SEC FORM 4

SEC Form 4

FORM 4

UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP

Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934
or Section 30(h) of the Investment Company Act of 1940

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Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).

1. Name and Address of Reporting Person^*

SHULMAN STEVEN J

(Last)

(First)

(Middle)

55 NOD ROAD

(Street)

AVON

06001

(City)

(State)

(Zip)

2. Issuer Name and Ticker or Trading Symbol
MAGELLAN HEALTH SERVICES INC [ MGLN ]

5. Relationship of Reporting Person(s) to Issuer
(Check all applicable)

X	Director	10% Owner
X	Officer (give title below)	Other (specify below)
	Chairman and CEO

3. Date of Earliest Transaction (Month/Day/Year)
01/08/2007

4. If Amendment, Date of Original Filed (Month/Day/Year)

6. Individual or Joint/Group Filing (Check Applicable Line)

X	Form filed by One Reporting Person
	Form filed by More than One Reporting Person

Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned
1. Title of Security (Instr. 3)	2. Transaction Date (Month/Day/Year)	2A. Deemed Execution Date, if any (Month/Day/Year)	3. Transaction Code (Instr. 8)		4. Securities Acquired (A) or Disposed Of (D) (Instr. 3, 4 and 5)			5. Amount of Securities Beneficially Owned Following Reported Transaction(s) (Instr. 3 and 4)	6. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	7. Nature of Indirect Beneficial Ownership (Instr. 4)
1. Title of Security (Instr. 3)	2. Transaction Date (Month/Day/Year)	2A. Deemed Execution Date, if any (Month/Day/Year)	Code	V	Amount	(A) or (D)	Price		6. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	7. Nature of Indirect Beneficial Ownership (Instr. 4)
Ordinary Common Stock, $0.01 par value	01/08/2007		X⁽¹⁾		120,460	A	$11.91	242,707⁽²⁾	D
Ordinary Common Stock, $0.01par value	01/08/2007		X⁽¹⁾		74,440	A	$10.43	317,147	D
Ordinary Common Stock, $0.01 par value	01/09/2007		X⁽¹⁾		28,811	A	$10.43	345,958	D
Ordinary Common Stock, $0.01 par value	01/08/2007		S⁽¹⁾		194,900	D	$41.4918⁽³⁾	151,058	D
Ordinary Common Stock, $0.01 par value	01/09/2007		S⁽¹⁾		28,811	D	$40.4911⁽⁴⁾	122,247	D

Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned (e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security (Instr. 3)	2. Conversion or Exercise Price of Derivative Security	3. Transaction Date (Month/Day/Year)	3A. Deemed Execution Date, if any (Month/Day/Year)	4. Transaction Code (Instr. 8)		5. Number of Derivative Securities Acquired (A) or Disposed of (D) (Instr. 3, 4 and 5)		6. Date Exercisable and Expiration Date (Month/Day/Year)		7. Title and Amount of Securities Underlying Derivative Security (Instr. 3 and 4)		8. Price of Derivative Security (Instr. 5)	9. Number of derivative Securities Beneficially Owned Following Reported Transaction(s) (Instr. 4)	10. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	11. Nature of Indirect Beneficial Ownership (Instr. 4)
1. Title of Derivative Security (Instr. 3)	2. Conversion or Exercise Price of Derivative Security	3. Transaction Date (Month/Day/Year)	3A. Deemed Execution Date, if any (Month/Day/Year)	Code	V	(A)	(D)	Date Exercisable	Expiration Date	Title	Amount or Number of Shares	8. Price of Derivative Security (Instr. 5)		10. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	11. Nature of Indirect Beneficial Ownership (Instr. 4)
Stock Option (right to buy)	$11.91	01/08/2007		X⁽¹⁾			120,460	01/05/2007	12/31/2007	Ordinary Common Stock	120,460	$0⁽⁶⁾	86,042⁽⁵⁾	D
Stock Option (right to buy)	$10.43	01/08/2007		X⁽¹⁾			74,440	01/05/2007	01/05/2014	Ordinary Common Stock	74,440	$0⁽⁶⁾	338,563	D
Stock Option (right to buy)	$10.43	01/09/2007		X⁽¹⁾			28,811	01/05/2007	01/05/2014	Ordinary Common Stock	28,811	$0⁽⁶⁾	309,752⁽⁷⁾	D

Explanation of Responses:

1. These transactions were effectuated pursuant to a Rule 10b-5-1 plan and, accordingly, not on a discretionary basis by the reporting person.

2. Balance includes 122,247 shares of stock owned prior to reported transaction of which 18,339 shares are unvested restricted stock.

3. Price reflected is the average sale price. Please see attached Exhibit 99.1 for a complete list of all sales by sale price on January 8, 2007.

4. Price reflected is the average sale price. Please see attached Exhibit 99.2 for a complete list of all sales by sale price on January 9,2007.

5. The remainder of 86,042 options in this tranche are exercisable until December 31, 2007.

6. No price was applicable to the acquisition of this security.

7. The balance of 309,752 options are vested and exercisable.

	/s/ Steven Shulman	01/10/2007
	** Signature of Reporting Person	Date
Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly.
* If the form is filed by more than one reporting person, see Instruction 4 (b)(v).
** Intentional misstatements or omissions of facts constitute Federal Criminal Violations See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
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