Edgar Filing: MAGELLAN HEALTH SERVICES INC

Ownership Submission

FORM 4

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

UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP OF SECURITIES

Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934, Section 17(a) of the Public Utility Holding Company Act of 1935 or Section 30(h) of the Investment Company Act of 1940

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3235-0287

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(Print or Type Responses)

1. Name and Address of Reporting Person ^*

SHULMAN STEVEN J

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

(Last)

(First)

(Middle)

55 NOD ROAD

3. Date of Earliest Transaction (Month/Day/Year)
09/01/2006

(Street)

AVON, CT 06001

4. If Amendment, Date 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

(City)

(State)

(Zip)

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	09/01/2006		X⁽¹⁾		5,599	A	$ 11.91	162,483 ⁽²⁾	D
Ordinary Common Stock, $0.01 par value	09/01/2006		S⁽¹⁾		100	D	$ 47.34	162,383	D
Ordinary Common Stock, $0.01 par value	09/01/2006		S⁽¹⁾		399	D	$ 47.33	161,984	D
Ordinary Common Stock, $0.01 par value	09/01/2006		S⁽¹⁾		400	D	$ 47.31	161,584	D
Ordinary Common Stock, $0.01 par value	09/01/2006		S⁽¹⁾		200	D	$ 47.29	161,384	D
Ordinary Common Stock, $0.01 par value	09/01/2006		S⁽¹⁾		100	D	$ 47.27	161,284	D
Ordinary Common Stock, $0.01 par value	09/01/2006		S⁽¹⁾		100	D	$ 47.26	161,184	D
Ordinary Common Stock, $0.01 par value	09/01/2006		S⁽¹⁾		100	D	$ 47.25	161,084	D
Ordinary Common Stock, $0.01 par value	09/01/2006		S⁽¹⁾		200	D	$ 47.23	160,884	D
Ordinary Common Stock, $0.01 par value	09/01/2006		S⁽¹⁾		200	D	$ 47.22	160,684	D
Ordinary Common Stock, $0.01 par value	09/01/2006		S⁽¹⁾		300	D	$ 47.21	160,384	D
Ordinary Common Stock, $0.01 par value	09/01/2006		S⁽¹⁾		400	D	$ 47.2	159,984	D
Ordinary Common Stock, $0.01 par value	09/01/2006		S⁽¹⁾		300	D	$ 47.18	159,684	D
Ordinary Common Stock, $0.01 par value	09/01/2006		S⁽¹⁾		600	D	$ 47.17	159,084	D
Ordinary Common Stock, $0.01 par value	09/01/2006		S⁽¹⁾		300	D	$ 47.16	158,784	D
Ordinary Common Stock, $0.01 par value	09/01/2006		S⁽¹⁾		100	D	$ 47.15	158,684	D
Ordinary Common Stock, $0.01 par value	09/01/2006		S⁽¹⁾		400	D	$ 47.12	158,284	D
Ordinary Common Stock, $0.01 par value	09/01/2006		S⁽¹⁾		300	D	$ 47.1	157,984	D
Ordinary Common Stock, $0.01 par value	09/01/2006		S⁽¹⁾		400	D	$ 47.09	157,584	D
Ordinary Common Stock, $0.01 par value	09/01/2006		S⁽¹⁾		300	D	$ 47.08	157,284	D
Ordinary Common Stock, $0.01 par value	09/01/2006		S⁽¹⁾		100	D	$ 47.06	157,184	D
Ordinary Common Stock, $0.01 par value	09/01/2006		S⁽¹⁾		100	D	$ 47.04	157,084	D
Ordinary Common Stock, $0.01 par value	09/01/2006		S⁽¹⁾		175	D	$ 47.03	156,909	D
Ordinary Common Stock, $0.01 par value	09/01/2006		S⁽¹⁾		25	D	$ 47.01	156,884	D

Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly.
	Persons who respond to the collection of information contained in this form are not required to respond unless the form displays a currently valid OMB control number.		SEC 1474 (9-02)

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 Underlying Securities
(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 of Derivative Security: Direct (D) or Indirect (I)
(Instr. 4)

11. Nature of Indirect Beneficial Ownership
(Instr. 4)

Code

(A)

(D)

Date Exercisable

Expiration Date

Title

Amount or Number of Shares

Stock Option (right to buy)

$ 11.91

09/01/2006

X⁽¹⁾

5,599

01/05/2006

12/31/2006

Common Stock

5,599

$ 0 ⁽³⁾

209,202 ⁽⁴⁾

Reporting Owners

Reporting Owner Name / Address	Relationships
Reporting Owner Name / Address	Director	10% Owner	Officer	Other
SHULMAN STEVEN J 55 NOD ROAD AVON, CT 06001	X		Chairman and CEO

Signatures

Steven J Shulman		09/05/2006
^**Signature of Reporting Person		Date

Explanation of Responses:

*	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).
(1)	This transaction was effectuated pursuant to a Rule 10b-5-1 plan and, accordingly, not on a discretionary basis by the reporting person.
(2)	Includes 156,884 shares owned prior to current transaction, of which 18,339 shares are unvested restricted stock.
(3)	No price was applicable to the acquisition of this security.
(4)	Of the 209,202 options in this tranche, 2,700 are exercisable until 12/31/06. The remainder of 206,502 options in this tranche will become exercisable on January 5, 2007 and until December 31, 2007.

Note: File three copies of this Form, one of which must be manually signed. If space is insufficient, see Instruction 6 for procedure.

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