Molina Healthcare Inc · NYSE:MOH
Molina Healthcare — Investor Day (May 2008)
102 slides from Molina Healthcare's investor day presentation, May 29, 2008
Slide 1: Investor Day 2008
Investor Day 2008 New York May 29th, 2008 J. Mario Molina, MD President & Chief Executive Officer Molina Healthcare, Inc.
Slide 2: Cautionary Statement
Cautionary Statement Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: This presentation contains numerous "forward- looking statements," including statements that refer to earnings guidance, projections, and anticipated future operations and business strategies. All
Slide 3: Agenda
Agenda Welcome & Opening Remarks J. Mario Molina, MD, Chief Executive Officer Panel 1 Managing the ABD Population James Howatt, MD, Chief Medical Officer Update on Operations Terry Bayer, Chief Operating Officer Molina Medicare Update Richard Slaughter, VP - Molina Medicare Panel 1 Q&A Break Panel 2
Slide 4: Mission Statement
Mission Statement Our mission is to promote health and provide health services to low-income families and individuals covered by government programs.
Slide 5: Business Snapshot
Business Snapshot '00 '01 '02 '03 '04 '05 '06 '07 Q1 '08 East 298 405 489 564 788 869 1021 1149 1185 Washington 289,000 California 303,000 New Mexico 78,000 Utah 55,000 Michigan 216,000 Ohio 140,000 Texas 28,000 Membership growth TANF ABD SCHIP MASNP East 0.87 0.08 0.05 0.002 Markets and members ser
Slide 6: Commitment to Quality
Commitment to Quality ALL of Molina's eligible health plans ranked by US News & World Report & NCQA* All of our eligible health plans have earned an "Excellent" quality accreditation status from NCQA* * Excludes our recently acquired Missouri plan (Mercy CarePlus).
Slide 7: Strategic Goals
Strategic Goals We must use the most cost- effective alternatives Limit our overhead costs No contract should contribute more than 15% of revenue Keep a nickel from every dollar of revenue We are the stewards of the public's money '03 '04 '05 '06 '07 '08 Q1 East 0.066 0.059 0.071 0.084 0.082 0.078 A
Slide 8: Growth and Diversification of Membership
2003 2007 CA 258 303 MI 36 216 UT 44 55 WA 177 289 MO 76 NM 78 OH 140 TX 28 Growth and Diversification of Membership 2Q03 1Q08 27% Members=1.2M Members= 515K 130% Growth Membership growth
Slide 9: Growth and Diversification of Revenue
Growth and Diversification of Revenue CA WA MI NM UT OH TX Medicare East 0.16 0.29 0.22 0.1 0.05 0.13 0.03 0.02 '03 '04 '05 '06 '07E East 0.066 0.059 0.072 0.086 0.079 Revenue breakout - Q1 '08 CA WA MI NM UT OH TX MO Medicare East 0.137 0.243 0.17 0.124 0.058 0.17 0.018 0.073 0.029 Revenue breakout
Slide 10: California Budget Update
California Budget Update May Revise Fiscal Year 2007-2008 Medical budget projected to be $36.6B - a 2% increase Provider fee reduction of 10% remains for July 1, 2008 Governor adds back $170M to the general fund for health plan rate increases to maintain "actuarially sound methodology" securing fede
Slide 11: California Budget Update: Molina California
California Budget Update Molina California Molina's premium revenue projected to decrease by 6% California Medicaid accounts for about 13% of Molina's consolidated revenue Mitigation plan in place
Slide 12: Medicaid Historical Details
Medicaid Historical Details 1967: 9M Beneficiaries $3.1B Spending 0 10M 20M 30M 40M 50M 60M 1965 1968 1971 1974 1977 1980 1983 1986 1989 1992 1995 1998 2001 2004 2007 $320B Lyndon Johnson (D) Richard Nixon (R) Gerald Ford (R) Jimmy Carter (D) Ronald Reagan (R) George H. Bush (R) William Clinton (D)
Slide 13: Management Team
"No managed care CEO has been in place longer than Mario Molina" Management Team "John Molina is among the longest tenured CFOs in the managed care space." * * *Source: Nersessian G., Credit Suisse Equity Research. "The Molina Chronicles" -- Takeaways from Management Meetings, Feb. 29, 2008. Dr. J.
Slide 14: Managing the ABD Population
Managing the ABD Population May 29th, 2008 James Howatt, MD, MBA Chief Medical Officer Molina Healthcare, Inc.
Slide 15: ABD - Overview
ABD - Overview Where are the members? What are their demographics? How will we succeed?
Slide 16: ABD - Overview: Where are the members?
ABD - Overview Where are the members?
Slide 17: Business Snapshot - ABD
Business Snapshot - ABD TANF ABD MASNP East 0.92 0.08 0.002 Washington 3,000 California 12,000 New Mexico 7,000 Utah 7,000 Michigan 32,000 Ohio 15,000 Texas 16,000 LOB Revenue Markets and members served TANF & SCHIP 92% ABD 8% Medicare <1% Our members All Other ABD MASNP East 579.3 129 21.3 TANF & S
Slide 18: ABD - Overview: What are their demographics?
ABD - Overview What are their demographics?
Slide 19: Segmentation
Segmentation LTC Duals ABD TANF = patients in need of more complex care; for illustrative purposes only, not an actual percentage complexity of care number of potential enrollees Medicare Medicaid
Slide 20: ABD Population vs. TANF Medicaid Population
ABD Population vs. TANF Medicaid population TANF ABD Aged, Blind or Disabled population 99%..............Under 65................90% 56%...................Female..................53% 13.5...............Average Age................39.8 78%.........Percentage of Pediatric.....19% TANF ABD
Slide 21: Age Demographics of the ABD Population
Age Demographics of the ABD Population
Slide 22: ABD Population and Chronic Conditions
ABD Population and Chronic Conditions 28% of the ABD Population has Multiple Chronic Conditions
Slide 23: Top Inpatient Diagnosis - ABD Population
TOP 15 Inpatient Diagnosis - ABD Population
Slide 24: Top Outpatient Diagnosis - ABD Population
TOP 15 Outpatient Diagnosis - ABD Population
Slide 25: Medicaid ER Visits - TANF vs. ABD
Medicaid ER Visits - TANF vs. ABD TANF ABD 2006 548 1129 2007 607 1095
Slide 26: ABD - Overview: How will we succeed?
ABD - Overview How will we succeed?
Slide 27: Specific Strategies for Success
Specific Strategies for Success Utilization Management Pharmacy BH/PH Integration Telephony Disease Management/Care Coordination Research with Partners Advantage of Specialization
Slide 28: Utilization Management
Utilization Management Admissions Concurrent Review Avoid Re-admissions Transportation Home Health DME Outpatient Services Complex Imaging Transition of Care Results
Slide 29: Pharmacy
Pharmacy Focus on Adherence Post-discharge Assistance First-Fill Program Immediate Warning Systems Specialty Rx Management Results
Slide 30: Rx PMPM - Ohio, Michigan and Washington
Rx PMPM - Ohio, Michigan and Washington TANF ABD Consolidated Rx 22.22 183.46 ABD vs. TANF - Q1 2008
Slide 31: Behavioral/Physical Health Integration
Behavioral/Physical Health Integration Recognition of opportunity Behavioral Health (BH) advisory committee Commitment to develop BH as a core competency within Molina Care Coordination focus Medical Home focus Pharmacy aspects
Slide 32: ABD - Telephony
ABD - Telephony KIT program Nurse Advice Line Access to crisis management Alternatives to ER use Automated outreach Preventive service reminders Health Risk Assessment Medication reminders
Slide 33: Case Management and Care Coordination
Medical model Distinct endpoint Illness related Case Management Care Coordination Life enhancement model Ongoing over time Community based, person centered Case Management and Care Coordination
Slide 34: Research with Partners
Healthcare disparities Education & literacy Improving outcomes Research with Partners Johns Hopkins (GIM - School of Public Health) Claremont Graduate University (New School of Community & Global Health) Public health implications Maternal health Improving outcomes
Slide 35: ABD - Summary
ABD - Summary Experience Skills Flexibility Patience Pharmacy Ancillaries AN ENDURING COMMITMENT TO AN INCREASINGLY IMPORTANT SEGMENT Molina Healthcare Knows ABD
Slide 36: Operations Update
Operations Update May 29th, 2008 Terry Bayer Chief Operating Officer Molina Healthcare, Inc.
Slide 37: Operations Update Overview
Operations Update Overview Membership Growth Medical Management State Budget Impact Action Plan to Mitigate Membership Growth Increased Administrative Efficiency Membership Growth Contract Award OH CA NM
Slide 38: Ohio - A Long Term Commitment
Ohio - A Long Term Commitment 2005 2006 2007 2008 - - Entered ODJFS Readiness Review Phase - - Opened office - - CFC Provider Agreement effective for Clark, Montgomery, and Franklin counties - - Submitted application for Regional CFC- RFA - CFC Provider Agreements effective for Central, West Central
Slide 39: Ohio - Keys to Long Term Success
Ohio - Keys to Long Term Success Managing Medical Costs State Partnership Leveraging Growth
Slide 40: Ohio - Keys to Long Term Success: Managing Medical Costs
Ohio - Keys to Long Term Success Managing Medical Costs
Slide 41: Ohio - Managing Medical Costs
Ohio - Managing Medical Costs Emergency Room Diversion Inpatient Utilization Pharmacy Management
Slide 42: Inpatient Utilization
Inpatient Utilization MHI (Con) Ohio TANF Admits 44 48 ABD Admits 230 334 3/31/2008 YTD Admits per 1,000 members / Yr (w/o OB and SNF)
Slide 43: Ohio - ABD Admits per 1,000 Members
Ohio - ABD Admits per 1,000 mbrs / Yr '07 Aug '07 Sep '07 Oct '07 Nov '07 Dec '08 Jan '08 Feb '08 Mar Admits / 1,000 414 381 355 341 342 321 348 313
Slide 44: Ohio - Rx ABD PMPM
'07 Oct '07 Nov '07 Dec '08 Jan '08 Feb '08 Mar Rx PMPM 331 301 284 301 292 295 Ohio - Rx ABD PMPM
Slide 45: Ohio - ABD ER
Ohio - ABD ER MI OH ABD ER Visits per 1,000 mbrs / Yr. 1000 1250 Dates 11/06 - 10/07 ABD Emergency Room Visits per 1,000 members / Yr. Ohio ABD ER visits are 25% higher than Michigan
Slide 46: Ohio - Keys to Long Term Success: State Partnership
Ohio - Keys to Long Term Success State Partnership Appropriate Rates Program Design & Tools Commitment to Medicaid
Slide 47: Ohio - Keys to Long Term Success: Leveraging Growth
Ohio - Keys to Long Term Success Leveraging Growth Administrative Efficiency Economies of Scale
Slide 48: Molina Healthcare of California
Lovelace Molina Pres. East 0.95 0.01 0.04 Molina Healthcare of California '02 '03 '04 '05 '06 '07 1Q '08 East 253000 254000 253000 321000 300000 296000 303000 Membership history State Budget Impact Action Plan to Mitigate Membership: Sacramento San Diego Los Angeles TANF 95% ABD 4% Medicare < 1%
Slide 49: Why is the 10% Reduction Really only 6%?
Estimated Capitation* July 1, 2008 (Assumed $94.00) Current Capitation* (Assumed $100) *Based upon analysis of San Bernardino/Riverside County Capitation. (c) 2008 Molina Healthcare, Inc. CMAC contracted rates will not be cut Full 10% reduction applies Why is the 10% Reduction Really only 6%? Physic
Slide 50: California - Mitigating Revenue Impact
California - Mitigating Revenue Impact Revenue Impact (6% for 7/1-12/31/08) Provider Fee Reductions 10% Cut - FFS Providers 2.5% Cut - Capitated Provider Enhanced Medical Management Administrative Cost Reduction Net Impact EPS Impact (per Guidance) ($11.0M) $2.5M $1.0M $1.0M $2.0M ($4.5M) ($0.10)
Slide 51: Molina Healthcare of New Mexico
Molina Healthcare of New Mexico '04 '05 '06 '07 1Q '08 East 65000 60000 65000 73000 78000 Membership history Lovelace Molina Pres. East 0.27 0.23 0.5 Presbyterian 50% Lovelace 27% Molina 23% Market Share - Salud members Santa Fe Albuquerque Las Cruces Contract Renewal Term - 4 Years Effective July 1
Slide 52: Growth Enables Administrative Efficiency
Growth Enables Administrative Efficiency Sources of Growth Organic Growth Missouri Acquisition 11/07 Ohio Central Region Competitor exit 4/08 Steady Medicare Growth
Slide 53: Membership Growth
Membership Growth 2002 2003 2004 2005 2006 2007 1Q 2008 Molina 489 564 788 893 1077 1149 1185 Membership Growth
Slide 54: Total Admin as a % of Revenue
Q3 '07 Q4 '07 Q1 '08 Admin % of Revenue 0.117 0.118 0.106 Total Admin as a % of Revenue
Slide 55: Molina Medicare Update
Molina Medicare Update May 29th, 2008 Richard Slaughter VP - Molina Medicare Molina Healthcare, Inc.
Slide 56: Molina Medicare
Molina Medicare Consistent with MHI's strategic goal of diversification Consistent with MHI's mission of providing high quality health services to individuals who are lower income Strong contributor to MHI's goal of $4B in annual revenues by 2010
Slide 57: Medicare Products
Medicare Products Full Dual eligibles MASNP MAPD New 2008 Low income (annual income less than $25,000) Medicare beneficiaries 37%..............Under 65................17% 62%...................Female..................55% 33%...............Live Alone................28% 59%.......Income Below Poverty.
Slide 58: Segmentation
Segmentation LTC Duals ABD TANF = patients in need of more complex care; for illustrative purposes only, not an actual percentage complexity of care number of potential enrollees Medicare Medicaid
Slide 59: 2008 Medicare Markets
2008 Medicare Markets Washington: King, Pierce, Snohomish, Spokane California: Los Angeles, Riverside, San Bernardino, San Diego Utah: Davis, Iron, Salt Lake, Utah, Washington, Weber Michigan: Genesse, Kent, Macomb, Oakland, Wayne Texas: Bexar, Galveston, Harris Nevada: Clark, Washoe Option + Option
Slide 60: Medicare - Experienced Leadership Team
Medicare - Experienced Leadership Team Richard Slaughter Vice President 14 years Matthew Woodruff COO 12 years Rolando Chavez CFO 14 years Gary Call, M.D. CMO 10 years Tracy Tellefson CSMO 18 years Carmen Alexander Director Compliance 6 years
Slide 61: Experiencing Steady Growth
Experiencing Steady Growth Medicare Enrollment Q1 '06 Q2 '06 Q3 '06 Q4 '06 Q1 '07 Q2 '07 Q3 '07 Q4 '07 Q1 '08 East 1542 1780 2172 2388 2637 3251 4115 5092 6445
Slide 62: Key Challenges: Revenue Accuracy
Revenue Accuracy Capture all revenue we are due Risk Adjusted End Stage Renal Disease Working Aged Institutionalized Key Challenges
Slide 63: Key Challenges: SNP Moratorium
SNP Moratorium Be the most Special SNP Behavioral Health MTMP House Call Program Key Challenges Revenue Accuracy Capture all revenue we are due Risk Adjusted End Stage Renal Disease Working Aged Institutionalized
Slide 64: Key Challenges: Increasing Regulatory Oversight
Increasing Regulatory Oversight Be more efficient & compliant than our competitors Key Challenges SNP Moratorium Be the most Special SNP Behavioral Health MTMP House Call Program Revenue Accuracy Capture all revenue we are due Risk Adjusted End Stage Renal Disease Working Aged Institutionalized
Slide 65: Key Challenges: Coordination between Medicaid & Medicare
Coordination between Medicaid & Medicare Leveraging existing relationships with State regulators and legislators Key Challenges Increasing Regulatory Oversight Be more efficient & compliant than our competitors SNP Moratorium Be the most Special SNP Behavioral Health MTMP House Call Program Revenue
Slide 66: Market Views
Market Views National View 90 County Ackiressablo Market Seems 1 ——— a Michigan View ee a ead ey issn i NEXTIFICARE
Slide 67: Q&A - Panel
Q&A — Panel 1 eo AREMOLINA IMEAtrHiCARE
Slide 68: Break
68 Break
Slide 69: Building Membership: Acquisition vs. Start-up
Building Membership Acquisition vs. Start-up: A Financial Perspective May 29th, 2008 Joseph White Chief Accounting Officer Molina Healthcare, Inc.
Slide 70: An HMO Has Four Key Financial Assets
An HMO has four key financial assets: Regulatory Capital Member Contract Provider Network Administrative Capacity We can either buy these assets or we can build them.
Slide 71: How Do We Pay for an HMO?
How do we pay for an HMO? Administrative Capacity ACQUISITION START-UP Regulatory Capital Provider Network Member Contract Buy Buy Buy Buy Contribute Build Build Build
Slide 72: Financial Statement Impact: Acquisition
FINANCIAL STATEMENT IMPACT How do we pay for an Acquisition? Administrative Capacity ACQUISITION Regulatory Capital Provider Network Buy Buy Buy Buy Balance Sheet Investment Amortized Right Sized Amortized Member Contract
Slide 73: Financial Statement Impact: Start-Up
FINANCIAL STATEMENT IMPACT How do we pay for a Start-Up? Administrative Capacity START-UP Regulatory Capital Provider Network Contribute Build Balance Sheet Investment Reduced Revenue Higher Admin Cost Higher Medical Cost Build Build Member Contract
Slide 74: New Mexico: Integration, Stabilization & Expansion
3Q04 4Q04 1Q05 2Q05 3Q05 4Q05 1Q06 2Q06 3Q06 4Q06 1Q07 2Q07 3Q07 4Q07 1Q08 MCR 0.836 0.884 0.887 0.939 0.925 0.903 0.857 0.807 0.862 0.86 0.861 0.863 0.786 0.81 0.811 Membership 65 65 61 60 62 60 59 59 62 65 65 66 69 73 78 Expansion Net Income= $22.8M Stabilization Income=$1.4M Integration Income ($
Slide 75: Ohio: Growing Enrollment While Stabilizing Medical Costs
2Q05 3Q05 4Q05 1Q06 2Q06 3Q06 4Q06 1Q07 2Q07 3Q07 4Q07 1Q08 MCR 0.894 0.904 0.976 0.886 0.924 0.911 0.888 0.903 0.903 Members 0.2 27 30 33 76 127 138 138 136 140 Stabilization of Membership Income=$0.6M Membership Growth Income=($9.8M) Pre-Op Income=($1.0M)* Note: *Pre-operating loss at health plan
Slide 76: What Do the Financial Statements Look Like?
What do the financial statements look like? All of the costs that run through the income statement for a start-up: Membership growth; Provider network development; and Administrative ramp-up. . . . . . end up on the balance sheet for an acquisition!
Slide 77: So Why Do a Start-Up?
So why do a start-up? Because it costs less!
Slide 78: Investment Comparison: New Mexico & Ohio
Investment Comparison: New Mexico & Ohio Net Acquisition Costs(1) $55.3M Loss through Stabilization Period $1.7M Required Capital $43.2M Pre-Op Costs(3) $1.0M Loss during Membership Growth $9.8M Total Investment - $57.0M Cost per Member(2) = $877 ACQUISITION - NM Total Investment - $54.0M START-UP -
Slide 79: The Trade Off
The Trade Off Administrative Capacity Provider Network Member Contract An HMO Needs BUY BUILD Initial operating profits are small Less expensive Takes time More expensive Almost immediate operating profits Faster
Slide 80: Who Cares About the Accounting?
Who Cares About the Accounting? Start-ups and acquisitions have different accounting footprints Business needs drive the decision - we are indifferent to the accounting Start-ups have a lower Acquisitions cost more operating profit
Slide 81: The Decision
The Decision Regulatory barriers to entry Number and strength of competitors Provider environment Length of state contracts Acquisition management talent Individual market dynamics determine whether we start-up or acquire:
Slide 82: Financial Discussion & Closing Remarks
Financial Discussion & Closing Remarks May 29th, 2008 John C. Molina Chief Financial Officer Molina Healthcare, Inc.
Slide 83: Cautionary Statement
Cautionary Statement Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: This "Financial Overview" presentation contains numerous "forward-looking statements," including statements that refer to our 2008 earnings guidance and financial projections. All of our forward-lo
Slide 84: Reasons to Invest
Reasons to Invest Strong Financials Consistent Results Transparent Disclosure Financial Strength
Slide 85: Reasons to Invest
Reasons to Invest Consistent Results Transparent Disclosure Financial Strength
Slide 86: Molina Exceeds Expectations
Time Line Molina Exceeds Expectations Source: Lehman Brothers - Health Care - Managed Care report March 28, 2008 * First Call reporting as of May 20, 2008. Company Reported Earnings vs First Call Consensus Estimates 1Q 05 2Q 05 3Q 05 4Q 05 1Q 06 2Q 06 3Q 06 4Q 06 1Q 07 2Q 07 3Q 07 4Q 07 1Q 08 Met or
Slide 87: Molina Balances Growth
Molina Balances Growth 2002 2003 2004 2005 2006 2007 Q1 2008 Base 489 519 519 519 519 519 519 Acquisitions (Cumulative) 45 250 337 427 470.4 470.4 Organic Growth 19 37 131 159.6 195.6 Membership Growth: Organic & Acquisitions Post - 2003 Note: Molina has acquired the following members: In 2004, we a
Slide 88: Reasons to Invest: Transparent Disclosure
Reasons to Invest Transparent Disclosure
Slide 89: 2008 Guidance - Revised versus Initial
$3.0B $21.2M 84.9% 10.8% 8.0% $33.3M $9.5M $99.0M to $113.1M 40.6% $58.8M to $67.2M $2.10 to $2.40 28.0M 1.2M Premium Revenue Investment Income Medical Care Ratio G&A Ratio Core G&A D&A Interest Expense Pre Tax Income Effective Tax Rate Net Income Diluted EPS Diluted Shares Outstanding Members 2008
Slide 90: Revised 2008 Guidance - EPS Build Up
Original 2008 Guidance Expected Change: California Impact Ohio Impact Net Interest Income Income Taxes Share Buy Back Health Plans (excl. CA & OH) D&A Parent Admin Revised 2008 Guidance Revised 2008 Guidance - EPS Build Up Original 2008 Guidance Expected Change: California Impact Ohio Impact Net Int
Slide 91: Revised 2008 Guidance - Ohio
Additional Central Region Members Months PMPM Revenue Premium Revenue Less Medical Costs Medical Margin Less Premium Tax Additional Admin Incremental Income Before Taxes Income Taxes Incremental Income After Taxes Incremental Diluted EPS Revised 2008 Guidance - Ohio 315K $210 $66.2M $57.2M $9.0M $3.
Slide 92: Revised 2008 Guidance - Michigan Taxes
Revised 2008 Guidance - Michigan Taxes New tax methodology became effective on January 1, 2008 Potential adverse impact ($0.08) already reflected in 2008 EPS guidance issued on April 29, 2008 Currently under review as several tax bills regarding the Michigan business tax are pending in the state leg
Slide 93: Reasons to Invest: Financial Strength
Reasons to Invest Financial Strength
Slide 94: Note regarding Non-GAAP Financial Presentation
NOTE regarding Non-GAAP Financial Presentation: The non-GAAP financial information above presents diluted earnings per share which excludes: (i) depreciation and amortization for each of Molina, Amerigroup, and Centene, and (ii) certain non-recurring charges for Molina and Centene (referred to above
Slide 95: Financial Strength - Cash EPS
Financial Strength - Cash EPS NOTE: The above table reconciles the computation of diluted earnings per share for the quarter and year ended December 31, 2007 on a non- GAAP basis to a GAAP basis. The 2007 non-GAAP basis excludes depreciation and amortization and certain nonrecurring charges as descr
Slide 96: Financial Strength - Reported EPS
Financial Strength - Reported EPS FY05 FY06 FY07 Molina 0.98 1.62 2.05 Amerigroup 1.02 2.02 2.16 Centene 0.84 0.47 0.92
Slide 97: Financial Strength - Cash EPS
Financial Strength - Cash EPS FY05 FY06 FY07 Molina 1.33 2.09 2.67 Amerigroup 1.33 2.32 2.51 Centene 0.92 0.72 1.44
Slide 98: Financial Strength - Reported and Cash EPS
Financial Strength - Reported and Cash EPS FY05 FY06 FY07 Molina 1.33 2.09 2.67 Amerigroup 1.33 2.32 2.51 Centene 0.92 0.72 1.44 Molina 0.98 1.62 2.05 Amerigroup 1.02 2.02 2.16 Centene 0.84 0.47 0.92 Molina earnings on a cash basis exceed peer group Solid line represent Cash EPS and broken line repr
Slide 99: Financial Strength - Claims Reserves
4Q 06 1Q 07 2Q 07 3Q 07 4Q 07 1Q 08 DCP 57 54 54 54 52 50 IBNR Liability 264 246 262 260 263 261 Billed Charges in Claims Inventory 285 263 260 232 212 217 Claims Inventory 261 271 255 179 161 185 Total Medical Liability 290 280 303 309 312 312 Financial Strength - Claims Reserves Claims Inventory I
Slide 100: Claims Reserves: Days Claims Payable vs. Billed Charges
4Q 06 1Q 07 2Q 07 3Q 07 4Q 07 1Q 08 DCP 57 54 54 54 52 50 IBNR Liability 264 246 262 260 263 261 Billed Charges in Claims Inventory 285 263 260 232 212 217 Claims Inventory 261 271 255 179 161 185 Total Medical Liability 290 280 303 309 312 312 Financial Strength - Claims Reserves DCP (2.6%) Decline
Slide 101: Q&A - Panel
101 Q&A — Panel 2 eo AREMOLINA IMeAtrHicARE
Slide 102: Thank you for joining us
Molina Healthcare, Inc. Thank you for joining us