Health Net 2009 Annual Report Download - page 147

HEALTH NET, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
(5) The sum of the quarterly amounts may not equal the year-to-date amounts due to rounding.
(6) Includes $55 million, $60 million, $24 million, and $25 million of health plan services premium revenues
and $15 million, $17 million, $6 million, and $7 million of health plan services costs related to Medicare
risk factor estimated amounts to be received from CMS as of the quarters ended March 31, June 30,
September 30, and December 31, 2009, respectively.
(7) Includes $7 million, $26 million, $9 million, and $(1) million of government contracts revenue and $8
million, $35 million, $9 million, and $(2) million of government contracts cost due to TRICARE estimated
health care cost adjustments for the quarters ended March 31, June 30, September 30, and December 31,
2009, respectively.
(8) Includes $(0.8) million, $(0.4) million, $0.1 million, and $(0.1) million of interest and changes in the
interest rate swap valuations for the quarters ended March 31, June 30, September 30, and December 31,
2009, respectively.
(9) Includes $10 million payment received for interest on premium rate settlement and $15 million of fees
earned under the United Administrative Services Agreements.
2008
March 31 June 30 September 30 December 31
(Dollars in millions, except per share data)
Total revenues (6), (7), (9) ......................... $3,836.8 $3,841.5 $3,818.9 $3,869.4(8)
Health plan services costs (6) ....................... 2,788.4 2,655.1 2,689.8 2,629.4
Government contracts costs (7) ..................... 637.6 658.3 687.8 718.9
(Loss) income from operations before income taxes ..... (51.0) 118.1 26.1 54.0
Net (loss) income ................................ (35.7)(1) 76.7(2) 18.5(3) 35.5(4)
Basic (loss) earnings per share ...................... $ (0.33) $ 0.71 $ 0.17 $ 0.34
Diluted (loss) earnings per share (5) .................. $ (0.33) $ 0.71 $ 0.17 $ 0.34
(1) Includes a $82.4 million charge related to litigation and regulatory-related matters and our operations
strategy.
(2) Includes a $13.0 million charge related to litigation and regulatory-related matters and our operations
strategy.
(3) Includes a $17.2 million charge related to our operations strategy and a $14.6 million charge related to
other-than-temporary impairment of investment securities.
(4) Includes a $47.9 million charge related to litigation and regulatory-related matters and our operations
strategy.
(5) The sum of the quarterly amounts may not equal the year-to-date amounts due to rounding.
(6) Includes $41 million, $48 million, $20 million, and $29 million of health plan services premium revenues
and $13 million, $11 million, $4 million, and $5 million of health plan services costs related to Medicare
risk factor estimated amounts to be received from CMS as of the quarters ended March 31, June 30,
September 30, and December 31, 2008, respectively.
(7) Includes $(4) million, $4 million, $48 million, and $(31) million of government contracts revenue and $(6)
million, $5 million, $62 million, and $(39) million of government contracts cost due to TRICARE estimated
health care cost adjustments for the quarters ended March 31, June 30, September 30, and December 31,
2008, respectively.
(8) Includes $19 million of 2001-2002 California Medi-Cal premium rate adjustments in the quarter ended
December 31, 2008.
(9) Includes $4.1 million, $(3.6) million, $1.0 million, and $5.4 million of changes in the interest rate swap
valuations for the quarters ended March 31, June 30, September 30, and December 31, 2008, respectively.
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