UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15 (D) OF THE
SECURITIES EXCHANGE ACT OF 1934

Date of report (Date of earliest event reported):

JUNE 14, 2005

MAGELLAN HEALTH SERVICES, INC.

(Exact Name of Registrant as Specified in Charter)

DELAWARE	1-6639	58-1076937
(State or Other Jurisdiction of Incorporation)	(Commission File Number)	(IRS Employer Identification No.)

16 MUNSON ROAD FARMINGTON, CONNECTICUT		06032
(Address of Principal Executive Offices)		(Zip Code)

Registrant’s telephone number, including area code: (860) 507-1900

N/A
(Former Name or Former Address, if Changed Since Last Report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

ITEM 8.01 – OTHER EVENTS.

On June 14, 2005, Magellan Health Services, Inc. issued a press release announcing that it has extended its contract with Anthem Blue Cross Blue Shield plans in Indiana, Kentucky and Ohio to manage behavioral health benefits for the plans’ membership through December 31, 2007. A copy of the press release is attached as Exhibit 99.1 hereto.

ITEM 9.01 – FINANCIAL STATEMENTS AND EXHIBITS.

Exhibit Number		Description
99.1		Press Release of Magellan Health Services, Inc. dated June 14, 2005.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

MAGELLAN HEALTH SERVICES, INC.

	By:	/s/ Jeffrey N. West
		Name:	Jeffrey N. West
		Title:	Senior Vice President and Controller
Dated: June 15, 2005

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End of Filing

Exhibit 99.1

For Immediate Release
	Investor Contact:	Melissa Rose
		877-645-6464

	Media Contact:	Erin Somers
		410-953-2405

MAGELLAN HEALTH SERVICES EXTENDS CONTRACT
WITH ANTHEM BLUE CROSS AND BLUE SHIELD PLANS
IN INDIANA, KENTUCKY AND OHIO

FARMINGTON, Conn. – June 14, 2005 – Magellan Health Services, Inc. (Nasdaq:MGLN) announced today that it has extended its contract with Anthem Blue Cross and Blue Shield plans in Indiana, Kentucky and Ohio to manage behavioral health benefits for the plans’ membership through December 31, 2007. Annual revenue for the contract, which had been set to expire at the end of 2005, is estimated at approximately $96 million.

“We have had a long and successful track record working with Anthem Blue Cross and Blue Shield in Indiana, Kentucky and Ohio and look forward to the opportunity to continue this relationship with WellPoint,” said Steven J. Shulman, chairman and CEO of Magellan. “As the nation’s leading manager of behavioral health services for Blue Cross Blue Shield plans, we take great pride in our value as a business partner in meeting the behavioral health needs of millions of plan subscribers around the country.”

Magellan began managing mental health and substance abuse services for Anthem members in these states in 1997.

About Magellan: Headquartered in Farmington, Conn., Magellan Health Services (Nasdaq:MGLN) is the country’s leading behavioral health disease management organization. Its customers include health plans, corporations and government agencies.

Safe Harbor Statement: Certain of the statements made in this press release including without limitation statements regarding the contract referred to above constitute forward-looking statements contemplated under the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on management’s current expectations and are subject to known and unknown uncertainties and risks which could cause actual results to differ materially from those contemplated or implied by such forward-looking statements including without limitation: service issues, revenues, operating results or cash flows differing from those contemplated or implied by such forward-looking statements, the impact of new or amended laws or regulations, governmental inquiries, unanticipated increases in the costs of care, economic uncertainties and other factors.. Any forward-looking statements made herein are qualified in their entirety by the complete discussion of risks set forth in the section entitled “Cautionary Statements” in Magellan’s Annual Report on Form 10-K for the year ended December 31, 2004, filed with the Securities and Exchange Commission on March 3, 2005, and in the section entitled “Risk Factors” in the prospectus and prospectus supplement filed with the Securities and Exchange Commission in connection with the previously announced secondary offering of Magellan common stock by certain shareholders.

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