COBALT CORPORATION
CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)
Three months ended
March 31,
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2003 2002
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(In thousands, except share data)
Revenues:
Health services revenues:
Premium $ 357,377 $ 337,966
Government services 27,810 28,809
Other 18,759 11,264
Investment income, net 4,397 2,827
Net realized investment gains 224 104
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Total revenues 408,567 380,970
Expenses:
Medical and other benefits 303,841 292,358
Selling, general, administrative and other 85,918 76,868
Interest 275 172
Amortization of intangible assets 325 -
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Total expenses 390,359 369,398
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Income from continuing operations before income tax
expense and income from investment in affiliates 18,208 11,572
Income tax expense (7,066) (1,180)
Income from investment in affiliates, net of tax - 2,852
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Income from continuing operations 11,142 13,244
Income from discontinued operations, net of tax(1) - 9,359
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Net income $ 11,142 $ 22,603
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Earnings per common share:
Diluted EPS from continuing operations $ 0.26 $ 0.32
Diluted EPS discontinued operations 0.00 0.23
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Total diluted EPS $ 0.26 $ 0.55
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Diluted weighted average common shares 42,678,666 40,967,943
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(1) The three months ended March 31, 2002 includes a $9.9 million after tax gain on the sale of discontinued operations.