Item 1 - Business

(a) General Development of Business

     OptimumCare Corporation operates in two health care business segments. The first, contract management of hospital based behavioral health programs (the “Contract Management Segment”), is the original business of the Company and still represents approximately half of its business. The Company has entered a second business segment, temporary healthcare staffing (the “Temporary Healthcare Staffing Segment”), through acquisition of four temporary health care staffing companies in the last eighteen months.

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