[0] MAMSI Announces Strong Fourth Quarter and Year End Earnings and Record January Commercial Membership Increase.Business Editors/Health & Medical Writers ROCKVILLE Rockville, city (1990 pop. 44,835), seat of Montgomery co., W central Md., a NW suburb of Washington, D.C.; settled c.1760s, inc. as a city 1860. It has several scientific research and technology laboratories that focus on the aerospace, electronics, nuclear energy, , Md.--(BUSINESS WIRE)--Feb. 13, 2002 Mid Atlantic Mid Atlantic can mean:
MAMSI Middle-Aged Men's Snowboarding Initiative (Minnesota) ) (NYSE NYSE See: New York Stock Exchange :MME See Multimedia Extensions. ), one of the mid-Atlantic Adj. 1. mid-Atlantic - of a region of the United States generally including Delaware; Maryland; Virginia; and usually New York; Pennsylvania; New Jersey; "mid-Atlantic states" middle Atlantic region's largest health services health services Managed care The benefits covered under a health contract companies, today announced earnings for the fourth quarter and fiscal year ended December December: see month. 31, 2001. Diluted earnings per share diluted earnings per share An earnings measure calculated by dividing net income less preferred stock dividends for a period by the average number of shares of common stock that would be outstanding if all convertible securities were converted into shares of for the year 2001 totaled $1.41, an increase of 41.0% over 2000's earnings of $1.00 per share. Diluted earnings per share for the fourth quarter of 2001 totaled $0.43, an increase of 38.7% over the fourth quarter of 2000's earnings of $0.31 per share. The Company also announced that approximately ap·prox·i·mate adj. 1. Almost exact or correct: the approximate time of the accident. 2. 72,600 new members joined its health insurance plans during January January: see month. 2002. This marks MAMSI's largest ever January membership increase, surpassing last year's record of 55,346 new members. "MAMSI continues to achieve reliable earnings growth and attract new members quarter over quarter and year over year," said Mark D. Groban Groban could refer to:
The Selected Income Statement Information below summarizes the Company's fourth quarter and fiscal year 2001 performance.
Selected Income Statement Information
(In thousands except share amounts, unaudited)
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4 Q 01 4 Q 00 YTD 2001 YTD 2000
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Revenue $ 472,932 $ 384,599 $ 1,807,735 $ 1,484,479
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Expenses 448,346 366,723 1,723,393 1,427,721
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Income
Before
Taxes 24,586 17,876 84,342 56,758
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Net
Income $ 17,291 $ 12,517 $ 57,195 $ 39,406
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Basic
Earnings
per
Common
Share $ 0.45 $ 0.33 $ 1.48 $ 1.04
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Weighted
Average
Shares
Outstanding 38,784,381 38,131,930 38,672,147 38,052,746
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Diluted
Earnings
per
Common Share $ 0.43 $ 0.31 $ 1.41 $ 1.00
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Weighted
Average
Shares
Outstanding 40,341,121 40,789,514 40,502,086 39,341,037
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For the three months ended December 31, 2001, net income increased $4,774,000 or 38.1% over the three months ended December 31, 2000. The fourth quarter of 2001 diluted earnings per share increased $0.12 or 38.7% over the fourth quarter 2000, from $0.31 in 2000 to $0.43 in 2001. Fourth quarter 2001 commercial health premiums totaled $457,974,000, an increase of $92,388,000 or 25.3% over the fourth quarter of 2000. Commercial health premiums for the fourth quarter of 2001 were up 11.9% on a per member per month basis over the fourth quarter of 2000. Commercial medical and dental dental /den·tal/ (den´t'l) pertaining to a tooth or teeth. den·tal adj. 1. Of, relating to, or for the teeth. 2. Of, relating to, or intended for dentistry. expenses incurred in the fourth quarter of 2001 totaled $387,538,000, an increase of $77,319,000 or 24.9% over the fourth quarter of 2000. Commercial medical and dental expenses increased 11.6% on a per member per month basis over the fourth quarter of 2000. The medical care ratio for the fourth quarter of 2001 was 84.6%, a 30 basis point improvement over the commercial medical care ratio for the fourth quarter of 2000. Administrative expenses totaled $54,566,000 in the fourth quarter of 2001 and were 11.5% of revenue. This compares with 13.0% of revenue for the fourth quarter of 2000. For the year ended December 31, 2001, net income increased $17,789,000 or 45.1% over the year ended December 31, 2000 and diluted earnings per share increased $0.41 or 41.0%. On a per member per month basis, commercial health premiums were up 12.0% for the year ended December 31, 2001 over the same period in 2000. For the year ended December 31, 2001, on a per member per month basis, commercial medical expenses were up 10.7% over the same period in 2000. The commercial medical care ratio for the year ended December 31, 2001 was 85.4% compared with the commercial medical care ratio of 86.4% for the same period in 2000, a 100 basis point improvement. Administrative expenses were 11.7% of revenue for 2001 compared with 12.1% of revenue for 2000. Commercial membership in MAMSI's subsidiaries continued to grow. As of December 31, 2001, membership in all of MAMSI's subsidiaries was 1,832,400 covered lives. Membership by product is as follows:
Product 12/31/01 12/31/00 Increase/ Percentage
(Decrease) Change
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HMO/
Commercial(1) 865,100 762,700 102,400 13.4%
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ASO 8,900 9,300 (400) (4.3)%
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Subtotal 874,000 772,000 102,000 13.2%
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PPO 958,400 1,019,300 (60,900) (6.0)%
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Total 1,832,400 1,791,300 41,100 2.3%
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(1) Includes indemnity members.
Membership in all of MAMSI's subsidiaries through January 2002 is as follows:
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Product 01/31/02 12/31/01 Increase/ Percentage
(Decrease) Change
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HMO/
Commercial(1) 937,700 865,100 72,600 8.4%
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ASO 8,900 8,900 -0- -0-
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Subtotal 946,600 874,000 72,600 8.3%
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PPO 959,500 958,400 1,100 0.1%
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Total 1,906,100 1,832,400 73,700 4.0%
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(1) Includes indemnity members.
MAMSI also recently announced: -- For the third year in a row, MAMSI was named as a Forbes Platinum 400 company. MAMSI ranked 228 on the list, a significant improvement over its 1999 ranking of 388 (see January 7, 2002 edition of Forbes). -- As listed in the January 2002 edition of Managed Healthcare Executive, Optimum Choice, Inc.(R) (OCI) was ranked among the top 25 HMOs in the nation with the highest member satisfaction ratings. "By remaining focused on the fundamentals of our business model, we have had another successful year," said Thomas (language) Thomas - A language compatible with the language Dylan(TM). Thomas is NOT Dylan(TM). The first public release of a translator to Scheme by Matt Birkholz, Jim Miller, and Ron Weiss, written at Digital Equipment Corporation's Cambridge Research Laboratory runs P. Barbera, President and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. . "In 2002, we will continue to add value to employers in the mid-Atlantic region by offering diverse employee benefit products, developing more Web-based services for the convenience of our customers and remaining focused on disciplined pricing." MAMSI is one of the mid-Atlantic region's largest health services companies with subsidiaries covering over 1.9 million lives in Maryland Maryland (mâr`ələnd), one of the Middle Atlantic states of the United States. It is bounded by Delaware and the Atlantic Ocean (E), the District of Columbia (S), Virginia and West Virginia (S, W), and Pennsylvania (N). , Washington Washington, town, England Washington, town (1991 pop. 48,856), Sunderland metropolitan district, NE England. Washington was designated one of the new towns in 1964 to alleviate overpopulation in the Tyneside-Wearside area. , D.C., Virginia Virginia, state, United States Virginia, state of the south-central United States. It is bordered by the Atlantic Ocean (E), North Carolina and Tennessee (S), Kentucky and West Virginia (W), and Maryland and the District of Columbia (N and NE). , Delaware Delaware, state, United States Delaware (dĕl`əwâr, –wər), one of the Middle Atlantic states of the United States, the country's second smallest state (after Rhode Island). , North Carolina North Carolina, state in the SE United States. It is bordered by the Atlantic Ocean (E), South Carolina and Georgia (S), Tennessee (W), and Virginia (N). Facts and Figures Area, 52,586 sq mi (136,198 sq km). Pop. , Pennsylvania Pennsylvania (pĕnsəlvā`nyə), one of the Middle Atlantic states of the United States. It is bordered by New Jersey, across the Delaware River (E), Delaware (SE), Maryland (S), West Virginia (SW), Ohio (W), and Lake Erie and New York and West Virginia West Virginia, E central state of the United States. It is bordered by Pennsylvania and Maryland (N), Virginia (E and S), and Kentucky and, across the Ohio R., Ohio (W). Facts and Figures Area, 24,181 sq mi (62,629 sq km). Pop. . For more information about MAMSI, visit www.mamsi.com. Note 1: Safe Harbor Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. Statement under the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995: All forward-looking for·ward-look·ing adj. Concerned with or making provision for the future: forward-looking educators; a forward-looking corporate plan. Adj. 1. information contained in this release is based on management's current knowledge of factors, all with inherent risks and uncertainties, affecting MAMSI's business. MAMSI's actual results may differ materially if these assumptions prove invalid Null; void; without force or effect; lacking in authority. For example, a will that has not been properly witnessed is invalid and unenforceable. INVALID. In a physical sense, it is that which is wanting force; in a figurative sense, it signifies that which has no effect. . Significant risk factors, while not all-inclusive, are: the possibility of increasing price competition in the Company's service area; the effect on the Company due to a weaker economy; the effect on the Company due to the recent acts of terrorism terrorism, the threat or use of violence, often against the civilian population, to achieve political or social ends, to intimidate opponents, or to publicize grievances. and any future attacks; the possibility that the Company is not able to increase its market share at the anticipated premium rates; the possibility of increased litigation An action brought in court to enforce a particular right. The act or process of bringing a lawsuit in and of itself; a judicial contest; any dispute. When a person begins a civil lawsuit, the person enters into a process called litigation. , legislation or regulation (such as the numerous class action lawsuits class action lawsuit A lawsuit in which one party or a limited number of parties sue on behalf of a larger group to which the parties belong. For example, investors may bring a class action lawsuit against a brokerage firm that has actively promoted a tax that have been filed against managed care companies and the pending initiatives to increase health care regulation) that might increase regulatory reg·u·late tr.v. reg·u·lat·ed, reg·u·lat·ing, reg·u·lates 1. To control or direct according to rule, principle, or law. 2. oversight
Oversight may refer to:
n 1. the extent to which a given group uses a particular service in a specified period. Although usually expressed as the number of services used per year per 100 or per 1000 persons eligible for the service, utilization rates may be by the Company's membership, increased practitioner practitioner /prac·ti·tion·er/ (prak-tish´un-er) one who has met the requirements of and is engaged in the practice of medicine, dentistry, or nursing. nurse practitioner see under nurse. and pharmaceutical costs, federal or state mandates mandates, system of trusteeships established by Article 22 of the Covenant of the League of Nations for the administration of former Turkish territories and of former German colonies. that increase benefits or limit the Company's oversight ability, existing disputes under risk-transfer or risk-sharing arrangements, the Company's ability to maintain and renew these arrangements, and any future disputes under such arrangements; and the possibility that the Company is not able to negotiate new or renewal contracts with appropriate physicians, other health care practitioners, hospitals and facilities. Note 2: MAMSI is a regional holding company whose subsidiaries include: three health maintenance organizations, MD-Individual Practice Association, Inc. (M.D. IPA IPA - International Phonetic Alphabet ), Optimum Choice, Inc.(R)(OCI OCI Oracle Call Interface OCI Organisation de la Conférence Islamique (French: Organization of the Islamic Conference) OCI Other Comprehensive Income OCI Office of the Commissioner of Insurance OCI Organizational Conflict of Interest ) and Optimum Choice of the Carolinas Car·o·li·nas The colonies (after 1729) or present-day states of North Carolina and South Carolina. Noun 1. Carolinas - the area of the states of North Carolina and South Carolina Carolina , Inc. (OCCI OCCI Osaka Chamber of Commerce and Industry (Osaka, Japan) OCCI Ontario Case Costing Initiative (Ontario, Canada) OCCI Oregon Center for Clinical Investigations, Inc OCCI Oracle C++ Call Interface ); a preferred provider organization pre·ferred provider organization n. Abbr. PPO A medical insurance plan in which members receive more coverage if they choose health care providers approved by or affiliated with the plan. , Alliance PPO PPO abbr. preferred provider organization PPO Managed care Preferred provider organization, see there Infectious disease Pleuropneumonia-like organism, see there , LLC (Logical Link Control) See "LANs" under data link protocol. LLC - Logical Link Control (Alliance); a life and health insurance company, MAMSI Life and Health Insurance Company (MLH MLH Mellieha (postal locality, Malta) MLH Mint, Lightly Hinged MLH Major League Hockey MLH Michigan League of Handweavers MLH Mulhouse, France - Mulhouse (Airport Code) ); a coordination coordination /co·or·di·na·tion/ (ko-or?di-na´shun) the harmonious functioning of interrelated organs and parts. co·or·di·na·tion n. 1. The harmonious adjustment or interaction of parts. of benefits company, Alliance Recovery Services, LLC (ARS ARS In currencies, this is the abbreviation for the Argentine Peso. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. ); and home care companies such as HomeCall, Inc., FirstCall, Inc., and HomeCall Pharmaceutical Services, Inc.
Mid Atlantic Medical Services, Inc.
In 000's Except PMPM and Per Share
Unaudited
Quarter Quarter Quarter
Ended Ended Ended
----------------------------------------------------------------------
12/31/01 12/31/00 9/30/01
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Member Months 2,542,185 2,271,701 2,534,613
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Member Months - ASO 26,726 28,401 26,710
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Health Premium $457,974 $365,586 $443,092
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PMPM $180.15 $160.93 $174.82
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Fee and Other 5,323 5,876 5,055
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Life and Short-Term Disability 2,088 2,044 1,999
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Home Health Services 4,122 7,184 5,622
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Investment 3,425 3,909 3,899
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Total Revenue 472,932 384,599 459,667
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Medical Expense 387,538 310,219 377,582
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PMPM $152.44 $136.56 $148.97
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Medical Care Ratio 84.6% 84.9% 85.2%
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Life and Short-Term Disability 1,065 776 846
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Home Health Costs 5,177 5,693 5,923
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Administrative 54,566 50,035 52,698
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Administrative Expense Ratio 11.5% 13.0% 11.5%
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Income Before Tax 24,586 17,876 22,618
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Tax Provision 7,295 5,359 7,582
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Effective Tax Rate 29.7% 30.0% 33.5%
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Net Income $17,291 $12,517 $15,036
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Basic EPS $0.45 $0.33 $0.38
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Weighted Average Shares 38,784 38,132 39,132
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Diluted EPS $0.43 $0.31 $0.36
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Weighted Average Shares 40,341 40,790 41,492
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Net Margin 3.7% 3.3% 3.3%
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Medical Claims Payable at End of $212,010 $178,685 $204,185
Period
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Additional Information
Medicaid Program:
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Premium $- $- $-
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PMPM
----------------------------------------------------------------------
Medical Expense - - -
----------------------------------------------------------------------
PMPM
----------------------------------------------------------------------
Medical Care Ratio
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Mid Atlantic Medical Services, Inc.
In 000's Except PMPM and Per Share
Unaudited
----------------------------------------------------------------------
Year Ended Year Ended
----------------------------------------------------------------------
12/31/01 12/31/00
----------------------------------------------------------------------
----------------------------------------------------------------------
Member Months 10,012,101 9,098,821
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Member Months - ASO 107,769 116,644
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Health Premium $1,740,938 $1,414,847
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PMPM $173.88 $155.50
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Fee and Other 21,244 21,811
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Life and Short-Term Disability 8,066 8,034
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Home Health Services 22,715 26,304
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Investment 14,772 13,483
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Total Revenue 1,807,735 1,484,479
----------------------------------------------------------------------
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Medical Expense 1,487,230 1,223,272
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PMPM $148.54 $134.44
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Medical Care Ratio 85.4% 86.5%
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Life and Short-Term Disability 3,589 3,108
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Home Health Costs 21,950 21,514
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Administrative 210,624 179,827
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Administrative Expense Ratio 11.7% 12.1%
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Income Before Tax 84,342 56,758
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Tax Provision 27,147 17,352
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Effective Tax Rate 32.2% 30.6%
----------------------------------------------------------------------
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Net Income $57,195 $39,406
----------------------------------------------------------------------
----------------------------------------------------------------------
Basic EPS $1.48 $1.04
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Weighted Average Shares 38,672 38,053
----------------------------------------------------------------------
----------------------------------------------------------------------
Diluted EPS $1.41 $1.00
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Weighted Average Shares 40,502 39,341
----------------------------------------------------------------------
----------------------------------------------------------------------
Net Margin 3.2% 2.7%
----------------------------------------------------------------------
----------------------------------------------------------------------
Medical Claims Payable at End of $212,010 $178,685
Period
----------------------------------------------------------------------
----------------------------------------------------------------------
Additional Information
----------------------------------------------------------------------
Medicaid Program:
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Premium $- $9,937
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PMPM $191.62
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Medical Expense - 8,993
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PMPM $173.41
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Medical Care Ratio 90.5%
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