Aetna 2013 Annual Report Download - page 4

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151FarmingtonAvenue,F265
Hartford,CT06156
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MarkT.Bertolini
Chairman,ChiefExecutive
OfficerandPresident
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Toourshareholders:
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2013wasahistoricyearforAetna.Weproducedrecordresultsandsuccessfullyclosedonour
acquisitionofCoventryHealthCare.Theacquisitionhassignificantlyimprovedourmarket
positioninboththecommercialandgovernmentmarkets.Ourlargergeographicreachwill
enableustostrengthenourcommitmenttobuildahealthierworldbyworkingwithothersto
redesignourhealthcaresystemaroundtheconsumer.Deliveringonthisgoalwillnotonly
improvethehealthofpeoplearoundtheworld,butitwillalsoincreasetheproductivityofglobal
economiesandleadtohealthiercommunities.
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Ourannualoperatingrevenuesof$47.2billionincreased33percentfrom2012andseta
companyrecord.Operatingearningsof$2.1billionandmedicalmembershipofnearly22.2
millionarealsoatall‐timehighs.Ourdiversifiedportfoliocontinuestobeasourceofstrength;
andpresentsuswithstrongplatformsforgrowth,bothnationallyandaroundtheglobe.
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Ourstrategicplanfor2013consistedofsuccessfullyintegratingtheCoventryacquisition,building
outournewprovidermodelcalledaccountablecaresolutions,andgrowingourcorebusinesses.
Iampleasedtoreportthatweexceededourgoals.Wesuccessfullyreachedoursynergytargets
withtheCoventryacquisition.Wecompletedmoreprovidercollaborationswithover32
accountablecareorganizationsinoperation,andarobustpipelinefor2014andbeyond.Our
corebusinessesgrewmarketshareandincreasedmedicalmembershipby4millionmembers
fromtheacquisitionofCoventryandverystrongresultscomingfromourgovernmentproducts.
Thesuccessoftheseeffortsisdemonstratedbyour14percentgrowthinoperatingEPSyearover
year,wellinexcessofourlong‐termobjective.Thisyearwealsolaunchedourhealthinsurance
exchangeofferings.Whileimplementationofthegovernment’spublicexchangeshasbeenrocky,
weremaincommittedtotheprincipleofincreasinghealthcareaccessacrossthecountrythrough
guaranteedcoverage.Webelievethatprivateandproprietaryexchangespresentaneven
greateropportunityforusinthelongtermastheywillprovidegreaterchoice,customizationand
flexibilitytoconsumers.Finally,wereturned$1.7billionofcapitaltoourshareholdersinshare
buybacksanddividends.
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AtAetna,webelievehealthcareasanindustryisprimedforrevolutionarydisruption.Value‐
basedproviderpaymentmodelswillcontinuetoproliferate,andretailmarketplaceswillgrowas
employersshifttodefinedcontributionarrangements.Thesechangeswillresultinaconsumer‐
empoweredhealthcaresystem.
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