|
|
Article: New accounting rule sends Cigna's 1Q net down 80%.(TOP STORIES)(Brief article)
- Article from:
- MondayMorning
- Article date:
- May 5, 2008
CopyrightCOPYRIGHT 2008 MedContent Media, Inc. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
|
New Accounting Rule Sends Cigna's 1Q Net Down 80%. Cigna Corp. (Philadelphia PA), the U.S. insurer that specializes in employersponsored health benefits, said first-quarter profit plunged 80% because of a new accounting rule for a discontinued retirement-income business. Net income decreased to $58 million, or 21 cents per share, from $289 million, or 98 cents, a year earlier. Profit per share, excluding certain charges, fell 2 cents short of analysts' estimates. Operating profit for Cigna's medical plans, which account for two-thirds of revenue, fell 18%, while Cigna's Medicare Advantage coverage for the elderly was stagnant. The U.S.-subsidized plans produce the ...