First Health Announces Election of New Directors

Contact:
James C. Smith, Chairman and CEO
or
Joseph E. Whitters, CFO
First Health
630-241-7511

FOR IMMEDIATE RELEASE

DOWNERS GROVE, IL - December 5, 2001 - James C. Smith, chairman and chief executive officer of First Health Group Corp. (NASDAQ:  FHCC), announced today that Raul Cesan, retired president and chief operating officer of Schering-Plough Corporation, and William Mayer, partner and founder of Park Avenue Equity Partners, have joined the First Health Board of Directors.

“I am delighted to welcome Raul and Bill to our Board of Directors,” said Mr. Smith.  “With their credentials, knowledge and experience, they will make significant contributions to the First Health family of companies.”

Mr. Cesan joined Schering-Plough, a company engaged in the discovery, development, manufacturing and marketing of pharmaceutical and health care products worldwide, in 1977 as the director of finance and administration for the company’s Latin American region.  Subsequently, he was named to several positions of increasing responsibility before serving as president and COO from 1998 to 2001.

Mr. Mayer formed Park Avenue Equity Partners in 1999.  The company operates a $110 million private equity fund that invests in mid-size companies by providing capital to grow or taking companies private.  In 1996, he became a founding partner of Development Capital, which invested in private and public companies.  Prior to these ventures, he served as professor and dean of the College of Business and Management at the University of Maryland and was President and CEO of The First Boston Corporation (now Credit Suisse First Boston) a major investment bank.

First Health, the nation’s premier full-service health benefits company, specializes in providing large employers with one integrated source for group health and workers’ compensation.  By combining pioneering technology with expert industry knowledge, First Health delivers comprehensive, cost-effective solutions for its clients nationally.  For more information, visit the company web site at www.firsthealth.com.