MCLEAN, Va. – July 9, 2013 – The state of Tennessee has selected Northrop Grumman Corporation (NYSE:NOC) to provide and operate a new Web-based enterprise system for determining eligibility for Medicaid and Children's Health Insurance Program benefits.

The Tennessee Eligibility Determination System, called TEDS, will help the state meet requirements of the Patient Protection and Affordable Care Act (ACA), which will likely result in increased Medicaid enrollment due to the requirement that most individuals must carry health insurance.

Northrop Grumman was awarded a $34 million, three-year contract to design, develop, implement, operate and maintain TEDS, which will begin enrolling people Oct. 1. The company will also provide training and help desk services.

Using TEDS, enrollees can apply for services or benefits online. Staffers or automated processes will review applications and electronically request additional information or documentation when needed.

"Northrop Grumman is committed to benefit management modernization that helps our customers efficiently and effectively meet the requirements of health care reform and best serve their citizens. Our experience with ACA implementations at the Centers for Medicare & Medicaid Services together with programs we have delivered for other states enable us to provide Tennessee with an information solution that will provide better information in a timely fashion," said Amy Caro, vice president of health IT programs for Northrop Grumman.

An open-architecture, rules-based design that integrates easily with commercial products and other systems, TEDS will interface with external verification systems; other state systems, including the Medicaid Management Information System and the Electronic Document Management System; and the federal health insurance marketplace. TEDS can also be easily tailored and expanded to meet changing needs.

"To support Tennessee's vision for an affordable and efficient system, Northrop Grumman is implementing our operational, proven Avance ™ eligibility and enrollment system. The Avance ™ solution provides a citizen-friendly experience that meets the new ACA requirements and supports both state and federal objectives to modernize systems through technology reuse," said Beverly Roberts, director of state health and human services programs for Northrop Grumman.

Avance ™ is a modular, Web-based, enterprise eligibility and enrollment determination solution developed by Northrop Grumman that can be customized and configured for individual customers. Avance ™ streamlines complex eligibility processing across multiple programs to support ACA requirements.

Northrop Grumman is a leading provider of health IT solutions and services, supporting the continuum of health and human services for federal civilian, military, state, local and international customers. Through the integration of health expertise and information technology, the company supports national health goals to enhance benefits systems solutions, increase the quality and efficiency of healthcare and improve the health of the population. Additional details are available at www.northropgrumman.com/healthit .

Northrop Grumman is a leading global security company providing innovative systems, products and solutions in unmanned systems, cyber, C4ISR, and logistics and modernization to government and commercial customers worldwide. Please visit www.northropgrumman.com for more information. 

  CONTACT: Janis Lamar
         703-556-1650
         janis.lamar@ngc.com