EXHIBIT 99.1

                            [HEALTH NET LETTERHEAD]


NEWS RELEASE

                                      Media Contact:    Lisa Haines
                                                        (818) 676-7912
                                                        LISA.J.HAINES@HEALTH.NET

                                      Investor Contact: David Olson
                                                        (818) 676-6978
                                                        DAVID.W.OLSON@HEALTH.NET


              HEALTH NET, INC. ISSUES $400 MILLION OF SENIOR NOTES


         LOS ANGELES, April 10, 2001 - Health Net, Inc. (NYSE:HNT) today
announced it has completed its offering of $400 million aggregate principal
amount of 8.375 percent Senior Notes due in 2011. The transaction is expected to
close on Thursday, April 12, 2001. The net proceeds from the fixed rate Notes
will be used to repay outstanding borrowing under the Company's existing
revolving credit facility.

         The Senior Notes will not be registered under the Securities Act of
1933, as amended, and may not be offered or sold in the United States absent
registration or an applicable exemption from the registration requirements.

         The matters discussed in this release contain forward-looking
statements within the meaning of Section 21E of the Securities Exchange Act of
1934, as amended, and Section 27A of



the Securities Act of 1933, as amended, that involve risks and uncertainties.
All statements other than statements of historical information provided herein
may be deemed to be forward-looking statements. Without limiting the foregoing,
the words "believes," "anticipates," "plans," "expects" and similar expressions
are intended to identify forward-looking statements. Factors that could cause
actual results to differ materially from those reflected in the forward-looking
statements include, but are not limited to, the risks discussed in the "Risk
Factors" and "Cautionary Statements" sections included within the Company's most
recent Annual Report on Form 10-K filed with the SEC and the risks discussed in
the Company's other filings with the SEC. Readers are cautioned not to place
undue reliance on these forward-looking statements, which reflect management's
analysis, judgment, belief or expectation only as of the date hereof. Except as
required by law, the Company undertakes no obligation to publicly revise these
forward-looking statements to reflect events or circumstances that arise after
the date hereof.

         Health Net, Inc., formerly known as Foundation Health Systems, Inc., is
one of the nation's largest publicly traded managed health care companies. The
company's HMO, insured PPO and government contracts subsidiaries provide health
benefits to approximately 5.4 million individuals in 16 states through group,
individual, Medicare, Medicaid and TRICARE programs. Health Net's subsidiaries
also offer managed health care products related to behavioral health, dental,
vision and prescription drugs, and offer managed health care product
coordination for multi-region employers and administrative services for medical
groups and self-funded benefits programs.

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