EX-99.1 4 g14015exv99w1.htm EX-99.1 SELECTED FINANCIAL DATA EX-99.1 SELECTED FINANCIAL DATA
Exhibit 99.1
 
Selected Financial Data
 
The following selected consolidated financial data should be read in conjunction with “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and with the consolidated financial statements and notes thereto, which are included in Exhibits 99.2 and 99.3.
 
                                         
    Years Ended December 31,(1)  
    2007     2006(2)(3)(4)     2005     2004     2003(5)  
    (In thousands, except per share data)  
 
Consolidated Statements of Operations Data:
                                       
Revenue
  $ 331,693     $ 908,927     $ 852,010     $ 811,267     $ 629,994  
Costs and expenses:
                                       
Cost of operations
    117,281       545,706       528,004       512,679       404,186  
Sales and marketing
    93,645       119,103       104,669       114,216       91,798  
General and administrative
    104,321       132,334       118,202       106,703       98,615  
Depreciation and amortization
    28,256       44,558       43,548       39,134       47,053  
Interest income
    42,035       32,339       21,527       18,708       22,855  
Interest expense
    18,593       18,794       16,321       19,249       15,201  
Gain on 2006 EBS Sale
    399       352,297       —       —       —  
Other income (expense), net
    3,406       (4,252 )     (27,965 )     (13,308 )     1,918  
                                         
Income (loss) from continuing operations before income tax (benefit) provision
    15,437       428,816       34,828       24,686       (2,086 )
Income tax (benefit) provision
    (8,741 )     50,389       (2,170 )     4,272       3,148  
Minority interest in WHC
    10,667       405       775       —       —  
Equity in earnings of EBS Master LLC
    28,566       763       —       —       —  
                                         
Income (loss) from continuing operations
    42,077       378,785       36,223       20,414       (5,234 )
(Loss) income from discontinued operations, net of tax
    (22,198 )     393,132       32,588       16,197       (13,188 )
                                         
Net income (loss)
  $ 19,879     $ 771,917     $ 68,811     $ 36,611     $ (18,422 )
                                         
Basic income (loss) per common share:
                                       
Income (loss) from continuing operations
  $ 0.24     $ 1.36     $ 0.11     $ 0.06     $ (0.02 )
(Loss) income from discontinued operations
    (0.13 )     1.41       0.09       0.05       (0.04 )
                                         
Net income (loss)
  $ 0.11     $ 2.77     $ 0.20     $ 0.11     $ (0.06 )
                                         
Diluted income (loss) per common share:
                                       
Income (loss) from continuing operations
  $ 0.21     $ 1.20     $ 0.10     $ 0.06     $ (0.02 )
(Loss) income from discontinued operations
    (0.12 )     1.18       0.10       0.05       (0.04 )
                                         
Net income (loss)
  $ 0.09     $ 2.38     $ 0.20     $ 0.11     $ (0.06 )
                                         
Weighted-average shares outstanding used in computing income (loss) per common share:
                                       
Basic
    179,330       279,234       341,747       320,080       304,858  
                                         
Diluted
    188,763       331,642       352,852       333,343       304,858  
                                         
 


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    As of December 31,(1)  
    2007     2006(2)(3)     2005     2004     2003  
    (In thousands)  
 
Consolidated Balance Sheets Data:
                                       
Cash, cash equivalents and short-term investments
  $ 827,737     $ 648,831     $ 423,003     $ 101,655     $ 266,097  
Long-term marketable equity securities
    2,383       2,633       4,430       515,838       456,034  
Working capital (excluding assets and liabilities of discontinued operations)
    860,133       618,126       398,751       44,607       194,217  
Total assets
    1,651,397       1,470,366       2,214,879       2,309,012       2,129,642  
Convertible notes
    650,000       650,000       650,000       649,999       649,999  
Minority interest in WHC
    131,353       101,860       43,096       —       —  
Convertible redeemable exchangeable preferred stock
    —       98,768       98,533       98,299       —  
Stockholders’ equity
    599,777       372,527       1,061,233       1,214,876       1,171,980  
 
 
(1) On February 21, 2008, we announced our intention to divest our ViPS and Porex segments. Accordingly, this selected consolidated financial data has been reclassified to reflect the historical results of these two segments as discontinued operations for all periods presented.
 
(2) For the year ended December 31, 2006, the consolidated financial position and results of operations reflect the sale of a 52% interest in our Emdeon Business Services segment (which we refer to as EBS), as of November 16, 2006. Accordingly, the consolidated balance sheet as of December 31, 2006 excludes the assets and liabilities of EBS, includes an investment in EBS Master LLC accounted for under the equity method of accounting related to our 48% ownership, and the consolidated statement of operations for the year ended December 31, 2006 includes the operations of EBS for the period January 1, 2006 through November 16, 2006 and our 48% equity in earnings of EBS Master LLC from November 17, 2006 through December 31, 2006.
 
(3) On September 14, 2006, we completed the sale of the Emdeon Practice Services segment. Accordingly, this selected consolidated financial data has been reclassified to reflect the historical results of the Emdeon Practice Services segment as a discontinued operation for this and all prior periods presented.
 
(4) On January 1, 2006, we adopted Statement of Financial Accounting Standards No. 123 “(Revised 2004): Share Based Payment” that resulted in additional non-cash stock-based compensation expense during 2006 and the subsequent period. See Results of Operations included in the Management’s Discussion and Analysis of Financial Condition and Results of Operations attached as Exhibit 99.2.
 
(5) On August 1, 2003, we completed the sale of two operating units of our Porex businesses. Accordingly, this selected consolidated financial data has been reclassified to reflect the historical results of these two operating units as discontinued operations for the year ended December 31, 2003.

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