An HMO chief makes a bet on being big
Article Abstract:
United HealthCare Corp. is about to become the largest HMO in the country; it will acquire Humana Inc. for about $5.38 billion. The company is run by a "driven" CEO, Dr. Wm. W. McGuire, who feels patient care will get better with the economies of size. Only in some southern and midwestern areas will there be layoffs because of duplication of facilities. United is known for its predominantly "open-access" plan which is more liberal than the traditional HMO; however, with employers complaining about higher costs, United might have to pare its services a bit to cut costs.
Comment:
Will acquire Humana for about $5.38 billion making it the largest HMO
Publication Name: The Wall Street Journal Western Edition
Subject: Business, general
ISSN: 0193-2241
Year: 1998
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United HealthCare takes a big charge
Article Abstract:
A $900 million second quarter charge against earnings taken by United HealthCare Corp. has surprised its merger partner, Lousiville, KY-based Humana Inc. The value of the merger, originally set at $5.5 billion, has dropped to about $3.26 billion in United HealthCare shares. Industry analysts have said that United HealthCare, which will report a $565 million second quarter loss and layoff as many as 4,000 of its 30,000 employees, may suffer a credibility problem due to its reporting procedures about losses.
Comment:
Has taken a $900 mil second quarter charge against earnings
Publication Name: The Wall Street Journal Western Edition
Subject: Business, general
ISSN: 0193-2241
Year: 1998
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United HealthCare to acquire Humana: plan to form U.S.'s biggest managed-care concern is valued at $5.38 billion
Article Abstract:
Minneapolis, MN-based,United HealthCare Corp. agreed to acquire Louisville, KY-based Humana Inc. in a $5.38 billion stock deal. The move will create the largest managed-health-care company in the US. Both companies have been successful, but the combination will give the new entity even greater bargaining power with doctors and hospitals.
Comment:
Agreed to acquire Louisville, KY-based Humana Inc. in a $5.38 bil
Publication Name: The Wall Street Journal Western Edition
Subject: Business, general
ISSN: 0193-2241
Year: 1998
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Comment about this article or add new information about this topic:
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