NU Online News Service, May 14, 11:47 a.m. – PacifiCare Health Systems Inc., Santa Ana., Calif., says it will be borrowing $200 million by placing notes due in 2009 with an institutional investor.

Because the managed care company is offering the notes through a private placement, rather than selling them on the open market to the general public, the notes are exempt from federal securities registration requirements, the company says.

PacifiCare says it hopes to use the cash it raises from the new notes to pay off other debts.