Press Release

DETROIT, Sept. 7 /PRNewswire-FirstCall/ -- PHC, Inc., d.b.a. Pioneer Behavioral Health (OTC Bulletin Board: PIHC), a leading provider of inpatient and outpatient behavioral health services and pharmaceutical research, today announced that it will offer free services to Michigan residents directly affected by the aftermath of Hurricane Katrina.

Pioneer, which owns and operates Michigan-based facilities, including Detroit Behavioral Institute, Harbor Oaks Hospital, Pioneer Counseling Centers, and Wellplace, is working with local, state and other government mental health agencies to provide a number of relief services to those directly affected by Hurricane Katrina.

Alexander N. Luvall, Executive Vice President of Pioneer, said, "We recognize the needs of residents and evacuees that have relocated to Michigan, and as such, we are making our staffed Michigan helpline, available to relief victims to call. The toll-free helpline, 1-888-KAT-0805, will be available 24 hours per day, seven days per week. Through our helpline, we intend to provide a professional and compassionate ear, while making assessments and referrals to various victim support groups, as well as to direct inpatient and/or outpatient counseling services for those who meet criteria at various Michigan mental health facilities, including Pioneer's facilities, as well as those provided by local authorities."

Dr. Richard Visingardi, Interim Director of Detroit Wayne County Community Mental Health Agency, which provides mental health services to over 50,000 consumers, commented, "I appreciate organizations such as Pioneer Behavioral Health, in times of crisis, immediately stepping up and responding to the needs of the communities impacted by the horrible aftermath of Hurricane Katrina. Pioneer has again demonstrated leadership and understanding in this community to coalesce and quickly respond during an emergency."

Mr. Luvall continued, "The Detroit Mayor's office has expressed appreciation that Pioneer has joined the city's response to aid and assist victims of the catastrophic events of Hurricane Katrina, and we are pleased to take part in this important effort."

For more information regarding the services being offered by Pioneer to Hurricane Katrina relief victims, please call 1-888-KAT-0805, (1-888-528-0805).

About Pioneer Behavioral Health:

Pioneer Behavioral Health operates companies that provide inpatient and outpatient behavioral health care services, clinical research and Internet- and telephonic-based referral services. The companies contract with national insurance companies, government payors, and major transportation and gaming companies, among others, to provide such services. For more information, please visit http://www.phc-inc.com or http://www.haydenir.com.

     Contact:  Alexander N. Luvall
               Executive Vice President
               Pioneer Behavioral Health
               1-313-833-8785

    Statement under the Private Securities Litigation Reform Act of 1995:

This press release may include "forward-looking statements" that are subject to risks and uncertainties. Forward-looking statements include information about possible or assumed future results of the operations or the performance of the company and its future plans and objectives. Various future events or factors may cause the actual results to vary materially from those expressed in any forward-looking statements made in this press release. For a discussion of these factors and risks, see the company's annual report on Form 10-KSB for the most recently ended fiscal year.

SOURCE  Pioneer Behavioral Health
    -0-                             09/07/2005
    /CONTACT:  Alexander N. Luvall, Executive Vice President of Pioneer
Behavioral Health, +1-313-833-8785/
    /Web site:  http://www.haydenir.com /
    /Web site:  http://www.phc-inc.com /
    (PIHC)

CO:  Pioneer Behavioral Health
ST:  Michigan
IN:  HEA MTC OTC
SU:  PDT

KM-CM
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6558 09/07/2005 13:32 EDT http://www.prnewswire.com