Anthem Blue Cross 2001 Annual Report Download - page 21

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As of and for the Year Ended December 31
2001 2000
Total Operating (000s) Total Operating (000s)
($ in Millions) Revenues Gain Assets Members Revenues Gain Assets Members
BCBS-ME $ 948.1 $12.6 $ 307.6 504 $489.4 $ 8.7)$339.5 487
As of and for the Year Ended December 31
2000 1999
Total Operating (000s) Total Operating (000s)
($ in Millions) Revenues Gain Assets Members Revenues Loss Assets Members
BCBS-NH $ 591.0 $11.6 $ 316.8 479 $ 77.9 $(0.3) $250.6 366
BCBS-CO/NV 678.6 6.5 545.8 595 76.9 (3.4) 521.5 486
BCBS-ME 489.4 8.7 339.5 487 – – – –
Total $1,759.0 $26.8 $1,202.1 1,561 $154.8 $(3.7) $772.1 852
Operating gain consists of operating revenue less benefit expense and administrative expense.
We sold our TRICARE operations on May 31, 2001. The results of our TRICARE operations are reported
in our Other segment (for Anthem Alliance), and in our Midwest business segment, which assumed a
portion of the TRICARE risk from May 1, 1998, to December 31, 2000. The operating results for our
TRICARE operations for 2001, 2000 and 1999 were as follows and include both the Anthem Alliance
and Midwest business segment results:
($ in Millions) 2001 2000 1999
Operating Revenue $263.2 $353.9 $292.4
Operating Gain $ 4.2 $ 3.9 $ 5.1
On May 30, 2001, we signed a definitive agreement with Blue Cross and Blue Shield of Kansas, or
BCBS-KS, pursuant to which BCBS-KS would become a wholly owned subsidiary. Under the proposed
transaction, BCBS-KS would demutualize and convert to a stock insurance company. The agreement calls
for us to pay $190.0 million in exchange for all of the shares of BCBS-KS. On February 11, 2002, the
Kansas Insurance Commissioner disapproved the proposed transaction, which had been previously approved
by the BCBS-KS policyholders in January 2002. On February 19, 2002, the board of directors of BCBS-KS
voted unanimously to appeal the Kansas Insurance Commissioner’s decision and BCBS-KS will seek to
have the decision overturned in Shawnee County District Court. We will join BCBS-KS in the appeal.
You should read this discussion in conjunction with our audited consolidated financial statements and
accompanying notes presented on pages 41 through 64.
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