Quest Diagnostics 2014 Annual Report Download - page 109
Download and view the complete annual report
Please find page 109 of the 2014 Quest Diagnostics annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.QUEST DIAGNOSTICS INCORPORATED AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – CONTINUED
(in millions unless otherwise indicated)
)
Reserves for Legal Matters
5HVHUYHVIRUOHJDOPDWWHUVRWKHUWKDQWKRVHGHVFULEHGDERYHWRWDOHGPLOOLRQDQGOHVVWKDQPLOOLRQDW
'HFHPEHUDQGUHVSHFWLYHO\
Reserves for General and Professional Liability Claims
$VDJHQHUDOPDWWHUSURYLGHUVRIFOLQLFDOWHVWLQJVHUYLFHVPD\EHVXEMHFWWRODZVXLWVDOOHJLQJQHJOLJHQFHRURWKHU
VLPLODUOHJDOFODLPV7KHVHVXLWVFRXOGLQYROYHFODLPVIRUVXEVWDQWLDOGDPDJHV$Q\SURIHVVLRQDOOLDELOLW\OLWLJDWLRQFRXOGDOVR
KDYHDQDGYHUVHLPSDFWRQWKH&RPSDQ\VFOLHQWEDVHDQGUHSXWDWLRQ7KH&RPSDQ\PDLQWDLQVYDULRXVOLDELOLW\LQVXUDQFH
FRYHUDJHVIRUDPRQJRWKHUWKLQJVFODLPVWKDWFRXOGUHVXOWIURPSURYLGLQJRUIDLOLQJWRSURYLGHFOLQLFDOWHVWLQJVHUYLFHV
LQFOXGLQJLQDFFXUDWHWHVWLQJUHVXOWVDQGRWKHUH[SRVXUHV7KH&RPSDQ\VLQVXUDQFHFRYHUDJHOLPLWVLWVPD[LPXPH[SRVXUHRQ
LQGLYLGXDOFODLPVKRZHYHUWKH&RPSDQ\LVHVVHQWLDOO\VHOILQVXUHGIRUDVLJQLILFDQWSRUWLRQRIWKHVHFODLPV5HVHUYHVIRUVXFK
PDWWHUVLQFOXGLQJWKRVHDVVRFLDWHGZLWKERWKDVVHUWHGDQGLQFXUUHGEXWQRWUHSRUWHGFODLPVDUHHVWDEOLVKHGE\FRQVLGHULQJ
DFWXDULDOO\GHWHUPLQHGORVVHVEDVHGXSRQWKH&RPSDQ\VKLVWRULFDODQGSURMHFWHGORVVH[SHULHQFH6XFKUHVHUYHVWRWDOHG
DSSUR[LPDWHO\PLOOLRQDQGPLOOLRQDVRI'HFHPEHUDQGUHVSHFWLYHO\0DQDJHPHQWEHOLHYHVWKDW
HVWDEOLVKHGUHVHUYHVDQGSUHVHQWLQVXUDQFHFRYHUDJHDUHVXIILFLHQWWRFRYHUFXUUHQWO\HVWLPDWHGH[SRVXUHV0DQDJHPHQWFDQQRW
SUHGLFWWKHRXWFRPHRIDQ\FODLPVPDGHDJDLQVWWKH&RPSDQ\$OWKRXJKPDQDJHPHQWGRHVQRWDQWLFLSDWHWKDWWKHXOWLPDWH
RXWFRPHRIDQ\VXFKSURFHHGLQJVRUFODLPVZLOOKDYHDPDWHULDODGYHUVHHIIHFWRQWKH&RPSDQ\VILQDQFLDOFRQGLWLRQJLYHQWKH
KLJKGHJUHHRIMXGJPHQWLQYROYHGLQHVWDEOLVKLQJDFFUXDOVIRUORVVHVWLPDWHVUHODWHGWRWKHVHW\SHVRIPDWWHUVWKHRXWFRPHPD\
EHPDWHULDOWRWKH&RPSDQ\VUHVXOWVRIRSHUDWLRQVRUFDVKIORZVLQWKHSHULRGLQZKLFKWKHLPSDFWRIVXFKFODLPVLVGHWHUPLQHG
RUSDLG
18. DISCONTINUED OPERATIONS
'XULQJWKHIRXUWKTXDUWHURIWKH&RPSDQ\FRPPLWWHGWRDSODQWRVHOO+HPR&XH,Q)HEUXDU\WKH
&RPSDQ\HQWHUHGLQWRDQDJUHHPHQWWRVHOO+HPR&XHIRUDSSUR[LPDWHO\PLOOLRQSOXVHVWLPDWHGFDVKRQKDQGDWFORVLQJ
DQGRWKHUFXVWRPDU\ZRUNLQJFDSLWDODGMXVWPHQWV7KH&RPSDQ\FRPSOHWHGWKHVDOHRI+HPR&XHLQ$SULO7KH&RPSDQ\
FRPSOHWHGWKHVDOHRI2UDO'1$LQ'HFHPEHU$VDUHVXOWWKH&RPSDQ\VUHVXOWVLQFOXGHFKDUJHVLQGLVFRQWLQXHG
RSHUDWLRQVIRUWKHDVVHWLPSDLUPHQWDVVRFLDWHGZLWK+HPR&XHDQGWKHORVVRQVDOHDVVRFLDWHGZLWK2UDO'1$WRWDOLQJ
PLOOLRQ'LVFRQWLQXHGRSHUDWLRQVDOVRLQFOXGHVDPLOOLRQLQFRPHWD[H[SHQVHUHODWHGWRWKHUHYDOXDWLRQRIGHIHUUHGWD[
DVVHWVDVVRFLDWHGZLWK+HPR&XHDQGDPLOOLRQLQFRPHWD[EHQHILWUHODWHGWRWKHUHPHDVXUHPHQWRIGHIHUUHGWD[HVDVVRFLDWHG
ZLWK+HPR&XHDVDUHVXOWRIDQHQDFWHGLQFRPHWD[UDWHFKDQJHLQ6ZHGHQ
,QFRPHORVVIURPGLVFRQWLQXHGRSHUDWLRQVQHWRIWD[HVIRUWKH\HDUHQGHG'HFHPEHULQFOXGHVDJDLQRI
PLOOLRQLQFOXGLQJIRUHLJQFXUUHQF\WUDQVODWLRQDGMXVWPHQWVSDUWLDOO\RIIVHWE\LQFRPHWD[H[SHQVHDQGWUDQVDFWLRQFRVWV
DVVRFLDWHGZLWKWKHVDOHRI+HPR&XH,QDGGLWLRQLQFRPHORVVIURPGLVFRQWLQXHGRSHUDWLRQVQHWRIWD[HVIRUWKH\HDUHQGHG
'HFHPEHULQFOXGHVGLVFUHWHWD[EHQHILWVRIPLOOLRQDVVRFLDWHGZLWKIDYRUDEOHUHVROXWLRQRIFHUWDLQWD[
FRQWLQJHQFLHVUHODWHGWRRXU1,'EXVLQHVV
5HVXOWVRIRSHUDWLRQVIRU+HPR&XHDQG2UDO'1$KDYHEHHQUHSRUWHGDVGLVFRQWLQXHGRSHUDWLRQVLQWKHDFFRPSDQ\LQJ
FRQVROLGDWHGILQDQFLDOVWDWHPHQWVDQGUHODWHGQRWHVWRFRQVROLGDWHGILQDQFLDOVWDWHPHQWVIRUDOOSHULRGVSUHVHQWHG
5HVXOWVRIRSHUDWLRQVIRU1,'DWHVWNLWPDQXIDFWXULQJVXEVLGLDU\ZKLFKZDVZRXQGGRZQLQKDYHEHHQUHSRUWHG
DVGLVFRQWLQXHGRSHUDWLRQVLQWKHDFFRPSDQ\LQJFRQVROLGDWHGVWDWHPHQWVRIRSHUDWLRQVDQGUHODWHGGLVFORVXUHVIRUDOOSHULRGV
SUHVHQWHG7KH&RPSDQ\EHJDQUHSRUWLQJ1,'DVDGLVFRQWLQXHGRSHUDWLRQLQDQGZLOOFRQWLQXHWRUHSRUW1,'DVD
GLVFRQWLQXHGRSHUDWLRQXQWLOXQFHUWDLQWD[EHQHILWVDVVRFLDWHGZLWK1,'DUHUHVROYHG
6XPPDUL]HGILQDQFLDOLQIRUPDWLRQIRUWKHGLVFRQWLQXHGRSHUDWLRQVLVVHWIRUWKEHORZ
2014 2013 2012
1HWUHYHQXHV ²
,QFRPHORVVIURPGLVFRQWLQXHGRSHUDWLRQVEHIRUHWD[HV
,QFRPHWD[H[SHQVHEHQHILW ²
,QFRPHORVVIURPGLVFRQWLQXHGRSHUDWLRQVQHWRIWD[HV
48(67',$*1267,&6)250.