a national level will be the
key to our future success, allowing us to create the
first truly national managed care company," Compton
said.
As part of the merger, Aetna Life and Casualty Co. has
been renamed Aetna Services, Inc. and a new holding
company, Aetna Inc., has been formed as the parent
company to Aetna Services and U.S. Healthcare, Inc. Aetna
Inc. will begin trading on the New York Stock Exchange
under the symbol "AET" commencing on Monday,
July 22, 1996.
U.S. Healthcare shareholders will receive $34.20 in cash,
0.2246 shares of Aetna Inc. common stock, and 0.0749
shares of Aetna Inc. 6.25% Class C Voting Preferred Stock
for each share of U.S. Healthcare stock. Each share of
Aetna Life and Casualty Company stock will become one
share of new Aetna Inc. stock.
The combined Aetna/U.S. Healthcare health business will
provide health care benefits, specialty health, group
life and disability insurance to more than 23 million
Americans.
For more information about Aetna Inc., please visit the company's website at
www.aetna.com.
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