UPDATE 1-Magellan Health Q3 profit beats Street

* Q3 shr 58 cents beats estimates

* Q3 rev $656.5 mln trails estimates

* Reaffirms FY 2008 shr view $1.95-$2.17

Oct 31 (Reuters) - Magellan Health Services Inc (MGLN.O), which provides a network of doctors and hospitals to its members, posted a quarterly profit that beat market expectations, and reaffirmed its 2008 outlook.

"The third quarter was a successful one for Magellan, with our radiology benefits management and specialty pharmacy segments -- NIA and ICORE, respectively -- performing particularly well," Chief Executive Rene Lerer said in a statement.

For the third quarter, the company's specialty pharmaceutical management segment rose 26 percent to $56.7 million.

Shares of the Avon, Connecticut-based company closed at $34.18 Thursday on Nasdaq.

For the alerts, please double-click [ID:nWNAB5725] . For the press release, please double-click [ID:nBw315196a] . (Reporting by Anuradha Ramanathan in Bangalore; Editing by Pratish Narayanan)