Positive First Quarter for Kaiser

Apr 30, 2001, 01:00 ET from Kaiser Permanente

    OAKLAND, Calif., April 30 /PRNewswire/ -- Kaiser Foundation Health Plan
 Inc., Kaiser Foundation Hospitals and their subsidiaries (KFHP/H) reported net
 income of $156 million, and operating income of $185 million on operating
 revenues of $4.9 billion for the first quarter ended March 31, 2001. In the
 first quarter of 2000 KFHP/H posted net income of $142 million and operating
 income of $167 million on operating revenues of $4.3 billion.
     Membership for the first quarter grew by 94,000 members to total
 8.2 million members.
     These results reflect increased membership, improved revenues and a
 continued focus on operational efficiency. "We are pleased to see these
 continuing positive results," said Dale Crandall, president, KFHP/H. "However,
 increasing costs for pharmaceuticals and hospital utilization; and the ongoing
 shortage of nurses remain challenges to meeting our performance goals."
     As further indication of Kaiser's improved financial performance,
 bond-rating agencies Moody's and Standard & Poor's upgraded the organization's
 credit outlook to "stable" during the quarter.
     Additionally, Kaiser's Colorado Region, serving Denver and Colorado
 Springs, earned "Excellent" status from the National Committee for Quality
 Assurance (NCQA), the leading quality-review organization for health plans in
 the country.
      "As we move forward this year we are developing innovative ways to
 address challenges such as nurse retention and recruitment," said
 David M. Lawrence, MD, chairman and CEO of KFHP/H.  "The Labor Management
 Partnership gives us a distinct advantage by involving our own frontline
 people in creating solutions that place quality and patient safety first."
     Kaiser Permanente is America's leading integrated health care
 organization. Founded in 1945, it is a not-for-profit, group-practice
 prepayment program with headquarters in Oakland, Calif. Kaiser Permanente
 serves the health care needs of 8.2 million members in 9 states and the
 District of Columbia. Today, it encompasses Kaiser Foundation Health Plan
 Inc., Kaiser Foundation Hospitals and their subsidiaries, and the Permanente
 Medical Groups. Nationwide, Kaiser Permanente includes about
 100,000 technical, administrative and clerical employees and approximately
 11,000 physicians representing all specialties.
     Except for historical information contained herein, the matters discussed
 in this media release are forward-looking statements that involve risks and
 uncertainties. Actual results may vary significantly based on a number of
 factors including, but not limited to:  the impact of competitive products and
 pricing; changing membership and regulatory requirements; and the change in
 economic conditions of the various markets the organization serves.
 
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SOURCE Kaiser Permanente
    OAKLAND, Calif., April 30 /PRNewswire/ -- Kaiser Foundation Health Plan
 Inc., Kaiser Foundation Hospitals and their subsidiaries (KFHP/H) reported net
 income of $156 million, and operating income of $185 million on operating
 revenues of $4.9 billion for the first quarter ended March 31, 2001. In the
 first quarter of 2000 KFHP/H posted net income of $142 million and operating
 income of $167 million on operating revenues of $4.3 billion.
     Membership for the first quarter grew by 94,000 members to total
 8.2 million members.
     These results reflect increased membership, improved revenues and a
 continued focus on operational efficiency. "We are pleased to see these
 continuing positive results," said Dale Crandall, president, KFHP/H. "However,
 increasing costs for pharmaceuticals and hospital utilization; and the ongoing
 shortage of nurses remain challenges to meeting our performance goals."
     As further indication of Kaiser's improved financial performance,
 bond-rating agencies Moody's and Standard & Poor's upgraded the organization's
 credit outlook to "stable" during the quarter.
     Additionally, Kaiser's Colorado Region, serving Denver and Colorado
 Springs, earned "Excellent" status from the National Committee for Quality
 Assurance (NCQA), the leading quality-review organization for health plans in
 the country.
      "As we move forward this year we are developing innovative ways to
 address challenges such as nurse retention and recruitment," said
 David M. Lawrence, MD, chairman and CEO of KFHP/H.  "The Labor Management
 Partnership gives us a distinct advantage by involving our own frontline
 people in creating solutions that place quality and patient safety first."
     Kaiser Permanente is America's leading integrated health care
 organization. Founded in 1945, it is a not-for-profit, group-practice
 prepayment program with headquarters in Oakland, Calif. Kaiser Permanente
 serves the health care needs of 8.2 million members in 9 states and the
 District of Columbia. Today, it encompasses Kaiser Foundation Health Plan
 Inc., Kaiser Foundation Hospitals and their subsidiaries, and the Permanente
 Medical Groups. Nationwide, Kaiser Permanente includes about
 100,000 technical, administrative and clerical employees and approximately
 11,000 physicians representing all specialties.
     Except for historical information contained herein, the matters discussed
 in this media release are forward-looking statements that involve risks and
 uncertainties. Actual results may vary significantly based on a number of
 factors including, but not limited to:  the impact of competitive products and
 pricing; changing membership and regulatory requirements; and the change in
 economic conditions of the various markets the organization serves.
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X21492410
 
 SOURCE  Kaiser Permanente