Humana 2006 Annual Report Download - page 85

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Humana Inc.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
On April 1, 2004, we acquired Ochsner Health Plan, or Ochsner, from the Ochsner Clinic Foundation for
$157.1 million in cash.
During 2006, we paid $5.8 million in contingent purchase price settlements related to the Corphealth,
CarePlus, and Ochsner acquisitions.
The results of operations and financial condition of CHA Health, Corphealth, CarePlus, and Ochsner have
been included in our consolidated statements of income and consolidated balance sheets from the respective
acquisition dates. The pro forma financial information assuming the acquisition of CHA Health had occurred as
of the beginning of each respective period was not material to our results of operations. The pro forma financial
information presented below assumes that the acquisitions of Corphealth, CarePlus and Ochsner had occurred as
of the beginning of each respective period. The pro forma adjustments include the pro forma effect of
amortization of other intangible assets arising from the purchase price allocation and interest expense related to
the assumed financing of the cash purchase price and the associated income tax effects of the pro forma
adjustments. The pro forma results have been prepared for comparative purposes only and do not purport to be
indicative of the results of operations that would have occurred had the Corphealth, CarePlus and Ochsner
acquisitions been consummated at the beginning of the respective periods.
For the year ended December 31,
2005(1) 2004(2)
(in thousands, except per share results)
Revenues ..................................................... $14,500,064 $13,786,237
Net income ................................................... $ 301,198 $ 293,362
Earnings per common share:
Basic .................................................... $ 1.86 $ 1.83
Diluted ................................................... $ 1.82 $ 1.80
(1) This period includes the pro forma impact of Corphealth for approximately 11.5 months and CarePlus for
approximately 1.5 months.
(2) This period includes the pro forma impact of Corphealth and CarePlus for 12 months and Ochsner for 3
months.
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