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HLTH Corporation Announces Second Quarter Financial Results
Date:7/30/2009

was sold in July 2008, as discontinued operations in the prior year period. Loss from discontinued operations and net loss for the second quarter of 2009 include an after-tax expense of approximately $11 million reflecting an increase in the estimate of HLTH's indemnification obligation for the defense costs of the eight former officers and directors of Emdeon Practice Services, a former subsidiary of HLTH which was divested in 2006, partially offset by proceeds from a settlement with one of our insurance carriers related to this matter. The loss from discontinued operations and net loss for the second quarter of 2009 also include a non-cash, after-tax impairment charge of $5 million related to the carrying value of WebMD's Little Blue Book physician directory business.

At June 30, 2009, HLTH had approximately $828 million in cash and investments, of which $373 million is attributable to WebMD.

Operating Highlights

Public portal advertising and sponsorship revenue was $76.0 million for the second quarter, compared to $64.1 million in the prior year period, an increase of 18%. Traffic to the WebMD Health Network continued to grow strongly, reaching an average of 59.8 million unique users per month and total traffic of 1.4 billion page views during the second quarter, increases of 24% and 31%, respectively, from a year ago. In the second quarter, 1.6 million continuing medical education (CME) programs were completed on the WebMD Professional Network, an increase of 25% from the prior year period.

Private portal services revenue was $22.6 million for the second quarter compared to $21.9 million in the prior year period, an increase of 4%. The base of large employers and health plans utilizing WebMD's private Health and Benefits portals during the second quarter was 137 as compared to 123 a year ago. During the quarter, WebMD launched integrated platform services for Blue Cross Blue Shield of
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SOURCE HLTH Corporation
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