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Revised January, 2010 CONFIDENTIAL AND PROPRIETARY - page 9 / 31

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CONFIDENTIAL AND PROPRIETARY

MEDICARE PRESCRIPTION DRUG COVERAGE AND YOUR RIGHTS document OMB #0938- 0975. If you need a copy of this document, Walgreens Health Initiatives would be happy to provide it.

Contracts and Amendments

All Walgreens Health Initiatives’ contracts are only valid for the dispenser or pharmacy type declared on the contract. Walgreens Health Initiatives’ standard contract is for COMMUNITY RETAIL pharmacies only. For contracting purposes, outpatient hospital, clinic, and dispensing physicians are considered “retail.” Each pharmacy is required to designate its pharmacy type in the Pharmacy Network Agreement; misrepresentations are grounds for termination from the network.

Walgreens Health Initiatives requires separate contracts and/or amendments for the following types of pharmacies: LTC, Home Infusion, Indian Tribunal, 340B and Mail Order.

Further, providers interested in participating in the MTM program and other unique programs and networks may be required to sign an additional contract addendum.

In addition, all obligations applicable to Walgreens Health Initiatives in the Pharmacy Network Agreement may apply to Walgreens Health Initiatives’ agents, subsidiaries, and any third party contracted with Walgreens Health Initiatives for the delivery of pharmacy benefit management services.

Pharmacy Demographic Database

Walgreens Health Initiatives subscribes and adheres to the monthly pharmacy file developed and maintained by NCPDP. When new pharmacies are loaded into the system, Walgreens Health Initiatives acknowledges the PRIMARY chain affiliation only and the payment center code provided by NCPDP. Subsequent changes for existing pharmacies are pulled from the NCPDP data files. The policy for these affiliation changes is outlined in the section labeled “PSAO/TPA Affiliation Guidelines.” To the extent pharmacy has not provided Walgreens Health Initiatives with all information on Exhibit 1 to the pharmacy network agreement, Walgreens Health Initiatives may obtain such information from the NCPDP data files.

Address Changes

Please be sure that your demographic data are accurate and complete with NCPDP, as this is used for important notifications, payment information, clinical programs, and plan- specific solicitations.

PSAO/TPA Affiliations Guidelines

In an effort to increase efficiencies, WHI has chosen to automate the chain code affiliation process by utilizing the NCPDP mas_rr file. If the NCPDP file indicates that your pharmacy is affiliated with a PSAO/TPA that is contracted with Walgreens Health

Walgreens Health Initiatives – Pharmacy Manual

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